A Pre-paid funeral involves paying for the funeral up front at today's prices. The benefits of a Pre-paid Funeral Plan are:
- Your family will be relieved from any financial burden.
- It makes good financial sense. By making all of your choices now, you can fix the price of your funeral at today's costs.
- You can ensure that your exact wishes are made known and are carried out.
- You may be able to maximise your pension entitlement. Any money spent on a Pre-paid Funeral Plan is not subject to the income and assets test or the deemed earnings roles.
- Pre-paying provides reassurance for you and your family.
- You can protect your loved ones from unnecessary stress related to making difficult decisions at an emotional time.
- A Funeral bond is a partial payment that can be made to save towards the cost of the funeral.
- Payments can be made regularly as well as lump sum payments as you wish.
- Once the target amount is reached, it can be moved into a pre-paid funeral with no more to pay.
- Funeral insurance premiums may start small but increase with age.
- You must continue to make premium payments or you lose all funds invested.
- You are likely to end up paying much more than the cost of the funeral.
- The payment is made to the deceased's family upon death, these funds can be used to meet the cost of the funeral but it does not ensure they will be.