Why a Funeral Trust is a Key Part of Estate Planning

In estate planning, a lawyer can assist you in establishing a living trust to protect your legacy, ensure your assets are distributed according to your wishes, and help your family avoid unnecessary delays and expenses. Similarly, at Mount Sinai, we offer a funeral trust that provides these same benefits. It secures your legacy, ensures your family understands your wishes, and eliminates delays in accessing funds—offering peace of mind during a time when critical decisions need to be made quickly.

What is a Funeral Trust

A funeral trust allows you to prepay and plan for your arrangments from transportation at the time of need through the service to the memorial marker. At Mount SInai, we also offera fixed 3% compounded annual interest rate on your contributions, as well as offering a matching Mount Sinai credit in consideration of rising costs. Unlike other funeral homes that offer preneeds and prepaid plans, a Mount Sinai funeral trust is completely revocable up until the last payment, whereas other funeral homes will only offer credit for their business.

Benefits to Choosing Funeral Trust

Choosing to create a funeral trust provides several key advantages over placing funds in traditional trusts associated with estate planning. A Mount Sinai trust allows you to:

  • Financially Secure Funeral Details: With a Mount Sinai funeral trust we have you covered from tranpsoration, property selection, to your tablet.
  • Avoid Probate: Assets in a living trust bypass probate court, saving your heirs time and reducing legal expenses.
  • Immediate Accessibility: Unlike life insurance payouts or wills, funds are immediately available when needed.
  • Offset Inflation: Contributions in our funeral trust grow at a fixed 3% compounded annual interest.
  • Intrest Free Payment Terms: We never charge you interest on your payment plan with Mount Sinai.
  • Peace of Mind: A funeral trust relieves your family of making a myriad of difficult decisons during an equally dificult time.

What is Mount Sinai’s Matching Credit

Your contributions earn 3% compounded interest accrued semi annually. Think of compounding interest as a way for your money to grow on its own. Each year, your trust earns interest (3%) not just on the original amount you put in, but also on the interest that has already been earned. Over time, this can add up to a lot more growth compared to regular, simple interest.

For example:
If you put $10,000 into our funeral trust, in the first year you’d earn $302.25 in interest. This happens because after the first six months you will earn $150 in interest (just like simple interest). But, for the second six months, you’re earning interest on $10,150 instead of just the principal. This results in slightly higher earning for all subsequent interest deposits.

We understand that rising costs can be unpredictable and that the interest you earn may not be enough. Mount Sinai offers to match the amount of accrued interest on your trust as a credit that can be used at Mount Sinai towards any of our physical goods and services that we offer.

How to Set Up Your Funeral Trust

Setting up a funeral trust is simple and starts with a consultation. Here’s how to get started and what we will cover:

  1. Meet with an Advisor: Call our Advance Planning Department at (323) 769-1330 and ask to set up a consultation with one of our Advisors.
  2. Create Your Trust: Start with $1,000 and a one-time $250 set-up fee.
  3. Complete Your Memorial and Record Guide: Our caring Advisors will set with you and walk you through your options and help you document your wishes.
  4. Contributions Grow: Offset inflation with 3% annual compounded interest.