Who gets your super when you die?

How your pension is paid to your chosen recipients will depend on their circumstances and relationship to you.

You may nominate one or more beneficiaries to receive your pension or death benefit lump sum in the event of your death. Your beneficiaries must either be a dependant or legal personal representative. (For further information on dependants please read the Pensions Guide PDS.)

Your Death benefit will generally be paid as a lump sum unless you select a reversionary beneficiary, in which case your pension will continue to be paid as an income stream to that person.

There are three types of nominations you can make: binding; non-binding; or reversionary.

binding

A binding nomination is a binding direction in writing from you to Media Super to pay any death benefit to your estate or to one or more dependants nominated by you and in the proportions that you have specified.

If you decide to make a binding nomination, it is your responsibility to keep the nomination up to date. Binding death benefit nominations lapse three years from the date you make, confirm or vary your nomination. If the nomination lapses it will become a non-binding nomination.

Note: If you select a dependent under a binding nomination and the person/s nominated do not meet the definition of a dependent at the time of death, the binding nomination is deemed to have lapsed.

Non-binding

A non-binding nomination means that Media Super will take your nomination of¬ beneficiaries into account, but will not be bound to follow it.

It’s more a guideline you provide to Media Super that we take into consideration when deciding who to pay your benefit to, but are not obligated to follow if we think there’s someone who’d be a more appropriate recipient.

reversionary

A reversionary beneficiary is the person who will receive the balance of your death benefit as an income stream. Only spouses, certain children and dependants are eligible to become reversionary beneficiaries. A child can only be a reversionary beneficiary if they are:

  • under the age of 18;
  • aged 18–25 and financially dependent; or 
  • have a disability as outlined in the Disability Services Act.

If your reversionary beneficiary is a child, they can only receive your pension as an income stream until they turn 25, at which point they must convert the remaining pension into a tax-free lump sum, unless they suffer from a disability.

You can only nominate one person as a reversionary beneficiary. A valid reversionary beneficiary nomination is binding on Media Super.

If you have an investment in the LifetimePlus investment option, please refer to the LifetimePlus PDS for further information regarding reversionary benefits.

How can I nominate beneficiaries?

During the pension application process, you will be asked to nominate your beneficiary when completing the application form. If you wish to make a reversionary nomination you must make it at this time.

You can change your beneficiaries at any time:

Binding:

A binding nomination must be completed in writing.

Non-binding:

 

Reversionary:

  • If you want to change your reversionary beneficiary, you will need to cancel your existing pension and commence a new pension.

Note: Starting a new Pension account may have important implications for Department of Human Services payments and benefits.