The first call after a death is not to a lawyer or a bank — it is to the Social Security Administration, because survivors benefits start from your application date, not the date of death. Everything else on the checklist (funeral prices, the VA burial allowance, the final tax return, the creditor letters) can wait a day; that one cannot, and every month of delay is money you never get back. This FAQ answers the questions families ask most in the first two months, using current figures from SSA, the VA, the FTC, the IRS and the CFPB. Rates and thresholds changed on October 1 and for the 2026 tax year, so some numbers you will find on older pages are wrong.
Table of Contents
- Who tells Social Security, and what the family must do
- The $255 payment, and the benefit you have to send back
- What the VA pays toward a veteran's burial
- Can a funeral home refuse to give prices over the phone?
- Final tax returns and the estate tax threshold
- Do you have to pay the debts?
- Frequently Asked Questions
Who tells Social Security, and what the family must do
The death usually reaches Social Security through the funeral home. Give the funeral director the deceased person's Social Security number and ask them to report it; that is the normal route and it costs nothing. Reporting it, though, is not the same as claiming anything. According to the SSA's guidance on what to do when someone dies, you cannot report a death or apply for survivors benefits online.
You have to call 1-800-772-1213 (TTY 1-800-325-0778), weekdays 8:00 a.m. to 7:00 p.m. Make that call early, even if the funeral home has already reported the death. SSA pays survivors benefits from the date of the application, not the date of death, so a widow or widower who spends six weeks on paperwork before calling has permanently forfeited those weeks. There is no backdating to fix it later.
The $255 payment, and the benefit you have to send back
Two separate things happen with Social Security money, and families routinely confuse them. The first is the one-time lump-sum death payment of $255. SSA normally pays it to a surviving spouse who was living in the same household, or to certain eligible children if there is no qualifying spouse. The application must be filed within two years of the death — a deadline that is easy to miss while an estate drags on. The second is less welcome.
Social Security pays no retirement, survivor or disability benefit for the month of death. Because benefits arrive the month after they are earned, the deposit that lands the following month is not yours to keep: a July death means the August deposit must be returned. SSA's survivors booklet tells families to ask the bank to return any direct deposit for the month of death or later. Spending that deposit creates an overpayment SSA will pursue. Supplemental Security Income works the opposite way — SSI is payable for the month of death.
What the VA pays toward a veteran's burial
For a veteran who died on or after October 1, 2026, the VA burial allowance is $1,032, plus a separate $1,032 plot or interment allowance. These rates rise every October 1, so a page quoting last year's figures understates what the family can claim.
The filing deadlines differ by claim type, and this is the trap: If the death may be connected to service, there is no rush in the legal sense — but gather the discharge paperwork and the funeral bill while they are still on the kitchen table. The allowance is a reimbursement, so keep the itemized invoice, not just the credit card receipt.
- Non-service-connected burial allowance: file within 2 years after burial.
- Service-connected death claims: no time limit.
Can a funeral home refuse to give prices over the phone?
No. Under the FTC's Funeral Rule, a funeral provider must give accurate price information from its General Price List, Casket Price List and Outer Burial Container Price List to anyone who telephones — and you do not have to give your name. The provider must also hand a free copy of the General Price List to anyone who asks in person. The FTC's compliance guide sets out both obligations; it does not require the home to mail you a list.
"We don't quote prices over the phone" is a legal violation, not a house policy. FTC staff ran their first undercover funeral-pricing phone sweep and found Funeral Rule violations on 39 calls, with outright refusal to answer price questions by phone the most common failure. Practically: call three homes before you sign anything, ask for the same itemized figures from each, and if one stonewalls, treat that as information about the business. You are entitled to the numbers before you walk in grieving and agree to a package.
Final tax returns and the estate tax threshold
Two different filings get confused here. The final income tax return covers the deceased person's last year of income. The estate tax return, Form 706, covers the value of the estate — and for 2026 the federal basic exclusion amount is $15,000,000, up from $13,990,000 in 2025. Almost no family owes it.
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If a 706 is required, it is due nine months after the date of death, extendable six months with Form 4768. Note what that extension does: the IRS Form 706 instructions make it an extension of time to file, not automatically an extension of time to pay. On the income tax side, the refund question has a simple answer for most households. A surviving spouse filing a joint final return does not need Form 1310 — they sign the return and write "Filing as surviving spouse." A court-appointed representative who attaches the certificate of appointment does not need it either. IRS guidance on final returns says anyone else claiming the refund must attach Form 1310, current revision December 2025, and keep proof of death on file rather than filing it.
Do you have to pay the debts?
Generally, no. CFPB guidance is that no one else is required to repay a deceased person's debts. The debts are paid out of the estate, and if the estate cannot cover them, they usually go unpaid.
Collectors calling a grieving relative are not describing a legal obligation. The CFPB's answer on debts after death lists the real exceptions: Serving as executor does not make you personally liable. The one way to create liability where none existed is to pay an estate debt out of your own money and then discover the estate is insolvent — so route every payment through the estate account, and ask a collector in writing which of the three categories above they claim applies to you.
- You co-signed the loan.
- You were a joint account holder — an authorized user on a credit card is *not* a joint holder.
- You are a surviving spouse in a community-property state, or in a state with "necessaries" laws covering essentials like medical care.
Frequently Asked Questions
The funeral home reported the death. Do I still need to call Social Security?
Yes. Reporting the death is not an application for anything. The $255 lump-sum payment and monthly survivors benefits both require a call to 1-800-772-1213, and benefits run from your application date.
How long do I have to claim the $255 death payment?
Two years from the date of death, per SSA. It is normally paid to a surviving spouse who shared the household, or to certain eligible children if there is no qualifying spouse.
We already spent the Social Security deposit that arrived after the death. What now?
Contact SSA and the bank. No retirement, survivor or disability benefit is payable for the month of death, so that deposit is an overpayment SSA will recover. Returning it promptly avoids collection against later survivors benefits.
A funeral director said prices are only given in person. Is that allowed?
No. The Funeral Rule requires accurate telephone price quotes from the General Price List, Casket Price List and Outer Burial Container Price List, and you need not give your name. FTC staff's first phone sweep found refusal to quote by phone was the most common violation.
Do VA burial rates depend on the date of death?
Yes — rates rise each October 1. For a veteran who died on or after October 1, 2026, the allowance is $1,032 plus a $1,032 plot or interment allowance.
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