The Finance Algorithm
§ Tool · tier 2 · independent

Funeral Insurance Calculator.

Calculate funeral insurance costs vs self-insuring. Compare funeral bonds, insurance policies, and savings plans to cover end-of-life expenses.

Live dataFree, no signupOn-deviceLiveupd May 2026
Inputs
Your numbers

Australian average funeral cost is $7,000-$12,000

$
$15k

Amount to cover funeral costs plus any additional wishes

55

Age significantly affects premiums — older age = higher cost

Smoking increases premiums by 50-100%

Compare different ways to fund funeral costs

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$0

Any money already set aside for funeral costs

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Move the sliders or type in the form on the left — the math updates live as you go. Click Get AI verdict when you want a written analysis.

The average Australian funeral costs $7,000-$12,000 for a standard service, and costs are rising annually. Funeral insurance provides peace of mind that your family won't bear this financial burden during an already difficult time. However, funeral insurance isn't always the best option — ASIC and consumer groups have warned that many policies cost more in premiums than the eventual payout. This calculator compares funeral insurance, funeral bonds, and self-insuring to find the most cost-effective approach.

§ Worked examples

Real-world scenarios

Funeral Insurance at Age 55

Non-smoker, 55, wants $15,000 funeral cover.

Estimated premium: $40-$60/month. Life expectancy: ~30 more years. Total premiums: $14,400-$21,600. At $15,000 payout, you may pay MORE than you get back. Alternative: invest $40/month at 5% — you'd have $33,000+ in 30 years. Self-insuring is likely better at this age.

Funeral Bond for Age 70

70 years old, $12,000 funeral bond.

One-off payment of $12,000 into a funeral bond. Bond grows modestly (3-5% p.a.). In 15 years at 4%: worth $21,600. Centrelink assets test exempt (up to ~$14,000). No ongoing premiums, no risk of lapsing. Much more cost-effective than insurance at this age.

§ FAQ

Questions Australians ask

§ Glossary

Plain-English definitions

Funeral Insurance
Monthly premium policy that pays a lump sum to cover funeral costs on death.
Funeral Bond
A lump-sum investment earmarked for funeral costs. Exempt from the Centrelink assets test.
Prepaid Funeral
Paying for funeral services in advance at today's prices, arranged directly with a funeral home.