Nominate a beneficiary
Nominating a beneficiary with your super fund provides the peace of mind that you have made it very clear to the Trustee as to whom you want your super paid when you die.
What happens to your super when you die?
Super is an asset that isn’t automatically included with the assets to be distributed in accordance with your will.
Your super fund will usually pay your super to your nominated beneficiary, if you have one, and provided the nomination is considered valid under super law.
You can nominate your spouse, your children, any financial dependents or your legal personal representative.
Distributing your super with your will
To include your super in your will, you will need to nominate the legal personal representative of your estate as the beneficiary of your super, so your super is paid into the estate. Then it will most likely be distributed in accordance with your will, unless the will is challenged.
You can make this nomination through Member Online in less than a minute.
Nominating someone other than a legal representative
If you nominate a person (or people) other than your legal personal representative, your super will in most circumstances be paid to who you have nominated, provided they meet the criteria of a ‘dependent’ under the law at the time of your death. However, this also depends on the type of nomination you have made.
Who is eligible
If you have not made a binding nomination, which is current at the time of your death, it will also depend on whether any other person has come forward and made a valid challenge to the trustee’s decision. A 'dependent' could be a spouse, a child, a person who is financially dependent on the deceased member, or a person who was in an interdependent relationship with the deceased member.
What is estate planning?
Estate planning looks at your personal and financial circumstances to create legal documents that:
- Carry out your wishes when you can no longer make decisions, or you die
- Look after the people closest to you
- Make sure your assets go to the people and places you choose
- State clear intentions, so there isn’t any confusion, reducing disputes or unintended outcomes
There are three important estate planning elements: a will, a power of attorney, and an enduring guardianship or medical directive.
Will
Choose who manages your estate and who you leave your assets to when you die.
Power of attorney
Choose who manages your financial affairs. This may come into effect when you choose, or when you can no longer make these decisions.
Enduring guardianship or medical directive
Choose who makes decisions about your medical and personal affairs, if you can’t make these decisions.
What makes up your estate?
Your estate consists of your assets and liabilities. However, it will not automatically include your super.
Assets
The assets may include your house, car, savings, or shares. These assets may be in your name only, or in joint names with someone else, or in a legal entity such as a company or a trust.
Liabilities
The liabilities may include your mortgage, car loan and credit card. These liabilities may be in your name only, or in joint names with someone else.
