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How To Pre-Pay For Funeral Arrangements With A Trust

If you want to pay for your funeral arrangements ahead of time, one way to pay is through a Trust that the funeral home sets up. If you decide to pay with a trust, a trust will be established with the funeral home as the beneficiary. This way, after your death, the funeral home will receive the assets in the trust and can use those assets to fund your funeral.

What Type Of Trust Should You Set Up?

The funeral home you are working with will likely have established protocols around creating a trust of this nature, and will probably have a preference for the type of trust that is established. You can also talk to a trust and estate attorney to get a recommendation on the type of trust you should set up to pay for funeral arrangements.

Personal Advocacy

Be aware that in many states, funeral homes are only required to put a portion of the money you pre-pay into a trust. This means that, should you need to cancel or transfer the pre-paid arrangements, only the portion of the pre-paid money that is in the trust will be made available to you in cash or as transferable, while the funeral home may get to keep the money that was not put into the trust. Talk to the funeral home you’re working with to determine how they use trusts.

Other Ways To Pre-Pay For Funeral Arrangements

There are a number of other ways to pre-pay for funeral arrangements. The most common ways include:

State-By-State Health, Legal, And End-Of-Life Resources


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