Superannuation, Estates and Family

New Estate Planning Options For Super SA Members

Super SA members now have more flexibility in deciding who receives their benefits, TGB's Sarah Mitchell explains.

Recently it became possible for Super SA members with Triple S, Flexible Rollover Product and the Income Stream option to nominate their Legal Personal Representative to receive their benefit in the event of their death.

Estate Planning Options: Your Representative

Prior to this time, it was only possible for a member’s benefit to be paid to their spouse, and in the event that there was no spouse, then to their Legal Personal Representative.

A welcome development that brings flexibility to Super SA members’ estate planning options, members now have a choice. Once a valid binding nomination is made, Super SA trustees must follow the member’s direction and cause the payment of the benefit to be made to either the member’s spouse or their Legal Personal Representative, as nominated.

If a member chooses to pay their benefit to their Legal Personal Representative, the payment will be made to the member’s estate and will be distributed in accordance with the terms of their Will.

Who Qualifies to Be Your Representative?

Super SA specifies that in order for a binding nomination to be valid and effective:

1. It must be signed and witnessed by two people over the age of 18
2. The member’s Legal Personal Representative cannot be a witness to the signing of the nomination
3. It must be completed and received by Super SA; if you die before the completed nomination form is received by Super SA it will not be valid

If you have not yet provided Super SA with a binding nomination, then the appropriate proof of identity documentation will need to be provided at the time that nomination is made. Subsequent nominations can be made without having to provide proof of identity again. Super SA provides that if there was a valid nomination in place at the date of death and this expires prior to the death benefit being paid, payment will still be made to Legal Personal Representative.

Super SA nominations expire after three years from the date it is signed. Therefore, it is important to make sure that members extend the binding nomination by filling out another form prior to the three years lapsing.

Members should be aware that if there is no valid binding death nomination made, the trustees of the Super SA board will pay the benefit to the member’s spouse – including a putative spouse. In the event that the member does not have a spouse, the benefit is paid to the estate distributed in accordance with the Will.

As always, obtain legal and financial advice about the implications of your binding nomination to ensure it accords with your wider estate planning objectives.

For more information or legal advice contact your nearest TGB office.

On August 1, 2017, the Relationships Register commenced in South Australia, giving greater legal recognition to LGBTQI and de facto relationships. To find out how the Register impacts your will click here.