Under Australian law your super isn’t automatically treated as part of your estate. So even if you have a will that manages who inherits your assets, your super may not be included.
The good news is that it takes less than 15 minutes for you to nominate your beneficiaries on your super account.
Key points:
We know it can be uncomfortable to think about our own passing, which is perhaps why some people don’t get around to choosing what happens to their super when the inevitable happens. But choosing your beneficiaries is necessary to ensure that it goes to the people who are important to you. It can save your loved ones from additional stress, at a time that is often already stressful.
Decide who you want to give your super to, and if you want to make a non-lapsing or lapsing binding nomination.
Log on to Member Online > Activities and inbox > Beneficiaries
Here's a short video that shows you in simple steps how to nominate your beneficiaries (binding non-lapsing) in Member Online.
Want to make sure your super goes to your loved ones? We've made it fast and easy to do this by nominating your beneficiaries in Member Online. Make sure you have your mobile handy - the one registered to your account. You'll need this to keep your account secure. Log in to Member Online. If you have more than one account with us you will need to add beneficiaries to one account at a time, that way you have the option to add different beneficiaries to each account. Select an account and then scroll down to Your Beneficiaries and click Add beneficiary. At the top of this page is information about beneficiaries it's a good idea to have a read and make sure you understand the different types of nominations you can choose from. Here we'll choose binding non-lapsing and click Add non-lapsing nomination. At the top of this page is important information about who you can nominate. When you're ready click Add beneficiary, enter the details of the person you want as your beneficiary. It's important to use their correct name as it appears on their ID, even a typo here could cause problems down the track. If you're nominating more than one beneficiary let us know how much of your super this person should receive. You can add this as a percentage of your total super balance under the Portion of benefit heading. If you're nominating just one beneficiary make this amount 100%. Click add. Click Add beneficiary again if you want to add another person. You can nominate as many beneficiaries as you like, the combined portion allocation needs to add up to 100%. Click submit. We will need to send a verification pin to the mobile number registered to your Aware Super account. Once we've processed your beneficiary nomination it will appear on your dashboard. Click to view details. Here you can change or add to your beneficiaries at anytime. Before taking any action you should consider your circumstances and needs, seek appropriate professional advice if you think you require it. If you need help accessing your account or adding beneficiaries, we can help. Visit aware.com au/contact to get in touch.
Super can generally only be paid to people who are your dependants or to your Legal Personal Representative (the executor or administrator of your estate).
Dependants include:
You can’t nominate a friend or other relative to receive your super money, but you can make arrangements for your super to be paid to your Legal Personal Representative. Your will would then determine who your super will be paid to.
You can leave your money to more than one beneficiary. You need to let us know how much of your super each person should receive, as a percentage of your total balance. You can add as many beneficiaries as you like, but for the nominations to be valid the combined portions must add up to 100%.
The difference between these types of nominations is important. It may change who gets your money and how quickly they receive it.
If you have a valid binding death benefit nomination (beneficiaries) on your account at the time of your death, the Trustee is required by law to pay those beneficiaries.
When you make a binding nomination, you also need to decide if you want it to be lapsing or non-lapsing.
Scroll table horizontally on mobile
| Binding lapsing | Binding non-lapsing |
|---|---|
This nomination expires three years after you make it. We will let you know before it expires so you can reconfirm, change or revoke your nomination. If you have more than one account, you’ll need to make a separate nomination for each account, using separate nomination forms. To complete your nomination, download and print the binding lapsing death benefit nomination form. You need to return the signed form to us by post. You can start a lapsing nomination in Member Online, but you’ll need to print the document and get it signed by two witnesses. You then need to return the signed form to us by post. |
This is a permanent nomination unless you revoke it. You can make a new nomination in Member Online at any time You can update or cancel your non-lapsing nomination in Member Online at any time. If you have more than one account, you’ll need to make a separate nomination for each account. |
Send the form(s) to us at: Aware Super |
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Having a binding nomination makes it clear to the Trustee who you want your remaining super paid to when you pass away. It means the Trustee of your estate doesn’t have to take extra and time-consuming steps to determine who should receive your super.
This type of nomination will be considered but isn’t legally binding. The trustee of your super fund will decide who gets your money. New non-binding nominations are no longer available through your Aware Super account, but you may still have one active on your account if you set this up in the past.
This type of beneficiary nomination only applies to income streams from retirement accounts. You can only nominate your spouse or your de facto spouse.
This means your beneficiary will receive your pension payments. They'll be paid to them in the same amount and frequency as they were paid to you, until the balance runs out. There is a transfer balance cap1 that applies to reversionary beneficiary nominations.
To complete your nomination, download and print the reversionary beneficiary nomination form. You will need two witnesses to sign the form.
1. The transfer balance cap is the maximum amount you can transfer and hold in tax-free retirement phase accounts.
Send the completed form to us at:
Aware Super
GPO BOX 89
Melbourne VIC 3001
Dependants can receive death benefits as a lump sum or an income stream.
Non-dependants can only be paid a lump sum.
There may be tax implications for someone you nominate who is not your dependant for tax purposes. Someone can be a dependant under superannuation law but not a dependant for tax purposes (for example, an adult child). It’s important to get tax advice from a professional.
You’ll see an alert on your Aware Super statement reminding you to check your beneficiaries.
Staying financially organised includes reviewing your super beneficiaries every few years. It’s a good idea to do it after life events such as marriage, children, grandchildren, divorce or illness.
If your nomination has lapsed or is about to, your super fund will send you a reminder to update it.
No, they receive the payout from your super fund and include that money in the estate. It’s then distributed in accordance with your will.
You can nominate your legal personal representative. The money will be distributed according to your Will.
The trustee of your super fund will decide who your money goes to if you don’t make a nomination. If you have made a non-binding nomination, this will be used as a guide only. The trustee's decision will be made in accordance with superannuation law and fund rules. If you don't have a binding or reversionary beneficiary, it could delay your super being paid out.
It will mean extra paperwork for those close to you. It will also mean added stress, increased costs and potentially unintended outcomes. Your super fund may need to investigate further.
Take advantage of simple financial advice over the phone or virtually. Our superannuation advisers can help with questions about your Aware Super account.
You can nominate a beneficiary or check your beneficiaries through your online account.
We’re here to help you create your next chapter with confidence and guide you throughout your retirement.
