I've customized a way to have a mock funeral. I was inspired by the little underground bar at the cemetery in Sunset Valley.
I remodel the graveyard with a basement...room enough for a bar and a few anti-chambers, and a large chamber for the family I'm playing in that neighborhood. I use the "platform" foundation to create a sort of crypt where you can place an urn. And then I have the offspring of the parents collect all the parent's awards, mementos, etc. and using "build on this lot" (shift + control + click on ground) from having testingcheats on, I purchase any pedestals or what not to place the awards mementos, etc. at the head of the appropriate parent's crypt.
So, it's not really a funeral, but it is a nice way to remember the lineage. Just be sure to finalize any changes prior to placing the Sim's things in/on the crypt. If you go into "Edit mode" once they're placed all the items will go directly to your Sim's inventory and you'll have to place them again. But, you can always use the "build on this lot" option without that happening.
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