How to leave money for your funeral

Leaving money in savings

It seems like a good idea to leave money in a savings account to pay for your funeral, but unless it’s a joint account, your relatives might not be able to access it after your death, at least not for several weeks.

Some banks and building societies release funds quickly, but others will freeze an account until probate is granted – which can take weeks. Probate is the legal authority to wind up the affairs of someone who has died.

Find out more about probate here: What is probate?

Funeral plans

A funeral plan is an agreement that ensure your funeral expenses are paid quickly and fully. If you have a funeral plan the cost of your funeral will be covered by the plan and the funds paid directly to the funeral home.

You pay a set amount to for the funeral plan, and the plan provider pays directly for your funeral when you die. You can pay for a funeral plan either with a lump sum or in instalments over several months or years.

The main benefit of a funeral plan is that the cost of your funeral is covered regardless of what happens with the costs of funerals between now and when you die – even if it ends up costing more than you paid into the plan.

It’s worth remembering that there may be funeral costs not covered by the plan, such as a burial plot or flowers.

Life cover

Some people take out over-50s life insurance to help pay for their funeral. They pay a regular premium until they die and the policy pays out.

Life cover can be a good way to spread the cost, but there’s no guarantee that the amount you are insured for will cover the full cost of your funeral when the time comes.