Funeral Grants in Australia: DVA, Centrelink, and State Programs Explained

Average Australian funerals cost between $4,000 and $15,000. Most families have no savings earmarked for this expense, and the deceased's bank accounts are often frozen for weeks while documentation is gathered. The gap between "we need to bury someone today" and "we can legally access any money" is where funeral grant programs exist.

Australia has multiple programs, and they do not overlap neatly. Eligibility for one does not disqualify you from another, and in some cases you can access more than one—but only if you know all of them exist.

1. DVA Funeral Benefit

The Department of Veterans' Affairs provides a funeral benefit to the estate of eligible veterans or their widow(er)s. The amount and eligibility criteria depend on which Act the veteran was covered under.

Under the Veterans' Entitlements Act 1986 (VEA): A benefit of up to $2,000 is paid toward reasonable funeral expenses for veterans who died from a war-caused or defence-caused condition, or who were receiving the highest rate of Disability Compensation Payment at the time of death, or who were a prisoner of war. The $2,000 cap is indexed.

Under the Military Rehabilitation and Compensation Act 2004 (MRCA): If the veteran's death was accepted as service-related, the reimbursement of actual reasonable funeral costs is significantly higher—historically exceeding $14,000. This is a reimbursement of actual expenses, not a flat grant. Keep all invoices.

The DVA funeral benefit is claimed by the executor of the estate or the person who paid the funeral costs. It is separate from—and does not reduce—any War Widow(er)'s Pension the surviving spouse may be entitled to. Apply to DVA with the original itemised funeral invoice and a certified death certificate.

2. Centrelink/Services Australia Bereavement Payment

The Centrelink Bereavement Payment is not specifically a funeral grant, but it functions as one for many families. If the deceased was receiving an eligible income support payment (such as the Age Pension, Disability Support Pension, or Carer Payment) and the surviving partner was also receiving an eligible payment, the surviving partner receives a lump-sum equivalent to the couple rate for 14 weeks minus the single rate.

For a couple both receiving the Age Pension at the combined couple rate, this can amount to several thousand dollars paid immediately after the death is notified to Services Australia. It is not earmarked for funeral expenses—it can be used for any immediate cost, including the funeral.

Additionally, if the deceased was the sole recipient of a Centrelink payment (i.e., the surviving partner was not receiving any payment), Services Australia will issue the equivalent of 14 weeks of the deceased's payment to the estate. This is also not specifically a funeral benefit, but it provides immediate liquidity.

To access both these streams, notify Services Australia of the death as soon as possible—ideally within days. The payments commence from the date of death, not from the date of notification, but processing delays mean that earlier notification reduces the administrative backlog.

3. State and Territory Funeral Assistance Programs

Every Australian state and territory operates some form of funeral assistance for families in financial hardship. These are separate from DVA and Centrelink and are generally targeted at families who cannot afford a basic funeral and have no liquid assets to draw on.

Australian Capital Territory: The ACT Funeral Assistance Program, administered by the ACT Revenue Office, provides a basic dignified funeral through contracted providers (including Tobin Brothers, Toscan Dinn, William Cole, and Tender Funerals). The family contributes a maximum of $500 toward the cost. There is also specific provision for Aboriginal and Torres Strait Islander families who require the deceased to be transported to Country for burial—the program can fund this transportation cost. Contact the ACT Revenue Office on (02) 6207 0028 (Option 5) or email [email protected].

New South Wales: The NSW Government provides a Funeral Assistance payment for people receiving an eligible Centrelink payment. Applications go through Services Australia rather than the NSW Government directly.

Victoria: Similar hardship-based assistance is available through the Department of Families, Fairness and Housing. Eligibility is income-assessed.

Queensland: The Department of Children, Youth Justice and Multicultural Affairs provides funeral assistance for people in serious financial hardship.

Each state program has its own eligibility criteria, financial thresholds, and approved provider lists. The programs exist specifically to prevent families from being unable to bury a loved one due to temporary financial crisis—they are not means-tested against long-term wealth, only against current liquid ability to pay.

4. Workers Compensation Funeral Benefits

If the deceased died as a result of a workplace injury or disease, the applicable workers compensation scheme covers funeral costs as part of the statutory death benefit package. This is separate from the family lump-sum benefit.

In the ACT, the Workers Compensation Act 1951 provides funeral expense coverage up to a statutory indexed maximum—historically between $11,828 and $14,062 (verify current indexed amounts with WorkSafe ACT). In New South Wales under the Workers Compensation Act 1987, a similar funeral expense benefit applies. These amounts are substantially higher than most state hardship programs and are available regardless of the family's financial situation.

Workers compensation funeral benefits are claimed through the employer's insurer, not through a government agency. The employer is legally required to pass the claim to their insurer within 48 hours of receiving it.

5. Motor Accident Funeral Benefits

If the deceased was killed in a motor vehicle accident, the applicable compulsory third-party (CTP) or motor accident injury scheme also covers funeral costs. In the ACT, the Motor Accident Injuries (MAI) Scheme provides a funeral benefits payment to the family, which should ideally be lodged within 13 weeks of the accident (though late applications are accepted with a satisfactory explanation up to the two-year hard cutoff).

In New South Wales, South Australia, and other states, similar CTP-linked funeral benefits apply through the relevant state scheme.

6. Victims of Crime Financial Assistance

Where the death resulted from a criminal act, several states and territories operate financial assistance schemes for victims' families that specifically include funeral costs. In the ACT, the Financial Assistance Scheme (FAS) under the Victims of Crime (Financial Assistance) Act 1983 covers funeral costs up to approximately $19,627—the highest single source of funeral funding available to eligible ACT families.

A criminal conviction is not required. The FAS assesses claims on the civil standard of proof. Contact ACT Victim Support at (02) 6205 2066.

Getting Access to the Deceased's Bank Account Before Probate

The most common and least-known mechanism for funding a funeral is not a grant—it is the bank release policy. Major Australian banks (CommBank, NAB, ANZ, Westpac, BankSA) will release funds directly from the deceased's frozen accounts to a funeral director without waiting for a Grant of Probate. You present the bank with:

• An itemised funeral invoice addressed to the funeral director
• A death certificate (or hospital death notice if the official certificate hasn't been issued yet)
• Your own identification as next of kin or named executor

Banks typically release up to $10,000–$15,000 this way, directly to the funeral home. The money never passes through your hands—it goes from the deceased's account to the funeral director. This is available immediately, before any probate process begins, and before any grant or benefit program processes your claim.

For ACT families navigating the full landscape of funeral funding alongside estate administration, pension transitions, and government concessions, the ACT Survivor Benefits Navigator covers each of these programs in detail—with the exact contacts, forms, and application sequence for each.

See more Australian Capital Territory guides →