What's the difference between pre-planning and prepaying a funeral?
Pre-planning is recording your funeral wishes — what kind of service, burial or cremation, music, who to notify — without necessarily setting money aside. Prepaying is committing money to cover the cost. You can do either alone, but they're most useful together. Many NZ funeral directors offer a free pre-planning form; the NZ Government runs the free Te Hokinga ā Wairua / My plan service.
Do I need a lawyer to pre-plan a funeral?
No. Funeral wishes are non-binding even in your will — your executor or family makes the final call. Pre-planning is about communicating your preferences clearly so your family doesn't have to guess. A simple written record kept with your will and shared with one or two trusted family members is enough. If you want your wishes legally enforced (rare), discuss with your lawyer.
What should a pre-plan cover?
At minimum: burial or cremation; preferred funeral director; type of service (full traditional, simple, direct cremation, no service); religious or cultural elements (if any); who should be notified; any specific music, readings, or eulogy preferences; preferred casket level; what to do with ashes (if cremation); and a rough budget. Optional: pallbearers, flowers, charity donation in lieu of flowers, photo for service. The free NZ Government Te Hokinga ā Wairua tool walks you through each step.
Where should I keep my funeral pre-plan?
NOT only in your will — wills are sometimes read after the funeral. Keep a copy with your will, give a copy to your executor and at least one immediate family member, and (if you've chosen a director) lodge a copy with them. The Te Hokinga ā Wairua / My plan service lets you save your plan online and share a link. Some funeral directors keep digital pre-plans on file and update them annually.
Can I change my pre-plan later?
Always. A pre-plan is a living document — review it every few years or after major life events (relationship change, move regions, health change). If your pre-plan is also a prepaid director-contract, changing the funeral home may incur fees or be limited; if it's a trust-pool plan, transfer is usually easier.
Is pre-planning required to access the $10,000 RCS exemption?
No. The Residential Care Subsidy asset exemption — up to NZ$10,000 — requires money set aside in a recognised prepaid funeral plan or trust. Pre-planning (recording wishes) does not by itself activate the exemption; you need a recognised plan with funds set aside. Combine both: record wishes via Te Hokinga ā Wairua + set aside up to NZ$10,000 in a trust or director-contract.
Will pre-planning save my family money?
Indirectly, yes. Bereaved families regularly overspend on funerals — Consumer NZ reports that the median NZ funeral now costs NZ$10,000+ and many families spend more because they don't know what was preferred. A documented pre-plan with stated preferences for level of service, casket, and venue typically lowers spend by 10–30% compared to "leaving it to them to decide in the moment."
Do funeral directors charge for pre-planning?
No. Pre-planning consultations are free with all major NZ funeral directors. Many will visit you at home. The only cost arises if you choose to prepay (set money aside) at the same time. Browse directors in your region in our directory.
