My aunt is in a nursing home and on Medicaid. She signed and paid for a funeral home plan 25 years ago.

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My aunt is in a nursing home and on Medicaid. She signed and paid for a funeral home plan 25 years ago.

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I recently called the funeral home to inquire about the status of my aunt’s prepaid funeral plan. They said there is now a 560.00 shortfall. The nursing home told me that I can use the money in my aunt’s Personal Needs account to pay for the shortfall. Do I need to request a bill from the funeral home?

Financial Planning Forms & Documents Funeral Planning Medicaid

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What the preneed covers can change over time if contract was worked to allow for this. It will favor the FH to do this. It is what it is. That it is only $560 is fortunate.

My parents bought both FH preneed and then separately a vault in the 110 yr + old Catholic cemetery. The cemetery was doing a not in the ground expansion and offered the vaults via some type of dog & pony show throughout the Archdiocese. It was not cheap. All my Dads doing. Anyways he dies and then 30 years later, my mom goes onto hospice while being in a NH. I took both policies to go over what need to happen when mom finally died (ended up 18 months on hospice). Well the FH policy itself (casket, embalming, visitation room) had no cost increases BUT in the intervening years the once free police escort to/from the FH to the cemetery now had a charge that the FH billed for (and you had to have it) and now was a pickup from the NH fee. The cemetery also had all these extra fees, like $2,500 to open the vault and a groundkeepers fee to open & close the cemetery gates.

Doing a cremation be a fraction of the traditional costs!

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Reply to igloo572

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Do check with the policy holder such as dignity memorial or such. You can also see what the plan covers by second opinion at a different place. These plans are pre sold and advertised today that plans prices do not go up. It might be the funeral home has a scam going. You should inquire now. I had my mom's document, paid for cremation locally then proceeded to the next location to cash out. She wanted the stationary included but she was 98 and there was little need. But I got it anyways because she included it in her policy

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Reply to MACinCT

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I didn't have to pay any extra for my dad's or mom's cremation. They did not want funerals, so I suppose that is the difference. (I had a celebration of life for them at their home after Mom died). I have been aware that prices go up and have hesitated to prepay for my own burial expenses. I would choose a natural burial. I even wonder what would happen if the funeral home closes before I die. What then?

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Reply to ArtistDaughter

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The money in my mother's pre-paid funeral account did not have enough money to cover the funeral she wanted. We scaled back a lot. All the costs went up in the 8 years since she had set it up, The services that stayed the same were only those the funeral home provided. The funeral home was decent about working with us to pick and choose what we needed. At the end we had $200 left which we put into my father's funeral account

Ask the nursing home what they need. I am sure it will involve an invoice from the funeral home.

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Reply to Hothouseflower

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Sheesh, what a scammy industry.

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Reply to brandee

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After 25 years I am sure funeral costs have skyrocketed. My thought was, only $560? I don't think having a prepaid funeral locks the cost in. There must be a contract. I had one for my Mom.

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This doesn’t surprise me a bit. I truly found funerals homes and cemeteries to be horrible vultures when my dad died. He’d long ago prepaid for funeral and buried. Yet when I arrived to schedule it, they tried in many ways to extract more money. I was so sad and overwhelmed I didn’t half know what they were talking about. The one thing I knew was not to agree with or sign anything. My husband, thankfully, reviewed it all and called them on their BS. The only extra we paid was the opening and closing of the vault, what they term the concrete casing that holds the casket. The rest was just them being slimy. I don’t know about using aunt’s personal needs account, but I do advise waiting and being very sure of what you’re agreeing to pay. I wish you well

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Reply to Daughterof1930

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You need to talk to the person who handles the PNA account. You have to be authorized to withdrawl from the PNA. Yes, you need a receipt to withdrawal for anything.

What is the shortfall, the difference between the cost 25 yrs ago and the cost now. If so, I would wait till her death and see how the acct stands. Does she have the assets allowed. My State its 2k. It could be taken from there.

When Aunt passes, the Executor will get a short certificate from Probate. PNA accts and the assets allowed become part of Aunts estate. The Executor will be allowed to get the PNA funds with a death and short certificate. I think if there is a shortage the Funeral home will still bury Aunt if they get an agreement that shortage will be taken care of.

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Reply to JoAnn29

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Yes, you should receive the invoice and a statement of payment as support documentation if/when Mediciad renewal application is submitted.

You also do not want the personal needs account to have too much money because this is considered an asset and factored into the threshold amount your aunt has to qualify for Mediciad Long Term Care. And at least in NYS, the account balance will not be refunded after her death. Use the money for her needs like clothing, blankets, special treats and so forth. Keep the reciepts.

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Reply to AMZebbC

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My aunt is in a nursing home and on Medicaid. She signed and paid for a funeral home plan 25 years ago.

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