Practical budget-friendly funeral planning tips

The cost of a funeral is on the rise in Australia. 

According to the latest Australian Seniors Cost of Death 2.0 Report 2023, the cost of burials rose to $11,039 in 2023 (compared to $9,055 in 2019), and cremation services increased to $8,045 (compared to $6,334 in 2019). In fact, 89% of over 50s strongly agree that funerals are becoming too expensive now.

Despite rising funeral costs, there are ways to lower it by planning ahead. In this practical guide, discover what factors influence the cost of a funeral and how to reduce the financial burden on you and your loved ones. 

Calculating average funeral costs

There are so many factors that influence the cost of a funeral, from the location to whether you opt for cremation vs. burial. There are also optional extras such as floral arrangements, catering and custom headstones that can increase the cost too. 

In recent years, the rising cost of living and inflation have sparked for Australians over 50 to opt for budget-friendly funeral plans. According to the Australian Seniors Cost of Death 2.0 Report 2023, older Australians are changing their funeral preferences to be more simplistic (26%), cost-conscious (24%) and focused on cremation or other cheaper alternatives (22%). 

Are you wondering how much a funeral can really cost? Try our funeral cost calculator – it’s fast, free and based on in-depth research commissioned by Australian Seniors. 

4 practical ways to plan a cost-effective funeral

Even as prices rise, there are ways you can combat growing funeral planning costs. Here are four tips you can use to plan a meaningful low-cost funeral that celebrates your life or the life of a loved one. 

1. Compare your options

In most cases, there should be several funeral homes and funeral directors to choose from in your local area. This gives you the ability to compare your options and obtain quotes from a number of providers to see which funeral home aligns with your needs and budget. 

Ideally, chat with multiple funeral homes to obtain transparent quotes about how much your ideal service will cost. Alternatively, consider requesting price lists from the funeral home to understand their standard fees and charges. 

This will help you assess what the average price for a funeral is in your local area, and even give you accurate, up-to-date information to negotiate a better rate. 

2. Opt for no-service cremation or cremation-only package

There are a range of funeral packages available, from basic funerals to premium full-service funerals. If you’re looking to reduce the cost of a funeral, you might want to consider a no-service cremation or cremation-only package rather than an all-inclusive burial service. 

As the name suggests, a basic funeral involves a simple cremation service and death certificate with no formal ceremony. However, your loved ones have the opportunity to organise a small memorial or an end-of-life celebration at another location (such as a relative’s home, place of worship or even a local pub). 

According to Moneysmart, basic cremation packages in NSW cost $4,000 on average, making this a much more cost-effective option. 

3. Simplify your funeral plans 

In a similar vein, it’s important to express your wishes that you’d like a low-cost funeral with your loved ones. As part of your end-of-life planning, it can be helpful to write a list of how you’d like your life to be celebrated and the style of ceremony you’d prefer. 

Some of the biggest funeral expenses include booking a funeral director or celebrant, embalming, and selecting a burial plot. Optional extras such as lavish floral displays, catering and burial funeral costs can significantly increase your expenses. 

By keeping your funeral plans simple (such as opting for a church or chapel service and a basic cremation with a memorial service), you can reduce the financial burden of your funeral and ensure this celebration aligns with your preferences. 

4. Select a low-cost coffin or casket 

One of the key reasons why burials are so much more costly than a cremation service is this: coffins can be incredibly expensive. 

However, you can drastically reduce these expenses by opting for an eco-coffin. Typically, eco-coffins are made from recycled materials (like cardboard, wicker, or bamboo) that are more environmentally friendly and available at a fraction of the cost of a typical coffin. 

Ultimately, the best way to navigate the costs of a funeral is to plan ahead, compare your options and communicate your funeral preferences with your loved ones. While cost-of-living pressures are increasing the price of goods and services, by opting for a direct cremation or an eco-conscious coffin, you can lower the financial impact of a funeral on you and your family. 

Even with the best budgeting hacks, funerals can incur large costs. You may consider helping your family with a degree of protection setup for yours and plan ahead with Seniors Funeral Insurance.