When compared to other major life cycle events, like births and weddings, funerals are not expensive. A wedding costs at least three times as much, but because it is a happy event, wedding costs are rarely criticized. A funeral home is a 24-hour, labor-intensive business, with extensive facilities (viewing rooms, chapels, automotive equipment, etc.). These expenses must be factored into the cost of a funeral.
Moreover, the cost of a funeral includes not only merchandise, like caskets, but the services of a funeral director in making arrangements, filing appropriate forms, dealing with doctors, ministers, florists, newspapers and others, and seeing to all the necessary details.
Contrary to popular belief, funeral homes are largely family-owned with a modest profit margin.