Super is not treated the same way as your other assets when you die. Unlike the rest of your estate (e.g. your house and other investments) a super death benefit is normally paid to a “dependent”.
Here’s how it works
When you die, the Trustee must pay your death benefit either to your ‘dependants’ or to your legal personal representative. Your ‘death benefit’ includes your super account balance plus any insurance benefit (if you had insurance as part of your super). Making a beneficiary nomination helps the Trustee determine who receives your super death benefits. There are two types of nominations: Binding Death Benefit Nomination and Preferred Beneficiary Nomination.
How do I make a nomination?
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A Binding Death Benefit Nomination binds the Trustee to pay your death benefit to the persons you nominate and in the proportions specified by you. (This is provided the nomination is still valid and in effect at the event of your death.) Binding death benefit nominations are only valid for three years, after which they must be renewed.
You can make a binding death benefit nomination at any time by sending us a Binding Death Beneficiary Nomination Form. If your circumstances change, you can also change or revoke your nomination using the same form.
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You can make a Preferred Beneficiary Nomination if you don’t want to make a binding nomination. A preferred beneficiary nomination acts as a guide to the Trustee when deciding who to pay your death benefit to.
You can make, change or revoke your preferred benefit nomination at any time by sending us a Preferred Beneficiary Nomination Form.
Who is my dependant?
For super purposes, your dependants can be:
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Your legal or defacto spouse (includes both sexes);
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any children (includes an adopted child, step child, ex-nuptial child or child of your spouse); and
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any other person with whom you have an interdependency relationship if:
– you have a close personal relationship; and
– you live together; and
– one of you provides the other with financial support; and
– one or each of you provides the other with domestic support and personal care.
If you and the person do not live together due to a physical, intellectual or psychiatric disability, they may still be considered your dependant.
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