The new tool, which went live today, follows the introduction last week of the feature in the United States and United Kingdom where it has already sparked an increase in organ donor registrations.
The US previously averaged about 506 new registrations per day but since Facebook introduced the tool on April 30 more than 24,000 people have registered to donate their organs, according to Donate Life America.
Mia Garlick, head of policy and communications for Facebook Australia and New Zealand, said the tool was designed to get people talking to their family and friends about organ donation in a bid to increase the number of registered donors.
"All the medical experts that we talk to believe that broader awareness of organ donation can help increase organ donation rates," Ms Garlick said.
"We believe that by simply telling people that you are an organ donor, the power of sharing and connecting can really play an important role in increasing organ donation rates," she said.
Parliamentary Secretary for Health and Ageing Catherine King said it was important for families to know each other's organ and tissue donation wishes, because they would be asked about it if a family member died.
"With new research commissioned by the Organ and Tissue Authority showing that one in four Australians have never discussed their donation wishes, finding new ways to prompt the conversation is important," Ms King said in a statement.
She said the feature was designed for people to share their decision to become an organ donor and, if they hadn't already, make it official by signing up online via a link provided.
The feature allows people to share their organ donor status, the date they registered and tell their story about why they became a donor.
The information is then published to their news feed where it is visible to their selected contacts.
Users can access the feature by going to their timeline, clicking on "life event", selecting "health and wellbeing", and choosing "organ donor".
A template opens which allows users to complete additional information.
There is also a link in this box which will take users to the appropriate page on the DonateLife Australia website where users can find out how to sign up online to become organ donors.
Users will need to have the new Facebook timeline to access the feature.
Will you use the new Facebook donor feature?