Prefunding your Services Selected...
You have several choices for payment. Many funeral consumers prefer to prepay in full or we can set up a payment schedule for you. Either way the payments must be deposited within ten days to an interest bearing, government backed account. We participate in the New York State Funeral Directors Association Preplan Funeral Trust program. This account allows you to make payments in full, or on an installment schedule and also allows you to make additional deposits at any time to help offset inflation costs.
Medicaid and SSI Recipients...
Funeral consumers who are eligible for Medicaid or Supplement Security Income (SSI) are entitled to prefund their funeral expenses by setting up an irrevocable trust. The irrevocable trust allows Medicaid and SSI recipients to set aside and designated funds for the purpose of paying for their funeral and burial expenses. These funds under New York State Law cannot be counted as a resource income. You do not have to worry about it affecting your Medicaid/SSI eligibility. Medicaid/SSI recipients who wish to prepay their funerals must be irrevocable to make sure that the funds will be available when needed and used only for their funeral and burial expenses.
Funeral consumers who are applicants or recipients of Medicaid/SSI and who are getting ready to start the spend-down process which exhaust their personal savings. The Medicaid/SSI recipient and their family should meet with their funeral director as so as possible.
The funeral consumer may have his or her legal representative with them during the funeral arrangement conference. The funeral consumer will select his or her funeral service and merchandise from the funeral home’s General Price List. The funeral service and merchandise will be itemized at current retail value on an itemization of funeral services and merchandise selected contract. The funeral consumer or their legal representative will prepay the arrangements selected and making certain that they will qualify as pre-paid funeral resource exclusion by placing the funds in an irrevocable funeral trust account.
The paperwork supporting this process must meet strict federal and state requirements. Social Service caseworkers and other personnel will require evidence that the funeral service arrangements exist and that the funds have been placed in an irrevocable funeral trust account per New York State Law.
The Funeral Consumer is Protected...
The New York State funeral consumer who pre-funds his or her funerals has their pre-need funds protected by strict New York State Laws. These laws that funeral directors worked to put in place require that pre-need funeral funds must be deposited within ten days in an interest bearing trust account where the principal and interest remain the property of the consumer.
The funeral consumer must remember that your pre-need funeral funds belong to you. Upon your written request the funeral home must advise you of your account balance to include interest. Funeral Consumers who have revocable accounts upon written request may withdraw the principal and interest at any time without penalty. Funeral consumers with revocable accounts can have them transferred to another funeral home per their request.
The funeral consumer who has an irrevocable trust account upon written request must advise you of your account balance to include interest and it can be transferred to another funeral home per your request. The only difference is the irrevocable trust account monies cannot be withdrawn from the funeral trust account. It must be used for the sole purpose to take care of the funeral and burial services for Medicaid or SSI recipient designated for in the pre-need contract.
Funeral Consumer Prefunding Checklist...
1. Did you receive a copy of the funeral home’s General Price List?
2. Did you receive a copy of the Itemization Statement and Preneed Agreement you signed at the funeral home?
3. Did you receive a confirmation statement of the money you left as a deposit within thirty days?
4. Was the deposit sent to the financial institution within ten days of the date you signed your pre-need funeral agreement?
5. Did the name of the financial institution appear on the confirmation statement?
6. Was the Pre-need Funeral Trust money deposited in an interest bearing account or a government backed investment such as United States Treasury bonds?
7. If you have applied or currently receiving Medicaid did you sign an Irrevocable Funeral Trust Agreement? By law you must sign an irrevocable funeral trust agreement and any money that was left over after the funeral service was completed will be returned to the local Department of Social Services Office.
8. After you made additional deposits to your preneed funeral trust account. Did you receive a confirmation statement after each deposit?
9. At years end, you will receive an Annual Statement showing monthly interest activity to your pre-need funeral trust account. You may be responsible for paying income tax on these interest payments depending on your own situation.
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Testimonials...
Preplanning a loved one's death may seem very hard to do, but when that day actually comes and you have already discussed and preplanned and prepaid your funeral arrangements makes things a little less stressful for our entire family that is left behind. You won't have the burden of feeling like you did not know what that special person in your life really wanted. I know this because my mom and I have discussed what she wants and we have everything preplanned in advance. It gives you and your entire family a peace of mind knowing that every detail has been addressed and you won't have to worry about do we have enough money to pay for the funeral arrangements, because it has already been done in advance of need.
Amy S.
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