Have you signed a binding nomination for your superannuation?
A binding death benefit nomination is a form that tells the superannuation company who gets your money when you die. If you have not prepared a binding death benefit nomination (a BDBN) then the superannuation and any attached life insurance does not pass through your Will, it is dealt with separately by a Board of Trustees who you have never met.
If you cannot answer the question, have you signed a binding nomination, then I can almost guarantee that the answer is no, you have not.
Why does it matter?
Furthermore what I often discover is that my clients have a non-binding nomination and so they look at their statement and think that is lovely, it is going to the correct person. I look at the statement and see that it might go to the correct person.
To make sure that your Estate Plan is going to work I don’t just want you to tell me what your superannuation is, I want you to give me your superannuation statements. Why? So I can personally check what is happening. Since I have started doing this I have found that (for the vast majority of people) what they tell me is happening with their superannuation and what is actually happening with their superannuation are two different things. Mostly this is because the information being given to you by the superannuation company is incomplete.
Let your solicitor worry about this. Let me read your documents and figure out what will happen upon your death, and whether you can decide who your superannuation and life insurance will go to, and send you the relevant form. Then I will confirm what the process is with you so that you can repeat it in the future without my help.
Can I update my BDBN myself?
If you have a standard retail superannuation fund then yes you probably can, you can read more about that here.
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