Under superannuation law, if you die the Trustee must generally pay your super to your dependants or your estate.
When you nominate your beneficiaries, you can choose to either:
- make a binding nomination which, if valid, the Trustee must follow in the event of your death, even if your circumstances have changed since you made the nomination; or
- make a non-binding nomination which gives the Trustee guidance as to how you want your benefit to be paid. The Trustee has the final say, but they must act in your best interests and in the best interests of your dependants.
Who are my dependants?
Your dependants will include the following:
- your spouse (including de facto and same sex partners),
- your children (including unborn, step, adopted, or ex-nuptial children and children of your spouse),
- any other person that the Trustee determines is dependent on you; and
- any person with whom you have an interdependency relationship (refer to the PDS for more details).
This means that when you're nominating your beneficiaries, you should make sure you've nominated people who are eligible.
What if I don't have any dependants?
If you don't have any dependants, your death benefit will normally be paid to your legal personal representative and your super becomes part of your estate.
Making a nomination
To nominate your beneficiaries you should complete a Death Benefit Nomination Form or log into your account in the Member Centre and provide the details on line.
Please note that if you want to make a binding nomination, you must complete the form (you can not make a binding nomination through the Member Centre). You must complete the form and sign it in the presence of two witnesses (who must be at least 18 years old and not a beneficiary), and return it to the Fund Administrator. If your nomination is valid it is binding for three years, so you must remember to keep your nomination up-to-date.
The information provided above is a summary only. You should refer to the PDS and Additional information about IPE Super for more information regarding nominating your beneficiaries. Your death and disablement benefits will be reduced by any amount of insurance that the Trustee is unable to arrange or claim.