Tell us who gets your super. Nominate a beneficiary. A smiling family of three with daughter in middle.
Tell us who gets your super. Nominate a beneficiary. A smiling family of three with daughter in middle.

It’s an important step to ensure your loved ones are looked after in the future.

 

Most people presume their super will automatically form part of their estate or Will when they pass away. This is not the case. If you want your super and insurance benefits to be distributed the way you want, you need to let us know. This process is called nominating a beneficiary.

 

Make a binding nomination

When choosing a beneficiary, it’s important to review and update your nomination regularly, especially after major life events such as marriage, divorce, the birth of your children, or the death of a beneficiary.

A binding beneficiary is a legally binding request that First Super, as your super fund, must follow if you were to pass away, provided it is valid.

Who can you nominate?

  • Spouse/partner: Includes married and de facto (same or different sex) relationships.
  • Children: Your children of any age (including step, adopted, ex-nuptial or children of your spouse).
  • Interdependent: Someone who lives with you on a long-term or permanent basis, where one or both of you provide financial and domestic support, and personal care of the other.
  • Financial dependant: Someone who relies on you (totally or partially) for financial assistance or support. For example, you pay the bills, rent, etc.

Note: if your nomination doesn’t meet the definition of a dependant (e.g. adult child) they will be taxed at a different rate on their inheritance from your superannuation than a dependant would.

Who can’t you nominate?

Some examples of people you cannot nominate as a binding beneficiary, unless they fall under the definition of interdependent or financial dependant above, include:

  • Siblings
  • Parents and grandparents
  • Nieces and nephews
  • Neighbours
  • Friends

But the person I want to nominate isn’t listed above…

If the person you want to receive your super can’t be nominated as a binding beneficiary, don’t worry. While super doesn’t automatically become part of your estate, you can nominate your Legal Personal Representative to receive your death benefit and distribute it according to your wishes.

 

Why choose to nominate a Legal Personal Representative?

Your Legal Personal Representative is the executor of your estate or Will.
As super is not automatically considered part of your estate when you pass away, First Super must distribute your super according to legislation or by following your binding beneficiary nomination.
However, a work-around to this is to nominate your LPR as your binding beneficiary. We must allocate your super to them and they are required to distribute your superannuation as you have instructed in your Will.

 

How to make a binding nomination

Complete the Nomination of Beneficiary form. If you do not have access to a printer, we can send one to you; contact us using the details below.

For your Nomination of Beneficiary form to be valid, you must:

  1. Be sure to tick the correct ‘relationship to you’ box for each nomination
  2. The % of benefit must add up to 100% when divided between all your nominations
  3. Get the form witnessed by two people – who cannot be nominated as your benficiaries – at the same time as you sign the form. As they are witnessing you sign the form, the dates must align for the form to be valid.

We must receive the form before your death for it to be valid.

The nomination is valid for three years. We will send you a reminder to update your nomination as the expiry date approaches.

Further information regarding binding nominations can be found here, along with information on the other types of nominations and taxes on payments to beneficiaries.

 

We’re here to help

If you have any questions, call our Member Services team on 1300 360 988, email us or use the live chat to the right of this screen.

As nominating a beneficiary can be a complex task, you can also speak to our Financial Advice team. You can organise an appointment by calling the number above, using the Live Chat or by booking an appointment.

 

 

 

Issued by First Super Pty Limited (ABN 42 053 498 472, AFSL 223988) as Trustee of First Super (ABN 56 286625 181).  

First Super Financial Planners are authorised representatives of Industry Fund Services Limited (ABN 54 007 016 195, AFSL 232514) and can provide personal advice tailored to your objectives, financial situation and needs.

This content contains general advice which has been prepared without taking into account your objectives, financial situation or needs. You should consider whether the advice is appropriate for you. Read the Product Disclosure Statement (PDS) before making any investment decisions. To obtain a copy of the PDS or Target Market Determination, please contact First Super on 1300 360 988 or visit our website at firstsuper.com.au/pds.