Calculating the true cost of funeral plans

Simplifying Funeral Costs for Financial Peace of Mind

While 42% of South African adults have some form of funeral cover, a large number of South Africans are either underinsured or do not have any funeral cover at all. This leaves many families unprepared for the high costs associated with burial expenses, which can burden the surviving family members with considerable financial strain at a time they already carry the heavy burden of grief.

Darren Cohen - General Manager

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13 November 2024

Calculating the true cost of funeral plans

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Understanding the Importance of Funeral Planning

Funeral planning is a critical aspect of financial security that ensures families are not burdened by the high cost of funerals during an emotionally and financially difficult time. In South Africa, the costs associated with funerals can easily surpass tens of thousands of Rands and with Legal&Tax, our Funeral Platinum Plan can cover you up to R30 000 making the process of grief easier by taking away your financial strain. Proper funeral planning ensures that loved ones are not left in a financial lurch, providing peace of mind to those still living.

Click here to find out why Legal&Tax is your practical solution for funeral cover.

Factors Contributing to Funeral Plans

Several factors influence the cost and structure of funeral plans in South Africa. These include:

Location: The cost of a funeral can vary greatly depending on whether it’s held in an urban or rural area, with rural areas often incurring higher transportation costs for the deceased and family.
Service Type: Funerals can range from simple services to more elaborate ceremonies, with traditional or religious customs playing a significant role in the final cost.
Casket and Burial Choices: The quality and style of the casket, whether it’s a simple pine box or an elaborate design, directly impacts the cost. Legal&Tax explored alternative burial options beyond traditional methods which can be found here, should you choose a different burial option to the norm.

If you decide to choose the traditional burial method, there are laws around this and Legal&Tax has provided you with some helpful guidelines.

Additional Costs: These include fees for transport, printed materials, catering, venue hire, flowers, and administration charges.

Practical Tips for Calculating Funeral Plans

When calculating the costs of a funeral, it’s important to consider all aspects of the event. Here are some tips for building a comprehensive funeral plan:

List All Expected Costs: Start by listing all the items and services that will be required, from the casket to the venue and catering. Don’t forget administrative costs like documentation fees.
Evaluate your financial capacity: Understand how much you can realistically afford in monthly premiums – Do your burial plans align with your financial capability. At Legal&Tax, we provide affordable funeral cover premiums for individuals and families.
Consider Your Funeral Type: The type of funeral you choose significantly impacts the overall cost. There are several options to consider:

Burial vs. Cremation: Burial tends to be more expensive due to the cost of a casket, plot, headstone, and ongoing cemetery maintenance. Cremation generally costs less, but there can still be associated costs such as an urn, memorial services, or extra transportation for family members.

Traditional vs. Simple Services: A full, traditional service with a ceremony, visitation, and a large gathering of mourners will cost more than a simple, direct cremation or burial with minimal services.

Benefits of Calculating Funeral Plans

Calculating and preparing a funeral plan offers several key benefits:

Financial Security: Having a clear financial plan ensures that loved ones will not be left with a financial burden when a death occurs, offering them peace of mind.
Avoiding Debt: By knowing the full cost of the funeral, you can plan ahead to ensure you won’t need to borrow money or incur debt, which can be a significant source of stress during an already difficult time.
Simplicity: With all financial aspects planned and settled, your family will be able to focus on the ceremony and honouring the deceased, rather than scrambling to cover unexpected costs.
Less Burden on Loved Ones: A funeral plan can help reduce family disagreements and stress during a challenging time.

With a large percentage of the population without proper funeral cover, and with a country that experienced about 543 221 deaths in 2023, proper planning not only alleviates the financial burden but also ensures that families can focus on what matters most during a time of loss.

With Legal&Tax, you’re not alone

Legal&Tax funeral cover stands out as a reliable and affordable financial solution, designed to ease the burden of funeral costs and help families manage the complexities of end-of-life expenses.