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funeral home charges, while others Basics of NY Estate
may not. If not a guaranteed trust Planning
account, the interest gained on the
trust account can offset the inflationary The death or incapacity of a loved
pressures of the future. one is a difficult situation that,
Are there different types of pre-need unfortunately, all of us face eventually.
arrangements? The difference in the level of difficulty
As opposed to at-need arrangements, faced is entirely in your hands - how
when the death has already occurred, well did you plan for this contingency?
there are several reasons why With proper estate documentation in
families choose to make pre-need place, you can ensure that your family
arrangements. Often, when a loved and legacy are protected, and that
one is in a terminal state, and a family there is as little financial impact on
is referred to a hospice care, pre-need your family as possible.
arrangements are made. Though the The basic estate plan has two
reality of the impending loss is very essential aspects - the designation
difficult to adjust to, the funeral of individuals to act on your behalf in
director will gently guide the family the event of your incapacity, and the
in planning the funeral. A family in proper and clear disposition of assets
this situation will have the option to in the event of your death, with an eye
place the funds into a trust account at towards the minimization of tax and
this time. There are two types of trust administrative burdens on the loved
accounts, irrevocable and revocable. ones you leave behind.
Both types of trust accounts can be In consulting with your attorneys
transferred from one funeral home to for your initial estate planning
another. Pre-need trust accounts in a consultation, bring with you a list of
majority of cases are irrevocable. your assets (including real estate,
This is as a result of an individual bank accounts, investment accounts,
requiring long term care, and is at annuities, retirement accounts),
the point of applying for Medicaid liabilities, insurance policies and if
coverage. An irrevocable trust account applicable, prenuptial agreements
can only be used for the funeral of and judgments of divorce. With this
the beneficiary of the trust account. information in hand, your attorneys
The trust account can be transferred will be able to give you informed
to another funeral home, but can advice regarding the best course of
never be revoked. A certified death action.
certificate of the beneficiary is the
only way the funds can be obtained. The Basic Estate
A prudent individual, not needing Documents
Medicaid, can also establish a pre-
need arrangement and place the Healthcare Proxy
funds into a revocable trust account A Healthcare Proxy is an important
for themselves or another family legal instrument which sets forth the
member. A revocable trust account can person or persons who you would like
also be transferred to another funeral to make healthcare decisions on your
home, but unlike the irrevocable
trust account, it can be revoked, and Ruland Funeral Home - Page 35
the funds returned to the person(s)
making the arrangements.
