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Death-care industry sees rising costs and consolidation

The cost of funerals and cremations in the US has risen, with a typical funeral costing $8,300 and cremation over $2,200. This has led some families to improvise arrangements due to affordability issues.

  • A typical funeral with viewing and burial in the US costs $8,300.
  • Cremation now costs more than $2,200.
  • Large death-care conglomerates have absorbed independent funeral homes, leading to consolidation and increased pricing power.

The cost of death-care services in the US has become a significant financial burden for many families. A typical funeral, including a viewing and burial, is priced at $8,300. Even cremation, often seen as a more affordable alternative, now exceeds $2,200.

This financial pressure has led some individuals to make unconventional arrangements. One individual recounted having to divide their mother's remains into plastic bags and later scattering them in a national park without the required permit, as they could not afford the official options or wait for permissions.

The industry's shift towards higher prices is partly attributed to consolidation. Over the past two decades, large death-care conglomerates have acquired independent funeral homes. This has, in some markets, given them enough pricing power to attract federal antitrust attention.

Justin Crowe, founder of Parting Stone, noted that while cremation has risen from 5% in 1970 to over 63% today, the industry did not adapt to provide value for the cremation experience in the same way it did for burial. This has resulted in families seeking a less institutional and cheaper death, but often receiving a marked-up version of the same process.

Why this matters: The rising costs in the death-care industry mean that traditional funeral and cremation services are becoming unaffordable for a growing number of families, potentially leading to improvised or illegal arrangements.

What this means for you: If you are planning end-of-life arrangements, be aware that typical funeral costs can be $8,300 and cremation over $2,200, which may require considering alternative options.

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