Funeral Plans

We have an endowment policy which will pay out enough on the first death to tidy us both away. You pay £50 a month for 10 years and it pays out a minimum of £10k. Once paid up it sits accruing interest until the first death. Thanksgiving service is organised and family are aware so there is no need to think any further.

OTH a cousin has a prepaid plan into which she pays £35 per month until the day she dies. She has paid it for over 10 years so far and is very fit and healthy so will obviously pay lots more over the next few years. She is happy that it is sorted so clearly you pays your money and takes your choice.
It is entirely up to you!

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A funeral director's job isn't a dying trade is it ?

The last funeral I attended in June was remarkable in every way and every part of it reflected the life of the deceased even to the huge " spread " afterwards. As funerals go this was an amazing " send-off ". The family are some of my closest lifelong friends.

So different to that of a retired Army Major I knew where the union jack had been draped over the coffin. Very staid and solemn.

It does all depend what a persons wishes are/were and what the family decide for them which also dictates the cost too.

My body will go to medical science when the time comes.
The family can have the body back after 3 yrs if they want to have a burial/cremation.
I think I know what the family will say: nah, let's save the money

I certainly have been to some lovely funerals and some not so great - My Uncle died last year and they were absolutely lovely, so I would approach one that you know gives a good service however, that was up North and as I am likely to go down South, there is a wonderful Humanist lady here that does just the best celebrations of life that I have ever seen - so have specified her in my preferred plans for care etc ....

I'm relying on my ISA. Hopefully !

There was a program a few weeks ago about funeral plans..it seems as its been mention in op that it does not cover everything and some of the money goes to the people who provide the plan (they don't forward it all to the funeral people) obviously these plans don't come without interest being added somewhere along the line.

The program said that anything from around £400 upwards could be kept by the plan people.Cant just rem the exact quotes.

The end result was that the plans don't always cover everything and you can be left with a shortfall which you have to make up.

Hey, Hattiehelga I admire your efforts for planning your funeral. As you have mentioned, you have come up with numerous companies. Do not worry, first of all, for such funeral homes understand your situations. They can offer you with every possible funeral service such as cremation or burial with different packages. Also, look for such professionals that can work around your requirements and budget. You should check as well if they offer cremation services at a place you pick, or if they can come to your home if needed. I wish you luck for the search.

Thanks to the head's up from this thread, this morning my DD1, who is an Independent Celebrant, took me to her favourite Funeral Director to arrange and pay in advance for funerals for both OH and myself. We have ordered the exact funerals/coffins/celebrant, announcements as required, including £1000 for each of us, to be paid direct to DD as next of kin, to cover the cost of incidentals, flowers, a meal afterwards. etc. if required. I happily wrote and signed a cheque for just over £10,000. Happily? Yes because not only is that something less to worry about but also because that brings our savings down nearer the threshold which currently makes us self funding for care costs. Funeral director was lovely and the whole experience felt positive, with me in control of the process - a rarity on this dementia journey. DH was at day care today and knows nothing of the arrangements made but we were careful to follow, exactly, his wishes as stated before he became ill.

You can deduct the cost of the funeral from the amount assessed for IHT, so it is not always advantageous to purchase in advance if the estate might breach the IHT limit.

From HMRC website:

"You can deduct funeral expenses from the value of the estate, plus a reasonable amount for mourning expenses. Expenses can include a reasonable amount to cover the cost of:

* flowers
* refreshments for mourners
* necessary expenses paid by the executor or administrator when arranging the funeral
* a headstone to mark the grave

If it were just up to me I would have a direct cremation, cheap simple
Judy; my thoughts exactly! But you've triggered off a thought thread. Talking to a lawn bowls colleague the other day, like me, non-playing, a widower and somehow we got on to the subject of cremations, ashes and what next when the funeral director returns the urn. We read of many families keeping them for ages in urns or even boxes around the house on shelves, in cupboards etc. Like me he's had them for a couple years, but his idea is for when his time is up to have his family combine their ashes and dispose of them as agreed prior.
I think that's a lovely thought.
Contrary to those terrible words "till death us do part" the family can say that death didn't part them.
I like the idea and I'll put the family on notice!

www.theguardian.com/money/2017/sep/09/prepaid-funeral-plans-experts-warn-national-scandal

Just be careful

Lovely bit in the Times to-day .
Dad to son ...." What would you like for your birthday son ?"
Son ... " A funeral plan please "
Dad...."Why on earth would you want that at your age ?"
Son ... "Because you get a free pen "

Ancient Uncle had a plan with the Co-op. It covered everything except flowers and a notice in the local paper. He certainly got his money's worth as he lived to be 94 and costs had tripled from when he paid for the plan. He even got his C0-OP dividend on the cost.

I took mum to the funeral directors and kept (at her request) the agreement at my house.

MOnica what my mum paid up front covered everything cars, coffin, service, cremation there was nothing for us to deal with except the flowers and wake.
She had chosen her wicker coffin and the hymns at the funeral directors when she paid in full.

The main thing about paying in advance in that you do peg the cost. My mother paid in advance or rather had a plan from the Co-op. It was all fine and went according to plan with no problems. The other important thing is that someone can actually find it or you tell next of kin where it is. We found my mothers by chance plus a voucher for £100 that she had paid years before. And of course you can (if you are bothered) let people know your wishes.

Granny23 I would check on that. There have been a number of stories in the financial press saying that a lot of families are finding that their parents/relations carefully funded funeral plans are not covering all the costs. All it covers is removal and a cremation at most and all the other costs, pall bearers, hearse, cars, coffin, minster or equivalent etc etc, it is a long time since I paid for a funeral so all the items on the invoice, are not covered.

With a Building Society account you can easily top it up a bit every year so that all costs can be met from it.

Anyway interest rates are rising, albeit very slowly.

Monica BUT with interest rates being so low, your money in the Building Society will not grow in line with inflation and there will be a shortfall by the (hopefully long) time before it is needed. If however, you pay for your funeral upfront at today's prices, your investment will pay the entire cost of the funeral, no matter what it has risen to, 10 or 20 years in the future.

Put the money in a separate building society account and then file details of it with your will so that family know of its existence and purpose.

Like Ninathenana we took out funeral plans through the undertaker that we wanted. This was a few years ago and the cost then was very reasonable compared to a funeral today. Everything was chosen except for flowers. When my husband died it was such a relief to have it all set up. The family still had to choose what type of service we wanted an what music etc to make it personal for us. Every else done at no extra co and such a relief at such an upsetting time. Glad I have done it for my family when I go as it is surprising how much needs to be done besides the funeral.

As Rufus says, if you pay for your funeral in advance, it is an allowable spend as far as assessments for care home costs are concerned. DD, who is an independent celebrant, will take me (soon) to her favourite local funeral directors to arrange and pay for my & DH's funerals in advance. They will help me plan the services. I shall may the full cost (at today's prices) to them. I believe the plan is underwritten by Golden Charter.

As we are a couple with small savings - just enough to stop us getting Pension Credit and currently paying full whack for DH's Respite Care, this is a legal way to advantageously reduce our savings.

"I saw an ad for burial plots, and thought to myself, this is the last thing I need"
Hattie; I'm obviously out of touch on this subject re: the UK after 47 years in OZ. I'm 12 years ahead of you in the queue.
We took out a funeral bond each through a bank; could only be "cashed" in the event and only by the executor. This had 2 immediate benefits; removed all worry about funeral costs and took that money out of reach (legal) of Social Services. Otherwise it would have been deemed as assets and affected our pensions. Whilst you still have all your marbles, which you obviously have, all you have to do is create Financial and Medical enduring powers of attorney, tell your executor where to find your will, house deeds, bank accounts, credit cards. Anything else will turn up in the wash.
Hope there is something there of use, but above all you should be able to relax and concentrate on your "bucket-list". I'll be kicking mine long before you! ;
Good Luck

I think the advantage is that, ultimately, you'll be getting a bargain, cost wise.
As prices rise, you will have paid for the bulk of of your send off, so you won't have to worry. (Or, at least your family won't)