Funeral Expenses
Funerals ,Cremations and Memorials
Funding funeral expenses may end up being the most expensive service you will ever purchase so proceed with caution.
If you do not have the money, do not organise the funeral.
The person who organises the funeral will be responsible for the costs.
If there is a will and an executor is appointed then it is their responsibility to arrange payment.
First Things First
Funeral Directors are business men and women. They are therefore motivated to make a profit from their business dealings. You may find that the price of a funeral can be negotiated , and may be reduced by using materials of basic quality and reducing the level of services that may have been provided.
Public Health (Disposal of Bodies)Regulation 2002 outlines in detail the legislated requirements for the handling of deceased persons, the facilities used for storage and the special requirements for vehicles used to transport bodies.
Funding the Funeral
Pre paid Funeral Funds and Funeral Bonds
Some people may have prepaid their funeral or paid money into a funeral fund during their lifetime to ensure that their funeral expenses are covered and depending on the arrangements made, all or some of the costs will be covered.
A list of Funeral Funds can be obtained by contacting:
www.fairtrading.nsw.gov.au/Consumers/
Centrelink
If you are an Australian resident and your partner dies, or an adult for whom you care dies, or you are the parent of a young child who dies you may receive a Bereavement Payment.
The purpose of a bereavement payment is to assist with the settling of financial affairs after a person’s death.It is not a separate payment rather, it is a continuation of the payment that was being received prior to the person’s death.
When one of a pensioner couple dies, the surviving partner will receive a lump sum bereavement payment of up to 13 weeks payment of the difference between the combined married rate the couple were paid and the single rate the survivor will be paid ( where the new single rate is less than the combined married rate.)
When a single pensioner dies the estate will receive one extra payment after death.
Carer Pensioners will receive a lump sum payment of 13 weeks payments after the death of the person for whom they cared.
Single Parents will continue to be eligible for 7 payments after the death of their child.
Two fortnightly payments ( after the death of a child) may be paid to a person receiving basic Family Payment.
Carers on Carers Allowance receive one extra Carer Allowance payment after the death of a pensioner in care.
Stillborn Babies
are babies born that exhibit no signs of life, and are at least 20 weeks gestation or weigh at least 400grams .
Providing that a Maternity Allowance would have been paid had the baby survived, a Bereavement Allowance will be paid as an entitlement.
www.centrelink.gov.au/internet/internet.nsf/payments/bereavement.htm
The Department of Veteran Affairs
The Department may pay an amount towards the funeral expenses of a qualifying ex-serviceman/woman who dies in destitute circumstances. An application must be made to the Department who will assess the eligibility.
More information is available in the package “Planning Ahead - A guide to putting your affairs in order”.
www.dva.gov.au/factsheets/documents/
Superannuation Funds
Superannuation funds may agree to early release of preserved superannuation on compassionate grounds to pay for a member’s funeral or to pay for the member’s dependant’s funeral.
www.apra.gov.au/Superannuation/Early-Release-of-Superannuation-Benefits.cfm
N.S.W. Aboriginal Land Councils Funeral Assistance Grants
NSWALC can provide a grant for funeral costs of up to $5000 for members and a grant of up to $1000 for non-members.
www.alc.org.au/services/funeralassistance.htm
Unions
Unions often provide a funeral benefit for their members and it is worthwhile checking with the relevant association.
Motor Accident Authority
For relatives of a person who dies as a result of Motor Vehicle Accident where the deceased person was not at fault.
Workcover
Funeral benefits are payable if a worker dies as a result of a workplace injury.
Homicide Victims
If the deceased person was the victim of a homicide in NSW it may be possible to get assistance from the Victims Compensation Tribunal to cover funeral costs.
www.lawlink.nsw.gov.au/lawlink/victimsservices
Banks and Building Societies and Deceased Estates
A deceased person’s bank account may in some cases be accessed to pay for funeral expenses prior to probate or letters of administration being granted.
What if there is no money to pay for the funeral?
If the deceased person dies out of hospital and there is nobody willing or able to pay for the funeral expenses , then it is the Police Department’s responsibility to assess the circumstances and organise for the cremation or burial.
If the deceased person dies in hospital and there is nobody willing or able to pay for the funeral expenses then it is the hospital’s responsibility to assess the circumstances and organise for the cremation or burial.
In both situations mourners will be allowed to attend but they will not have much say in how the funeral is organised.
In both circumstances Department of Health will eventually be responsible for payment.