Talking to kids about death

We had a close family friend who died a few days ago. We are going to a funeral next week and my husband is going to be a pallbearer. In the past we didn't take our kids with us to funerals but we are taking them this time.

We have told the kids about the death and about the funeral. We told them that she died because she was old and lived a long life (the truth is she died from cancer and was not old but we don't want them to know that). We told them that a funeral is a way to celebrate that persons life and share stories with other people who loved that person.

My 7 year old told my three year old that she will die when she is a grown up. My three year old came to us crying that she doesn't want to die when she is a grown up and she asked if grandpa was going to die because he is old.

Any advice on what to say to them? We tried to avoid this for awhile and have tried to word everything very carefully but the kids are still confused and upset.

    Comment deleted
    We talk about going to be better place but I don't specifically say heaven. I am not sure what my exact beliefs are so I struggle with what I should say to my kids about that.
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    Birth: November 24
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    ***Community Manager of*** Mom to four amazing children. I am passionate about helping and supporting new moms as they enter into motherhood. I am a certified doula, certified childbirth educator and an accredited breastfeeding counselor.