Superannuation and your estate

It's not as simple as signing your super form to nominate your partner or family member. The super trustee is the person responsible for who gets your super. You should be aware that superannuation does not form part of a person's estate. There are certain assets that do not form part of your estate, unless you direct it to your estate. There are two general options people have for how their superannuation distribution:

1. Non-binding nomination — where a person nominates where they want the funds to go but it is up to the superfund trustee's discretion; and

2. Binding death nomination — a legally binding nomination that allows you to advise the trustee who is to receive your superannuation benefit in the event of your death.

The Australian Taxation Office (ATO) also states that if the deceased person does not nominate a beneficiary, the trustee may pay it to the deceased's estate for the executor to distribute it according to the instructions in their will.

It's not a one solution fits all, you need to understand if you pass away, where is the flow of money going?

For assistance with protecting your assets and ensuring your wishes are properly documented in your Will, contact us on 0416 716 960 or email rostom@manookiansolicitors.com