Planning Your Funeral
Funeral planning is not just about financial matters. It’s a very personal thing, with you deciding on what you want to happen, then making sure everyone knows your wishes.
It’s an inescapable fact that one day we will all pass on and a funeral will have to be organised and paid for. Leaving your family to organise and pay for a funeral on your death can be financially and emotionally demanding on your relatives.
The consequences of your death could be devastating unless you have prepared for it. Do you really want your family to have to deal with these issues when it is too late for you to help them? A little forward planning now will help those you leave behind enormously.
Arranging a pre-paid funeral plan that is individually tailored to your preferences and wishes and also guarantees to take care of the funeral director’s fees, no matter how much they have increased, is something everyone should consider.
There is financial logic in doing a pre-paid funeral plan. Funeral costs have been escalating rapidly and, with years of above-inflation rises, the cost of a typical funeral has more than doubled in the last 15 years. That cannot be said for a typical savings account.
By fixing the funeral at today’s prices, you are securing against future price rises in the years to come.
What is a pre-paid funeral plan?
A funeral plan is a promise to deliver a funeral in the future. This promise is delivered by providers who are registered and authorised by the Financial Conduct Authority. You can find a list of funeral plan providers on the FCA website.
A fifth of all UK funerals are now paid for in advance via a prepaid funeral plan, and a carefully selected funeral plan, will guarantee to pay funeral director's fees and services, whenever required in the future, regardless of increases in funeral costs?
Guarantees are now included in a number of plans. These plans cover the Crematorium Fees and Minister Fees in addition to funeral director’s fees.
If you are arranging a plan for yourself or someone else, there are many options regarding the inclusion of personal choices and preferences e.g.
- Type and conduct of the funeral itself
- Burial or Cremation
- Religious Service or Celebration of Life
- Type of coffin
- Choice of music/hymns/songs
- Plan costs can be paid in full or by instalments
Those you leave behind can be reassured by the fact that that they won't be required to make difficult decisions or bear the expense of paying for your funeral.
Relying on your children, family or friends
Paying for your funeral is not, as many people may think the responsibility of your children or others, but your own individual responsibility. One of the first duties of the executors of your estate is "pay any debts funeral and testamentary expenses". Therefore, unless your funeral has already been paid for, the value of any inheritances will be reduced.
Your children can be reassured by the fact that that they won't be required to make difficult decisions and bear the expense of paying for your funeral.
How do you arrange your funeral plan?
Setting up a funeral plan is easy and safe if you use a professional and experienced funeral planning specialist.
Since 29th July 2022, the FCA brought pre-paid funeral plan providers under their regulation and all plans must be approved with them before they can be sold.
How to check the status of an existing funeral plan
Following the changes to existing funeral plan companies and their solvency, many people now want to know what the status of their plan is. You can find out by following this link: what your provider's application status means for you, if you have a plan.
If you would like to contact your current provider, you can find their contact details on the FCA website. Got questions for your pre-paid funeral provider?