The Centrelink Age Pension Assets Test to qualify for a full pension changes from 1 January 2017 and for those entitled to a part pension, the amount they lose for owning assets above the threshold increases.
A funeral bond or pre-paid funeral can help to protect Centrelink pension entitlements because it is a Capital Guaranteed Investment and is not classed as an asset by Centrelink.
People can invest up to $12,500 in a funeral bond and there is no limit to the amount they can invest in a pre-paid funeral.
An additional benefit of a pre-paid funeral plan is that prices are fixed so clients can lock in their service at today’s prices.
The benefits of pre-planning a funeral can go beyond financial good sense to also bring peace of mind. Although people don’t like to think about it, the day will come when they will need these services and there are many advantages to planning ahead.
Most importantly, planning ahead gives people the opportunity to create a very personal and meaningful funeral ceremony that reflects what was significant throughout their lives.
Many are also comforted by the thought that pre-planning will reduce the emotional strain or financial burden on friends and family.
Payments for funeral insurance products do not provide the same benefits as a funeral bond or pre-paid funeral plan.
For more information on a pre-paid funeral or funeral bond, contact Kings Funerals Pre-Paid Consultant Julie Spriggs on 5248 3444.
