Do you really want your super fund to control who will get your money at death? The answer is NO.
Do you really want your super fund to make that decision for you? I mean it’s your hard work. It’s all those hours you put in as an employee or business owner. It’s your family! It’s your loved ones that will impacted, positively or negatively. My advice, don’t leave it to chance. Put in place the right nomination for your specific situation.
It’s a complicated area and I won’t get into the nitty gritty in this post. In a nutshell, if you don’t make a valid nomination or don’t make a nomination at all, your super fund will decide for you. Note: I’m not talking about self-managed super funds (I’ll get to that later), but a managed super fund like retail, industry and corporate funds.
Do you know that not everyone qualifies to receive your superannuation benefits upon death?
Do you know that recipients are taxed differently depending on their relationship to you?
Do you know there are different types of nominations? i.e. binding, non-binding, lapsing binding, non-lapsing binding, reversionary etc.
Like I said, it’s complicated.
The take home point for you is not to leave it to chance. Review your nomination TODAY to ensure that if you did pass away your super money will end up where you want it.
By Ray Ong
Contact us on 08 9381 6811 for a complimentary consultation. Ray is a holistic, CERTIFIED FINANCIAL PLANNER® and LIFE RISK SPECIALIST® and has a Bachelor’s of Commerce in Financial Planning (with distinction). He is a member of The Financial Planning Association of Australia. We are based in Perth, Western Australia and specialise in retirement planning, wealth accumulation and wealth protection (life and disability insurance).