If you're in the process of preparing your estate plan, and you want to include funeral arrangements, now's the time to plan for the costs. Funeral costs can create serious financial difficulties for your loved ones, especially if you haven't done any advance planning. Luckily, there are some steps you can take to make sure that your funeral costs are included in your estate plan. If you're not sure how to handle your own funeral costs, read the list provided below. Here are four methods you can use to pay for your own funeral.
Start a Funeral Savings Account
If you're just starting out on your own, and you want to make sure that your funeral is paid for when you pass away, now's the time to start a funeral savings account. You might not realise this, but a dedicated savings account is an easy way to put money aside for your funeral costs. You can even set up a direct deposit, which allows you to take a set amount out of each of your paychecks. One advantage to this approach is that you can continue adding money to the account throughout your lifetime.
Invest in a Funeral Bond
If you want to pay for your funeral in advance, consider investing in a funeral bond. Funeral bonds are investment opportunities that can increase in value over time. Depending on when you purchase your bonds, you may have enough invested to cover the entire cost of your funeral arrangements.
Prepay for Funeral Services
If you want to pay for your funeral in advance and plan the arrangements ahead of time, now's the time to contact a funeral home near you. Working with a funeral director will allow you to plan for your funeral arrangements, while also prepaying the costs. One of the benefits of taking this approach is that you can make all of the plans for yourself, which means your last wishes will be followed. It also ensures that your funeral will be paid for in full, which alleviates the stress for your family.
Purchase Funeral Insurance
Finally, if you're concerned that you won't have enough time to prepay for your funeral through other means, it's time to purchase funeral insurance. Like life insurance, funeral insurance will pay out on the policy once you pass away. However, once your loved ones file a claim, your funeral insurance will go directly to the funeral home to cover the cost of your funeral.
For more information, contact a company that offers funeral planning solutions.