Pre-Paid Funeral

Contributors to a Ninness Funeral Home pre-paid funeral account can have the peace of mind of knowing that the cost towards their funeral is provided for up to a maximum of $10,000.

Providing towards the cost of a funeral in advance has the advantage of avoiding any awkwardness or embarrassment to any relative as the result of funeral expenses.

When funds are withdrawn by Ninness Funeral Home to meet funeral expenses an invoice is issued to the executor of the contributor’s estate. If there is any shortfall in funeral expenses a further invoice will be issued to the executor for payment. Any surplus funds after payment of funeral expenses will be refunded to the executor.

Exemption From Social Welfare Means Testing
A pre-paid funeral assists elderly contributors who may be in a rest home or are contemplating entering one as Social Welfare rules provide for an exemption of $10,000 from a person’s estate to prepay funeral and related expenses. This amount is not included in a person’s assets being assessed for means tested rest home subsidies received via district health boards.

Funds Held In A Trust Account
Funds deposited as a pre-payment on a funeral are held in a Bank of New Zealand Client Fund Service account administered by Ninness Funeral Home. It is a trust account that records all funds owned by individual contributors. It is subject to independent audit each year. The trust account is separate to the business bank accounts of Ninness Funeral Home.

Deposits
There is no minimum amount of deposit. Funds may be deposited at any time in any amount, and all funds held earn interest. Interest is paid quarterly, and compounded, at the rate applied to Bank of New Zealand Client Fund Service accounts by the bank from time to time. The rate of interest paid is subject to change without the giving of notice.

Other Information
The pre-paid funeral account is provided by Ninness Funeral Home at no charge, however, Ninness Funeral Home does reserve the right to introduce a charge to cover such expenses as audit fee in need.

If funds are withdrawn to pay a funeral home other than Ninness Funeral Home to carry out funeral arrangements, an account service charge of $300 will be applied by Ninness Funeral Home. This amount will be deducted from the funds held in the pre-paid funeral account.

Resident Withholding Tax at the prescribed rate is deducted from interest paid on funds and is remitted direct to the Inland Revenue Department, and a certificate advising of the deduction is provided.

No commission or other payment is received by Ninness Funeral Home in relation to a pre-paid funeral. Its employees do not provide any financial or investment advice. Potential contributors seeking such advice should contact a financial or investment adviser, or their solicitor.