Pre-Paid Funeral Plan - How Does It Work?

A pre-paid funeral is a set of funeral arrangements made with a funeral home, as detailed as you desire, that have been paid for ahead of time (meaning either the money has already been paid or has been set aside for this purpose). Funeral plans typically range from $10,000 to $25,000 policy amounts, and are paid for in monthly installments directly to the funeral home.

More and more people are buying pre-paid funeral plans because it’s a way for people to pay for their funeral arrangements before they pass. But not all pre-paid plans make sense financially. Some experts say it may end up costing you more than you would pay for an average funeral after fees and other charges have been calculated.

Let’s take a look at what works, what doesn’t, and what questions you need to ask to ensure you find something that works for you.

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