There are two ways of nominating your beneficiary in the event of your death.
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Make a Binding Nomination
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Nominate a Preferred Beneficiary
Binding nomination
A valid binding death benefit nomination allows you to direct the Trustee to pay a death benefit either to your dependants (see the definition below) and/or your legal personal representative in the proportion(s) that you specify.
For a binding death benefit nomination to be valid:
(a) it must not be more than three years old
(b) any nominated beneficiary(ies) must be a current dependant or legal personal representative of the member at the time of death;
(c) it must be signed and dated by two witnesses over 18 years of age who are not the nominated beneficiaries identified on the binding death nomination form; and
(d) your benefit nomination must total 100% and all nominations must be in whole percentages.
Binding death benefit nominations have a fixed term of three years and override any nomination you have previously made, so it’s essential that binding death benefit nominations are reviewed not only as your circumstances change but at least every three years to ensure they remain current. If your nomination expires and is not replaced by a new valid binding nomination, your benefit will be paid at the Trustee’s discretion.
The Trustee is not required to follow a binding death benefit nomination in limited circumstances (such as where a Court has made restrictions on the payment or the payment is prevented under the Family Law Act 1975).
You can make a binding death benefit nomination by completing the Beneficiary Nomination Form available at www.acsuper.com.au
If your binding nomination is valid, the Trustee will pay the death benefit in accordance with your instructions.
To update or cancel your binding death benefit nomination, simply send a newly completed Beneficiary Nomination Form to our administrator. The Trustee will confirm your cancellation or variation in writing.
Preferred Nomination of Beneficiaries
You may nominate one or more of your dependants or your legal personal representative as the preferred recipient of your ACSuper account in the event of your death. The Trustee will use this nomination as a guide in making a decision, along with other relevant and current information that is available. However, your nomination is not binding on the Trustee.
You can nominate your preferred beneficiary(ies) by completing the Preferred Beneficiary Details section of the Membership Application Form or Beneficiary Nomination Form. This lets ACSuper know who you would like your benefit paid to in the event of your death. It is important to keep this information up to date as significant events in your life may influence who you nominate to be your preferred beneficiaries.
What happens if I do not make a Nomination?
If you fail to nominate a beneficiary, your death benefit will be paid to either your dependant(s) or legal personal representative in the first instance, at the Trustee’s discretion.
Beneficiary definition
Dependant
The Superannuation Industry (Supervision) Act 1993 (SIS Act) defines Dependant in relation to a person as:
a) the spouse of the person;
b) any child of the person; or
c) any person who was in an interdependency relationship.
The Income Tax Assessment Act 1936 (ITAA) defines Dependant in relation to a person as:
a) any spouse or former spouse of the person;
b) any child of the person under 18 years of age;
c) any person who was in an interdependency relationship; or
d) any other person who was financially dependent on the person just before the person died.
Interdependency Relationship
The SIS Act defines two persons as having an Interdependency Relationship if;
a) they have a close personal relationship;
b) they live together;
c) one or each of them provides the other with financial support; or
d) one or each of them provides the other with domestic support and personal care.
An Interdependency Relationship can also exist where two people have a close personal relationship and do not satisfy the other conditions detailed above because either or both of them suffer from a physical, intellectual or psychiatric disability.