Your goodbye. Their comfort. Planned.
Planning ahead is one of the kindest gifts you can give your family. With a Foresters Funeral Plan, you can set funds aside now so that when the time comes, your family have comfort knowing everything money has been put aside for your funeral costs.
It means less to carry later, and more space for your loved ones to focus on honouring your life, not worrying about the details.
After organising my mum’s funeral, I promised myself our kids would never face that stress. Putting a Funeral Plan in place felt like an act of love.
Louise
A note for funeral directors
We’re proud to partner with funeral directors across Australia to make planning easier for families.
A Foresters Funeral Plan is purpose-built, structured, and easy to manage, giving you confidence that funds will be available when they’re needed. Together, we can help families plan ahead with less stress and greater peace of mind.
A funeral bond, explained
A funeral bond is a simple, secure way to set aside funds for your funeral. You can make regular or one-off contributions, and your money is invested to grow over time while it remains in the bond.
The funds are kept solely for funeral expenses and paid directly to your chosen funeral director or estate and can’t be used for anything else. So you know they’ll be there when the time comes.
There are a number of investment options you can choose from, depending on your goals.
Investment options – returns versus risk
The chart above is illustrative and is not intended to show actual return and risk outcomes to scale. Past performance is not a reliable indicator of future returns.
For your peace of mind, and theirs
Dedicated funeral savings
Your contributions are preserved solely for funeral expenses only, so you know they’ll be used exactly as you intended.
Tax advantages
Earnings are taxed within the bond at 30%, so you don’t need to include them in your personal tax return.
Pension asset test exemption
Contributions up to $15,750 (as of 1 July 2025) are exempt from the Centrelink assets test for certain government benefits.
Flexible contributions
Start with a lump sum or make regular payments, whatever suits your situation best.
Optional ‘Away from home’ cover
A one-off premium of $120 covers transport costs up to $3,000 if death occurs more than 100 km from home (within Australia).
Less to carry later
Planning ahead takes the financial weight off your family, giving them space to focus on honouring your life.
For Australians like you
We’ve helped over 97,000 Australians bring their plans to life. We’d love to help you, too.
97,000+
active members
176+
years of planning with Australians
$450m
in funds managed with care
Start a Funeral Plan today
Planning ahead is one of the most caring decisions you can make. A Forester's Funeral Plan makes it simple, giving you peace of mind today and easing the burden on your loved ones tomorrow.
Whether you’re ready to start or just want to talk it through, we’re here to guide you every step of the way.
Your questions, answered
A funeral bond is a secure savings plan designed specifically to cover future funeral costs. Your contributions grow within the bond and are set aside exclusively for funeral expenses, ensuring the money is there when it’s needed.
The funds are paid directly to your nominated funeral director or to your estate to cover funeral costs, making the process much easier to manage for loved ones.
This optional one-off premium covers transport costs up to $3,000 if death occurs more than 100 km from home (within Australia).
Think of your funeral bond like a special savings account for your funeral. While you’re alive, tax is paid on the earnings inside your bond. When the bond is paid out, we claim back tax credits from the government and add them to your final payout. This is why the final amount you receive is higher and completely tax-free.
The tax credit can only be claimed when the bond is paid out. Under taxation law, any tax on the policy may only be recovered at the time of maturity. By waiting until maturity, you receive the maximum benefit, with nothing lost to fees or inflation along the way.
No. You don’t need to declare any bonuses applied to your funeral bond on your personal tax return while the policy is active. Foresters manages tax within the fund. For Centrelink purposes, funeral bonds up to the government’s allowable limit (currently $15,750, indexed annually) are exempt from the Age Pension assets and income tests.
If you have a PrepaidPlus policy (which combines a prepaid funeral with a funeral bond), only the prepaid funeral policy is exempt from the pension test. If the funeral is prepaid, there is no exemption from the Age Pension assets test for the funeral bond.
This means that setting aside money in a funeral bond generally won’t reduce your pension entitlements. When the policy matures, the tax credit is refunded to the beneficiary. The income component may become assessable for tax depending on the beneficiary’s financial situation, so we recommend seeking independent financial advice.
No. A funeral bond is designed solely to pay for your funeral, and withdrawals for any other purpose aren’t allowed. This is one reason funeral bonds are generally exempt from the Age Pension assets test (up to the allowable limit).
Note: this exemption only applies if you don’t hold a prepaid funeral contract. If you later take out a prepaid funeral contract while holding a bond, the bond will become fully assessable for assets test purposes.
These rules are required under the Life Insurance Act and the fund’s rules, and they ensure your savings are available when they’re needed most.
We’re here to help. You can speak to one of our Australian-based consultants now on 1800 645 326.
Issued by Foresters Financial Limited (AFSL: 241421).
This information is general in nature and does not take into account your personal objectives, financial situation, or needs. Before acting on any information, you should consider its appropriateness to your circumstances and seek advice from a licensed financial adviser.
We take care to ensure the information provided is accurate and complete, but we make no guarantees as to its reliability. Always refer to the relevant Product Disclosure Statement (PDS), Target Market Determination (TMD), and other official documents before acquiring any financial product.