Financial Preparation and Support
Tender Funerals has a pricing philosophy which reflects our values. No one should be unable to access a meaningful funeral, and no one should go into debt as a result of paying for a funeral. Our team will have a conversation with you about your needs. Supporting individuals and families in financial hardship is core to our mission, so we will work with you to create a funeral that meets your needs.
Please be aware when arranging a funeral, all Tender services and costs must be paid for upfront. We believe in transparency and choice – we will present customers with all available options and associated costs. We encourage everyone to consider how they might prepare for their own funerals and the funerals of their family members.
At Tender we believe it is important to financially prepare and save towards your funeral. There are financial products in the market that allow you to deposit a lump sum or sign up to a deposit plan. Tender can provide you information of some of the products that may suit you. Importantly, Tender does not provide financial advice; therefore, you will need to discuss your choices with financial counsellors or advisers before you decide. Where possible this is best done in advance, as we do not want to see people end up in debt.
New product development (savings account with hardship cover):
We acknowledge that saving for a funeral can be a difficult task with alongside other life expenses. We also know families face financial hardship around funeral related expenses. In response to this, Tender has been working with the finance industry to come up with a solution. This new product will be a savings product with a hardship cover.
The new product will help cover the funding gap payment (up to a certain amount) in the event you die before reaching your savings target. Access to this hardship cover will be dependent on your having subscribed to a savings plan of an approved product provider and having demonstrated regular savings behaviour. We will be able to provide more information in the coming months.
Standard savings account:
One of the easiest ways to pay for a funeral is to simply to save for it. Setting up a savings account for your funeral or the funeral of a family member will mean you only put away as much as you need. Critically, you won’t lose the money if you stop making payments.
If you have superannuation, when you die your super fund will pay out your super balance and any life insurance to your dependents or your estate. This money can be used to pay for a funeral but please note that it can take some time for it to be paid out. Your family may need to pay for your funeral and then be reimbursed once probate is granted. Talk to your super fund to see what approach it takes.
In some circumstances (eg. if you have a terminal illness) you may be able to get hold of your super early to cover funeral expenses. You May also be able to get your super early to pay funeral expenses of dependent. For more information, go to the AISC website: https://www.moneysmart.gov.au/life-events-and-you/over-55s/paying-for-your-funeral
Some funerals services provide pre-paid funerals. This is not something that Tender provides. Instead, we offer pre-arrangements and will provide you an estimate for how much your desired funeral will cost. We can then provide you with information on the options available to financially prepare for that funeral and/or put you in touch with a local financial counsellor.
We encourage everyone who is considering a pre-paid funeral to check if your money is protected by a registered fund (only some states have these), review all payment conditions (what are you guaranteed to get for the amount you’ve paid), and explore exit options should you choose to withdraw that money at any stage.
Funeral insurance is another commonly known product. Insurance policies vary in their conditions and coverage. We strongly encourage anyone considering funeral insurance to speak with a local financial counsellor. In many cases, premiums can increase over time and you may end up paying far more than you get back.
Note from AISC: Not all funeral insurance plans are the same. Some plans will let you stop paying your premiums once you have reached the amount you need for your funeral. Shop around for and compare funeral insurance quotes before you sign up.
Other Options and Considerations:
- According to AISC, you may be entitled to funeral payments from the Department of Veterans’ Affairs (DVA), your trade union, or your state or territory government. See DVA: Bereavement assistance 13 32 54 (1800 555 254 for regional callers).
- A bereavement payment may be available through the Department of Human Services. See their webpage on what to do following a death or call 13 23 00 (1800 810 586 for TTY service).
- Investigate crowd funding opportunities like Go Fund Me accounts
- Charitable organisations like St Vincent De Paul may have funding available in the form of vouchers for financial assistance at this time
- Community loan schemes such as NILS may provide offer no or low interest loan options of up to $1500
- Discuss with your legal representatives and/your bank how you will access funds after a death has occurred