Planning a funeral is never easy, and for many Australians, the financial burden can add extra stress during an already difficult time. That’s why Centrelink provides certain funeral-related payments to help ease the costs. But with the rising cost of living and increasing funeral expenses, many families are asking:

As of now, there has been no official announcement from the Australian government regarding an increase in Centrelink’s funeral payments for 2025. However, understanding the existing benefits and exploring cost-effective funeral options can help families navigate this financial challenge.

At eziFunerals, we’re here to help families find affordable, transparent funeral options while making the most of available financial support.

While Centrelink does not provide a specific funeral grant, it does offer bereavement payments that can help cover some funeral costs.

1. Bereavement Payment

  • A lump sum is paid to the surviving partner or carer of a deceased person who was receiving a Centrelink payment.
  • The amount is typically equal to 14 weeks of the deceased’s Centrelink payments.

More details: Services Australia – Bereavement Payment

2. Pension Bonus Bereavement Payment

  • Paid to the surviving partner of someone who was registered in the Pension Bonus Scheme but did not claim their bonus before passing.
  • The payment amount varies depending on eligibility.

More details: Services Australia – Pension Bonus Bereavement Payment

  • A $3,000 lump sum will be available from February 2025 for Australians who have lost a partner or immediate family member who was receiving Centrelink benefits.
  • This payment can help with immediate funeral and living expenses.

More details: Centrelink Survivors Payment

At this stage, there is no confirmation that Centrelink will increase funeral-related payments. However, the Australian government has introduced other financial support measures to help pensioners and low-income earners manage the rising cost of living.

1. Cost-of-Living Cash Boost (March 2025)

  • A one-time payment of $700 for eligible Centrelink recipients, including pensioners.
  • This payment won’t be specifically for funerals but can help offset costs.

More details: Cost-of-Living Boost 2025

2. Funeral Bonds & Prepaid Funerals Can Help

Did you know that prepaid funerals and funeral bonds can reduce your assessable assets, potentially increasing your Centrelink pension?

For example:

If you allocate $10,000 to a prepaid funeral, your pension could increase by up to $780 per year because these funds are exempt from Centrelink’s asset test.

More details: Centrelink & Funeral Bonds

How eziFunerals Can Help You Save on Funeral Costs

With or without an increase in Centrelink funeral payments, funerals in Australia can be expensive. That’s why eziFunerals is here to help families find affordable funeral options without unnecessary upselling or hidden fees.

Why Use eziFunerals?

  • Compare funeral prices from local funeral directors
  • Transparent pricing with no hidden costs
  • Independent funeral advice to help you make informed choices
  • Prepaid funeral planning to ease future financial stress

Did you know? Many families overpay for funerals simply because they don’t compare prices!

Final Thoughts

While there’s no confirmed increase in Centrelink funeral payments for 2025, families can still access bereavement payments and financial assistance. With rising funeral costs, planning ahead and comparing prices can make a big difference.

At eziFunerals, we help you take control of funeral planning, giving you better choices, better prices, and peace of mind.

Need help planning an affordable funeral?

Visit eziFunerals to compare funeral costs and find the best options for your family.

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Peter Erceg is the Owner and Founder of eziFunerals. He has had a long history within the funeral industry, and is a published author of ‘What Kind Of Funeral: A self help guide to planning a meaningful funeral’. Prior to eziFunerals, Peter worked in the public sector and health industry for more than 30 years. The views and opinions expressed on posts are those of the author and do not necessarily reflect the opinions of eziFunerals and members.