How to Use a Personal Injury Settlement to Cover Funeral Costs

First of all, if a loved one of yours has been killed due to somebody’s negligence, we’re here to tell you we’re so sorry that happened for you. You can use your personal injury settlement money to pay for funeral expenses. And in fact, if you’ve already spent money out of your pocket to pay for those funeral expenses, that money that you receive back from some negligent party is not considered income. So, you will not be taxed on it. Make sure that your attorney puts that money and calls it funeral expense reimbursement, and therefore you won’t be taxed on it. That’s the number one thing I can tell you about receiving money for your settlement specific to funeral expenses.