The Death Care Industry in America: How Big It Is and How It Works

Every death in America sets in motion a set of businesses: a funeral home, often a cemetery or crematory, and a chain of suppliers behind them. Together they are known as the death care industry. This article gives the basic numbers and explains how the industry works. Most of the figures come from the National Funeral Directors Association (NFDA), the industry’s trade group, so they show the industry’s view of itself.

What is the death care industry?

It is the set of businesses that handle the dead and serve the grieving: funeral homes, cemeteries, crematories, and suppliers such as casket makers and monument companies. In the United States, it is regulated at both the federal and state levels. For how pricing is regulated, see How to Compare Funeral Homes and Understand Pricing.

How big is it?

The NFDA reports that there are 15,401 funeral homes in the United States. They employ 105,300 people and generate $16.3 billion in revenue. An earlier NFDA edition, citing the U.S. Census Bureau’s Economic Census, split the revenue into $13.0 billion for funeral homes and funeral services and $3.3 billion for cemeteries and crematories. The same earlier edition said about 89 percent of funeral homes were privately owned by families or individuals. The NFDA also counts about 20,000 individual members, who represent nearly 11,000 funeral homes.

How many people choose cremation?

More every year. NFDA’s 2025 report projects a cremation rate of 63.4 percent for 2025 and a burial rate of 31.6 percent. It expects cremation to reach 82.3 percent by 2045. Not long ago, burial was the clear majority. The trend has changed what funeral homes sell, with more families choosing simpler services.

What does a funeral cost?

The NFDA’s national median cost of a funeral with viewing and burial was $8,300 in 2023, and a funeral with cremation was $6,280. A median is the middle price: half of funerals cost less and half cost more. These figures usually exclude costs such as the cemetery plot, a headstone, and flowers, so a family’s total bill can be higher. For ways to lower the cost, see Funeral Assistance Programs.

What are consumers asking for now?

More choices. The NFDA’s 2025 consumer survey found that 61.4 percent of people were interested in exploring green funeral options, up from 55.7 percent in 2021. And 58.3 percent had attended a funeral at a non-traditional location. These shifts are one reason How Have Funerals Changed Over the Last 100 Years? has an ongoing story.

How did the industry begin?

Largely during and after the Civil War, when embalming spread and undertakers became a profession. The NFDA itself was founded in 1882. See Embalming and the American Civil War for that story.

How should I read these numbers?

With some care. The NFDA is a trade association, so its figures describe the industry from the inside, and its report on consumer costs reflects what funeral homes charge, not necessarily what is fair. Independent sources, such as the Federal Trade Commission and consumer groups, are useful for checking prices. Always ask for a funeral home’s General Price List, which the law requires them to give you.