1. PREPLANNING AND PREFUNDING A FUNERAL Presented by Edward D. Jamie, Jr. Funeral Chapel 217-04 Northern Blvd. (Suite 23) Bayside, New York 11361 (718) 224-2390 A Proud Member of the New York State Funeral Directors Association PrePlan Trust Program

2. What Is Preplanning? Preplanning is the process of prearranging and/or prefunding funeral merchandise and services to be provided in the future.

3. What Is Preplanning? When an individual prepays for a funeral, they are placing the cost of the funeral (at today’s prices) in an investment vehicle, so that the interest earned will keep up with inflation to cover the cost of the funeral (at future prices) when the death occurs.

4. Benefits Of Preplanning Relieves your family of making difficult decisions during their time of grief. Relieves your family of making difficult decisions during their time of grief. Choose how you wish to be remembered and ensure that your personal wishes are carried out. Choose how you wish to be remembered and ensure that your personal wishes are carried out. Medicaid recipients may set aside funds for their funeral expenses in an irrevocable preneed account which will be excluded as a countable resource. They may also set aside funds for specific family members. Medicaid recipients may set aside funds for their funeral expenses in an irrevocable preneed account which will be excluded as a countable resource. They may also set aside funds for specific family members. It saves loved ones from the sudden expense of a funeral. It saves loved ones from the sudden expense of a funeral.

5. Who Owns the PreNeed Account? Until the funeral home has actually provided the merchandise and services, the purchaser remains in control of the account and can change arrangements and/or their choice of funeral home at any time.

6. Prearranging a Funeral is Easy Select a funeral home Meet with funeral director Review General Price List Select desired services and merchandise

7. Next… Funeral Director prepares a fully itemized statement and preneed agreement. Funeral Director prepares a fully itemized statement and preneed agreement. Both funeral director and purchaser sign documents and purchaser receives copies of all. Both funeral director and purchaser sign documents and purchaser receives copies of all.

8. Finalize Purchaser submits a check for the cost of the funeral or arranges a payment plan. Purchaser submits a check for the cost of the funeral or arranges a payment plan. The funeral director forwards the funds to a bank or trust such as the New York State Funeral Directors Association master trust, PrePlan. The funeral director forwards the funds to a bank or trust such as the New York State Funeral Directors Association master trust, PrePlan. The purchaser receives a deposit acknowledgement within 30 days, indicating where the money has been placed. The purchaser receives a deposit acknowledgement within 30 days, indicating where the money has been placed.

9. New York State Preneed Laws New York State has the strongest consumer protection preneed laws in the nation. A Purchaser shall receive an itemized statement of goods and services selected, a general price list, and a pre-need agreement. A Purchaser shall receive an itemized statement of goods and services selected, a general price list, and a pre-need agreement. The funeral director must deposit the funds in a financial institution or trust in a U.S. government-backed investment within 10 business days. The funeral director must deposit the funds in a financial institution or trust in a U.S. government-backed investment within 10 business days. In New York State, funeral directors cannot charge a consumer any fee for prearranging a funeral. In New York State, funeral directors cannot charge a consumer any fee for prearranging a funeral.

10. NYS Preneed Laws, continued The purchaser shall be notified of the institution where the deposit was made within 30 business days of the initial deposit. The purchaser shall be notified of the institution where the deposit was made within 30 business days of the initial deposit. Each year, the purchaser shall be notified by written statement of all account activity and interest earned. Each year, the purchaser shall be notified by written statement of all account activity and interest earned. All monies paid and interest earned on a revocable agreement shall be returned upon the demand of the purchaser or their legal representative. All monies paid and interest earned on a revocable agreement shall be returned upon the demand of the purchaser or their legal representative.

11. Irrevocable Accounts Restricted to applicants for or recipients of Medicaid/SSI and specific family members of the applicant/recipient. Restricted to applicants for or recipients of Medicaid/SSI and specific family members of the applicant/recipient. Funds may not be withdrawn prior to the occurrence of death. Funds may not be withdrawn prior to the occurrence of death. Funeral homes may be changed at any time. Funeral homes may be changed at any time. Excess funds after the funeral expenses must, by law, be forwarded to the county. Excess funds after the funeral expenses must, by law, be forwarded to the county.

12. Revocable Accounts Funds may be withdrawn at any time prior to death (including all principal and interest) without penalty. Funds may be withdrawn at any time prior to death (including all principal and interest) without penalty. Any overage remaining in the account after the funeral services have been provided must be disbursed to the decedent’s estate. Any overage remaining in the account after the funeral services have been provided must be disbursed to the decedent’s estate.

13. If A Funeral Home Closes Funeral service is strictly regulated by the NYS Health Department Bureau of Funeral Directing. Funeral service is strictly regulated by the NYS Health Department Bureau of Funeral Directing. All accountholders must be notified in writing within 30 days of a funeral home closing. They may then choose to transfer their preneed account to another funeral home or request a refund of their deposits plus all interest earned. All accountholders must be notified in writing within 30 days of a funeral home closing. They may then choose to transfer their preneed account to another funeral home or request a refund of their deposits plus all interest earned. The Bureau of Funeral Directing closely monitors the process and receives information on the resolution of all preneed accounts. The Bureau of Funeral Directing closely monitors the process and receives information on the resolution of all preneed accounts.

14. Who Is Preplan? PrePlan is a preneed trust program sponsored by the New York State Funeral Directors Association. PrePlan is a preneed trust program sponsored by the New York State Funeral Directors Association. Serving New York’s consumers since 1988 Serving New York’s consumers since 1988 Accredited by the Better Business Bureau with A+ rating Accredited by the Better Business Bureau with A+ rating Over 80,000 consumer accounts Over 80,000 consumer accounts Over $600 million dollars in trust Over $600 million dollars in trust 600 member funeral homes 600 member funeral homes Audited quarterly and annually by an independent auditing firm Audited quarterly and annually by an independent auditing firm

15. How PrePlan Protects Your Funds For the security and stability of the monies entrusted to PrePlan, funds are invested into FDIC insured Certificates of Deposit. For the security and stability of the monies entrusted to PrePlan, funds are invested into FDIC insured Certificates of Deposit. The portfolio of CD’s is strategically diversified among 30 different highly rated banks. The portfolio of CD’s is strategically diversified among 30 different highly rated banks. Investments are overseen by five PrePlan Trustees who are actively engaged in funeral service, with the assistance and expertise of an investment advisory firm. Investments are overseen by five PrePlan Trustees who are actively engaged in funeral service, with the assistance and expertise of an investment advisory firm.

16. Do You Have Questions? Log on to www.nysfda.org for valuable information about many end of life topics including preplanning and to request any of our helpful brochures. Log on to www.nysfda.org for valuable information about many end of life topics including preplanning and to request any of our helpful brochures.www.nysfda.org Call PrePlan at (800)577-3752 and talk to one of our knowledgeable PrePlan administrators. Call PrePlan at (800)577-3752 and talk to one of our knowledgeable PrePlan administrators.