There are many reasons to plan funeral arrangements ahead of time. For some people, it is reassuring to know that they have lifted a terrible burden from their loved ones. For others, it is a question of controlling their final destiny; the ability to choose what you would want done, rather than leaving these decisions to others. Regardless of your reasons, there are specific things you should know to help you make the best decisions when it comes to pre-planning a funeral:
- YOUR MONEY IS SAFE. New York State law provides that any prepaid funeral expenses must be placed in a trust account. Shalmom Memorial Chapels Funeral are members if PREPLAN, the New York State Funded Funeral Directors Trust. Monies placed with Preplan are deposited in an F.D.I.C. insured account
- The principal sits in this account and accumulates interest, and is held in the purchaser’s name,. This interest and the original principal amount continue to belong to the purchaser. Only when the funeral has taken place and all of our obligations are met do we gain access to the trust. The accumulated interest allows us to guarantee today’s price into the future.
- All monies paid in advance , are fully refundable at any time prior to the funeral,with the exception of Irrevocable trusts set up for Medicaid purposes. So, if you pay in advance, you can request a refund of all of the money that is held in the trust-principal and interest.
- Irrevocable trusts can be opened to comply with Medicaid obligations. A pre-funded funeral arrangement is not considered a countable asset when Medicaid looks at the assets of the applicant. By opening up an irrevocable trust, you can take advantage of this “shelter” by using funds that will be depleted anyway, thereby avoiding using your own funds to pay for a funeral when the need arises.
If you are thinking of preplanning, call us at Shalom Memorial Chapels Inc, we are more than happy to assist you in any way we can with this important decision.