Losing a loved one is one of the most painful experiences a family can go through. But on top of the grief, many families are hit with a bill they were not prepared for. The average traditional funeral in the United States costs between $7,500 and $10,000. If your family does not have that money saved up, the days following a death can feel completely overwhelming.
If you are facing this situation right now, or if you want to make sure your family never has to face it, this guide is for you. We will explain every option available for paying for a funeral without savings — and we will tell you which ones to avoid.
Options for Paying for a Funeral Without Savings
1. Life Insurance Policy
If your loved one had a life insurance or final expense policy, this is the first place to look. Call the insurance company immediately to file a death claim. Many companies will pay out within 24 to 48 hours of receiving the death certificate. This is the fastest and most reliable way to cover funeral costs.
2. Social Security Death Benefit
If your loved one was receiving Social Security benefits, their surviving spouse or eligible child may qualify for a one-time lump sum death payment of $255. While this will not cover the full cost of a funeral, it is money you are entitled to. Contact the Social Security Administration at 1-800-772-1213 to apply.
3. Veterans Benefits
If your loved one was a veteran, the U.S. Department of Veterans Affairs (VA) may cover some or all of the burial costs. Eligible veterans can receive burial in a national cemetery at no cost, and there may be an allowance for burial expenses. Contact the VA at 1-800-827-1000 for details.
4. Medicaid or State Assistance
Many states have programs that provide a small burial allowance for low-income individuals. The amount varies widely by state, but it can range from a few hundred dollars to a few thousand. Contact your local Department of Social Services or Medicaid office to find out what is available in your state.
5. Crowdfunding
Platforms like GoFundMe have become a common way for families to raise money for unexpected funeral expenses. While this can be helpful, it is not reliable — there is no guarantee that you will raise enough money, and it can take time to collect the funds.
6. Payment Plans from the Funeral Home
Some funeral homes will work with families on payment plans. However, be aware that many funeral homes charge interest, and you could end up paying significantly more than the original cost of the funeral.
Options to Avoid
Credit Cards and Personal Loans: Putting a $10,000 funeral on a credit card at 20% interest is a financial disaster waiting to happen. Families who do this often spend years paying off the debt. This is one of the most important reasons to plan ahead with burial insurance.
What This Means for You
If you are reading this because you are currently in a crisis, we are sorry for your loss. Use the options above to find every resource available to you. If you are reading this because you want to make sure your family never faces this situation, the answer is simple: get a final expense insurance policy today. For as little as $30 to $50 a month, you can guarantee that your family will have the cash they need to give you a proper farewell — without going into debt.
If you want to protect your family from this situation, call now to speak with a licensed agent: 1-866-332-1427.
Frequently Asked Questions (FAQ)
What is the cheapest type of funeral?
A direct cremation is typically the least expensive option, often costing between $1,000 and $3,000. This involves cremation without a formal funeral service or viewing.
Can a funeral home refuse service if I can’t pay?
Funeral homes are businesses and can require payment before providing services. However, many will work with families on payment arrangements, especially if you are waiting on a life insurance payout.
How long does it take for life insurance to pay out?
Most life insurance companies pay out within 24 to 48 hours of receiving a completed death claim and a certified copy of the death certificate.
Don’t Leave Your Family in This Position
The best way to protect your family from a financial crisis after your death is to plan ahead. A final expense insurance policy is the simplest and most reliable solution.
If you want to see what you qualify for, call now to speak with a licensed agent: 1-866-332-1427.