Why Prepay Funeral Expenses? Easing the Burden During Loss

One of the most frequent questions we receive involves the immediate payment of funeral expenses after a loved one passes. While your comprehensive estate plan, including your properly funded trust, is designed to cover these costs, accessing those funds is not immediate.

The successor trustee must first fulfill numerous duties, a process that takes time. However, the costs associated with the funeral and burial arrangements must be addressed right away.

Key Reasons to Consider Prepayment

Prepaying funeral expenses is a simple, proactive step that can alleviate significant stress and provide immediate benefits:

Avoid Immediate Financial Scramble: The most critical reason is to prevent your loved ones from facing a large, immediate financial burden while they are grieving. Prepayment ensures that funds are designated and available precisely when they are needed most.

Lock in Costs at Today's Rates: Funeral costs tend to rise over time. By prepaying, you are effectively locking in the price of services and merchandise now, shielding your family from future inflation. This would only be true if you prepay directly with your funeral director.

Ensure Your Wishes Are Followed: Preplanning and prepaying guarantee that the services and arrangements you desire are carried out. This eliminates guesswork and potential disputes among family members during an emotional time. We provide the Memorial Questionnaire to document these wishes, and prepayment ensures the funds are tied to that plan.

Simplify the Trustee's Initial Duties: Although your trust will eventually reimburse these costs, prepayment eliminates the need for the successor trustee or family members to temporarily use personal funds or rush to liquidate assets to cover immediate expenses. It allows your trustee to focus on the essential administrative duties of the trust without the pressure of an urgent cash need.

This informational document describes a common method—often called a "funeral trust" or pre-need contract—that uses specialized insurance to secure these funds. This is a contractual agreement, and you do not need to pay to create a new trust. In many instances, this specialized contract can be funded through convenient installments. This contract can then be used anywhere at your death even if you moved to another state.

We strongly encourage you to take this simple step to ensure peace of mind for both you and your family. We can facilitate an introduction to the company we use, or you may contact them directly.