Relatives Struggle as Cost of Dying Soars.
The cost of dying: on top of the death of a loved one, relatives are now receiving bills of £7,000 or more. According to a survey by Sun Life, over 100,000 people now face major problems with the cost of dying and paying for a loved one’s burial or cremation. This makes managing the cost of dying with prepaid funeral plans a vital part of everyone’s financial planning.
Half of those interviewed were shattered by the cost involved and often had to borrow money or sell things to pay for the send offs. In just seven years the price of dying has increased by more than 60%. And the pace of funeral inflation is showing no signs of slowing.
In early 2012 relatives can expect to pay around £2,720 for a cremation or £3,462 for a burial, though these are averages and the cost of dying will vary enormously. Liverpool is apparently a very expensive place to die.
In 2012 fees for solicitors and banks etc average £2,292. Catering, printing, flowers and venue hire, cost a further £1,864. Once again, with wide variations. The cost of dying can be further reduced with the use of Lifetime Trusts: if you home is in such a trust, the cost of probate can be reduced dramatically or even eliminated. Coupled with a prepaid funeral plan, much of the burdensome cost of dying can be taken care of in advance. Some plans will even allow you to add in extra to pay for odds and ends – or even a top of the range party!
Without any major extras, the overall 2012 bill for a burial is around £7,618 and £6,876 for a cremation.
Funeral directors blamed fuel prices and higher crematoria charges, imposed by councils hit by Government budget cuts. The report by Sun Life Direct also said a lack of burial plots is driving up prices burial prices, though as more and more Woodland Burial Sites come on stream, this may slow the rate of increase.
Many people leave responsibility for arranging and paying for their funeral entirely to family and friends, which is hardly fair.
Simon Cox, head of life planning for Sun Life, said: “Many are sleepwalking into a financial nightmare, leaving end of life plans to families, the state or no one.”
He added: “Steps need to be taken to avert the sort of distress and concern experienced by the nearly one in five who struggle with funeral costs.”
Another article which can cut the cost of dying – Free Funerals (medical donation).