How does inflation affect the funeral home business?

Posted on: Nov 27, 2018 Publish By: funerallink

Even in death, the spirit of inflation creeps into the grave. There’s no escaping to the constant increase in prices including funeral services.

Three things that affect the funeral business:

The president of the Philippine Mortuary Association, Renato Dychanco, stated three things that affect the funeral business. One of which is the soaring prices of the commodities that limits the purchasing power of the consumers, the fuel prices, and lastly, the call for a salary increase.

Dychanco is the owner of Cosmopolitan Funeral Homes, one of the largest funeral companies in the country. He added that they are forced to pass some of the costs to the customers. The funeral business like any other companies also needs to survive. Although the price increase on the funeral services isn’t so significant and reasonable.

The volatile prices of fuel from the foreign market greatly affects the business. Ninety percent of the fuel requirement in the Philippines is being imported internationally. Cremation, for example, is affected by the fuel increase plus the logistics fleet. Indirectly, the increase in the electricity rate has also affected the business.

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Aside from the oil price increase, another factor that causes inflation is the insufficient rice supply and the exchange rate against the US dollar. The Philippine peso has been weak since the US increased its interest rates, according to the Department of Trade and Industry (DTI).

The Tax Reform for Acceleration and Inclusion known as TRAIN Law, however, has a very low contribution. Under this law, the employees have higher take-home wages. The problem is the prices of the commodities such as rice, toiletries, and utilities have gone high forcing the workers to call for a salary hike.

For the traditional wake, the package starts at Php 18,000 at Cosmopolitan Funeral Homes. While if you are going to opt for cremation, it will cost between Php 25,000 to Php 30,000 exclusive of the viewing and burial.

One way to get ready when the day comes is to get one of those pre-need services. It will allow you to pay a small amount every month for 5 years. This way it wouldn’t be so much of a burden to cash out a huge amount when the time comes. Pre-need funeral insurance is transferable and assignable which means a family member can use your policy when there is a need.

Funerallink is an online service that specializes in funeral services. It simplifies how you find funeral homes near you. Find the nearest funeral homes, get all the information you need, and book the service you think fits your requirement in just a few clicks. It saves time and allows you to focus on what really matters the most, being with your family.

Death is imminent. Nobody has ever been ready for it. Let not financial problem adds to your load. You may contact Funerallink anytime and speak to their customer service to help guide you to have decent funeral services without additional cost.

Original post: Sunstar

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