PREARRANGING FUNERAL SERVICES

1) Selecting a service for yourself so others don't have to make difficult decisions. "We didn't want to put the kids in the  position of making these difficult choices" are words a funeral director hears all the time. This allows people to know that their wishes have been met. At the same time, it is important to let family members know you have made these choices. If someone has selected an arrangement that other family members are not in agreement with, it could lead to problems. Communication is important.

2) Selecting a service for an elderly family member. This type of prearrangement is made most often when someone is going into a skilled care facility. Their assets are decreasing because of the cost of the health care. After a period of time most people would qualify for Medicaid. This type of prearranged service is almost always prepaid because the funds dedicated for the funeral service are exempt from Medicaid.

Prearranging does not necessarily mean prepaying. All prearranagements at McInerny's are kept on file and held until needed. The family or estate will pay for the services at the rates being charged when the funeral is held.

PREPAYING FUNERAL SERVICES

Some people like the peace of mind that comes with knowing that the money needed for a funeral has been set aside. New York State has some of the strongest protections in the country for safeguarding prepaid funeral accounts:

- funeral homes must provide a General Price List with the current prices for any merchandise, services and facilities offered by the funeral home.

- funeral homes must provide a Pre-Need itemization Statement that lists the items of merchandise, services and facilities chosen, and the price of each.

- funeral homes must provide a Pre-Need Agreement that outlines all the terms, as well as the rights of the purchaser.

- funds prepaid must be deposited within 10 days in an interest-bearing account or a government-backed investment, such as U.S. Treasury bills.

- The funeral home must notify the purchaser where the money has been deposited within 30 days of the deposit.

- The money still belongs to the purchaser. The funeral home can only close out the account when services have been provided.

- The purchaser can withdraw the principle and the accrued interest at any time. The exception to this is if the purchaser has become Medicaid eligible. The account then becomes irrevocable. A different funeral home and depository may be selected but the funds have to stay for funeral expenses.