Planning Ahead

The idea behind funeral pre-planning is simply that you can have all of your funeral plans done in advance including funding the funeral, should you so choose. There is no doubt that those who plan ahead are more comfortable knowing not only that their personal wishes will be followed, but that their children will not have to go through the stress of planning the funeral for them.

You and your family can benefit when funeral arrangements are made well in advance of their need. By discussing plans in advance, you can take all the time necessary to make the decisions regarding the type of services preferred. A carefully planned funeral service can also be the most comforting to your family. It can spare them from facing decisions that can be so difficult at the time of death.

At Shaughnessey-Banks Funeral Home, our Directors strive to make every service personal, unique, and special; a tribute for each family to treasure. Below are some frequently asked questions regarding pre-planning. You may wish to jot some notes down from these questions, (or go to the Online Planning page of this web site) before setting an appointment with a Funeral Director. When you feel you are ready to begin the pre-planning process, consider this list of steps to take.

Frequently Asked Questions

The following information has been prepared to answer some of the questions we frequently receive about pre-arrangement.

Why do people pre-arrange a funeral service for themselves or a family member?

There are many good reasons. Some plan ahead because there will be no one who they trust to make responsible decisions. Others have definite preferences concerning their funeral service, and they want their wishes to be known and their directives followed.

Many people pre-arrange because they like the peace of mind knowing there will be adequate funds to cover funeral expenses. Also pre-payment can provide real benefits when you are spending down for Title XIX.

Most importantly, pre-arrangement guarantees that rational decisions can be made ahead of time without the sense of urgency when death takes place.

How is Pre-Planning Done?

Our funeral home staff member will meet with you at a time that is convenient, and assist you in recording your wishes. You choose everything you want for your funeral: the type of funeral service, casket, burial vault, music, and flowers. Important obituary information will also be recorded. Once you have made your selections, you will learn the payment options available to you. A record of your selections will be kept on file at the funeral home until needed.

What will the pre-arranged funeral service cost?

There is no cost to sit down and preplan the funeral. The cost of the funeral depends on the services you select. All funeral costs at the Shaughnessey-Banks Funeral Home are provided on the General Price List which will be given to you when you sit down to preplan. Funding the pre-arranged service is a choice most people make to ease possible financial pressures on their family. Pre-funding allows you to pay for the funeral service at current prices. As your plan grows over time, the interest accrued offsets inflation, and should provide adequate funds for the future cost of the funeral.

Where does the money go that I prepay into the plan?

Mandated by Connecticut State law, Shaughnessey-Banks Funeral Home will deposit 100% of the money received for a funeral into a Trust in your name or write an insurance policy to cover the cost of the funeral. These monies cannot be released to us until after the funeral is over and once a completed Death Certificate is provided to them.

How can I be sure the funeral home won't charge my loved ones more at the time of my funeral?

Shaughnessey-Banks Funeral Home is contractually obligated to provide all of the service and merchandise included in your Shaughnessey-Banks Funeral Home Contract. The only change would be if the survivors would wish to purchase any merchandise or service in addition to the prearranged plan. Shaughnessey-Banks Funeral Home cannot guarantee cash advance items such as the opening of the grave because cemetery charges may increase in excess to the cost of inflation.

What if the cost of the funeral service I prepay is greatly increased in actual cost at the time of my death?

By contract, Shaughnessey-Banks Funeral Home can never charge more for any of the services and merchandise that you have chosen to be included in your Shaughnessey-Banks Funeral Home Contract. The interest on the money which is accruing in the Irrevocable Funeral Trust is used to offset the increase due to inflation. An insurance policy also provides a yearly increase.

What if your funeral home is no longer in business at the time of my death?

Because your money is held in an Irrevocable Trust governed by Connecticut law or an Insurance Policy, it will always be there for your funeral, even if Shaughnessey-Banks Funeral Home were to be purchased or go out of business. The trust or insurance policy is in your name, not the funeral home's name. Therefore, the trust can be transferred to another funeral home of your choice or the insurance policy can be rendered at another funeral home.

What if my family moves out of the area before I die? Do we lose the money paid to Shaughnessey-Banks Funeral Home?

Should you move outside of our service area, your Shaughnessey-Banks Funeral Home Advance Funeral Plan provides for your funeral at the funeral home of your choice.

It may, but aren't your life insurance benefits intended for your spouse's security or your child's education? Also, the cost of a funeral continues to rise while your life insurance benefits don't increase over time.

Doesn't Social Security provide a death benefit?

Social Security Benefits provides a lump-sum payment of only $255, payable to a surviving spouse, or a dependant child. Obviously this is well below the cost of any funeral.

Can Shaughnessey-Banks Funeral Home ever cancel my Advance Funeral Plan?

Absolutely not.

Each Shaughnessey-Banks Funeral Home Advance Funeral Trust is registered with the Internment Trust Services of Chicago, Illinois who will confirm directly to you that a trust has been set-up. Should you choose instead to put your money into a burial insurance account, you will receive periodical updates on your account information.

Can you explain how the Internment Trust works?

There are two kinds of trusts that may be purchased. They are administered by our funeral home through Interment Trust Services of Chicago, Illinois:

Revocable
This is a trust that allows for the price of a casket, a vault, the grave opening, an cremation urn, a monument and engraving of the stone. Because the trust is revocable, you may ask for this money and the interest it has made. At the end of the year you will receive a 1099 statement on which you must pay taxes on the interest at it is considered income.

Irrevocable
This irrevocable trust is most commonly purchased by someone who eventually might need care in excess of their assets. An example of this might be longtime convalescent care for which their assets could be depleted and they need to apply for Title XIX. Once purchased, it can be used for burial purposes only. The state allows up to $5,400.00 to be set aside in this trust. All fees and taxes are taken out at the end of the year by the interment trust. The interest is declared directly to the IRS by the Trust and does not have to be declared on an individual tax return. This trust can be started for any amount. It may be added to at any time up to a total of $5,400.00. Interest that accrues does not count toward the $5400.00 limit, not does it affect eligibility for state assistance under Title XIX.

Is it better to put my money into an insurance policy or a trust?

Everything really depends on a person's age and health situation. We choose to utilize Forethought Insurance which is a AAA Insurance product. Information on this insurance company can be found on www.forethought.com

Online Pre-Planning Form