Average funeral cost

The type of burial you select can have a significant impact on the cost of a funeral. While the median national funeral with a viewing and burial costs $7,640, the average funeral costs more than $9,000 when a vault is included. A cremation, on the other hand, costs about $350 on average because most funeral homes can handle it in-house. Because of the cost, the National Funeral Directors Association (NFDA) expects cremation to handle 63 percent of funerals by 2025, rather than the 31 percent projected for traditional burials.

Knowing the costs of a funeral and potentially how to alleviate them can make the process a little easier, whether you are planning your own funeral in advance to relieve your family's costs or for someone else's.

Funeral costs to consider

There are numerous costs associated with a funeral:

• Basic service fee: This is a standard service fee that is associated with a funeral. This covers the cost of planning fees, including any permit and administrative fees.
• Service and merchandise fees: These cover things like transporting, preparing, and embalming the body, as well as funeral home fees for the viewing or memorial, as well as any equipment or services needed for the graveside service. You will also need to pay for a casket or burial container, as well as any cremation or interment services.
• Cash advances: Some services, such as funeral flowers, clergy, and organists, may be handled by your funeral home. You may pay an additional service fee or higher prices to compensate for the funeral home's efforts, but according to the Funeral Rule, these additional fees must be disclosed to you in writing.

The average casket costs around $2,000, but premium caskets made of mahogany, fiberglass, wood, and plastic can all cost up to $10,000.

Some buyers buy a casket on their own to avoid third-party markups. You will, however, be responsible for shipping the casket to the funeral home, which may be costly. You can avoid the cost of a new casket if you choose cremation. If you have other burial plans, most funeral homes will rent you a casket for a viewing or for the funeral as a more cost-effective option.

According to the National Funeral Directors Association, these are some of the average funeral costs (NFDA).

• Funeral service fee: $2,100
• Funeral home rental: $500
• Funeral home staff: $500
• Vault: $1,395
• Cremation casket: $1,000
• Embalming: $725
• Urn: $275
• Cosmetic services: $250
• Hearse: $325
• Transportation: $325
• Transportation for the family: $150
• Pamphlets and materials: $160

To assist you in navigating the process, the Federal Trade Commission offers a funeral pricing checklist.

Average funeral costs by state

The NFDA publishes its General Price List Survey once a year. The following are the findings of their most recent 2019 report:

2019 NFDA Average Funeral Costs

Cremation is less expensive than burial regardless of where you live, though some areas are unquestionably less expensive than others. Residents of states such as Colorado or Oklahoma will pay significantly less than those of Kansas or North Dakota.

How to prepare for funeral expenses

For many, death comes unexpectedly, and while loved ones mourn, they must also consider how to pay for such a large unexpected expense. That is why it is critical to plan your finances before you die. There are several options for preparing for funeral expenses.

Life insurance policy

A life insurance policy allows you to contribute to your funeral costs while you are still alive. We all die, as morbid as it may sound. A life insurance policy can help your loved ones after you die by prepaying your funeral expenses with your monthly premiums.

A life insurance policy has the advantage that you will pay a monthly premium and your beneficiaries will receive a death benefit at the end. The benefit can help cover any debt you may have as well as funeral expenses, relieving them of the burden. Furthermore, most beneficiaries will be able to access the benefit within one or two weeks of the insurance carrier reviewing the claim and determining that everything is correct.

There are various types of life insurance policies available to assist you in planning for end-of-life expenses. Term life insurance provides coverage for a set number of years at a fixed premium rate. Because premiums are paid until the maturity date, whole life insurance provides coverage for your entire life. It also provides beneficiaries with additional savings components. Whole life insurance may be a good option if you want lifelong coverage and a diverse portfolio. However, it can be costly and time-consuming.

Final expense insurance

Funeral expenses can also be covered by final expense insurance. Beneficiaries can also use their benefits to pay for other expenses such as medical and legal fees. Elderly people may find final expense insurance most appealing to offset funeral expenses because it costs much less than a traditional life insurance policy because you don't need as much coverage. However, the benefit amount may be lower.

Traditional savings account

For funeral expenses, you can use a traditional savings account. The benefit of a savings account is that the money is kept safe and easily accessible. However, probate can cause delays, so whoever is paying for the funeral may have to pay for it in another way until the deceased's assets are assessed.

Payable-on-death (POD) account

A payable-on-death (POD) account might be a better option than a traditional savings account. This enables you to open a funeral savings account. You name the person you want to control the funds after your death, and that person can then access the funds by simply showing a valid death certificate. The funds are immediately available as soon as the beneficiary shows the death certificate, and the account does not need to go through probate.

Military burial benefits

Military personnel are eligible for special burial benefits, while others may choose a bank loan or prepaid plan through their funeral home of choice.

You can also investigate military benefits like the death gratuity program. This program provides up to $100,000 in tax-free benefits to those who die while serving on active duty or in certain reserve statuses.

There is also a burial allowance benefit of $300 for non-service-related deaths and $2,000 for service-connected deaths.

Advanced arrangements

Nobody knows what will happen to them, and death is unpredictable. You can, however, make funeral arrangements ahead of time to help plan for the future.

One way to prepare is to make a will. The will can specify how you want your funeral to be conducted as well as information on how to pay for funeral services. The will can also designate specific assets that you may leave behind, ensuring that your assets are distributed to the right people.

Advance funeral planning can help you plan financially for yourself and your loved ones. For example, if you have a large number of assets, you can specify in your will that you want one of your assets to be sold by a specific member of your family to cover your funeral expenses. You can also provide specifics about how you want your funeral to be conducted.

Frequently asked questions

What does the average burial cost?

The average funeral cost for a burial is $7,640, but this is subject to a variety of factors that can easily influence the price. Funeral home fees, staff, and services can all vary greatly depending on where you live, so you should always do your homework before settling on a particular funeral home or service.

What does the average cremation cost?

Cremations are significantly less expensive than burials, costing an average of $350. However, you may require additional services such as funeral home staff and service fees, as well as a casket rental for the viewing.

What is the cheapest funeral option?

Many funeral homes mark up their services to account for their time and labor, which accounts for a large portion of funeral costs, but you can avoid these unnecessary costs if you cut out the middle man. Try to do as much as you can on your own, or form a team of friends or family members to assist you.