Binding death benefit nomination
In the event of your death, you may nominate in writing a one or more dependants and/or the legal personal representative of your estate to whom you wish your benefit paid. This is known as a 'binding death benefit nomination'.
To be valid, the written nomination must not have lapsed and must be in a particular form. This can be downloaded via the link below or by contacting your VISSF Fund.
Who can I nominate? The Nomination is only valid if it nominates one or more of:
Your dependants OR the legal personal representative of your estate.
Your dependants must fall within one of the following categories at the date of death:
- Your spouse (legal, de facto and certain registered relationships whether same sex or opposite sex);
- Your children of any age (including step-children and adopted children);
- Someone with whom you have an interdependency relationship.
(Legislation provides that two persons have an interdependency relationship if they satisfy all of the following: have a close personal relationship; live together; one or each of them provides the other with financial support; and one or each of them provides the other with domestic and personal care. However, if a close personal relationship exists but the other requirements for interdependency are not satisfied because of a physical, intellectual or psychiatric disability, then there is also an interdependency relationship; or any other person who is wholly or partially dependent on you for financial support.)
How do I validate the Death Benefit Nomination? For a Nomination to be valid, you must ensure that the instructions on the Fund’s Death Benefit Nomination form are followed, including the requirement to ensure that two people aged 18 or over who are not named in the nomination sign and date the form as witnesses to your signature.
What if I have no dependants? If you do not have anyone that falls within the definition of dependant, you can nominate your benefit to be paid to your Estate and make provision for the distribution of the benefit in your Will.
When is a nomination invalid? If you do not make a valid Nomination, or if your Nomination lapses, the Trustee will pay the whole of your benefit to the legal personal representative of your estate. If one or more of the persons (other than your legal personal representative) you nominate are not dependants at the time of your death, the Trustee will pay the amount of your benefit that would have been payable to such person or persons to your legal personal representative.
However, if no one applies for a grant of probate or letters of administration to handle your estate (so that there is no legal personal representative of your estate) the benefit will be paid at the discretion of the Trustee.
How do I confirm the nomination? Your Nomination will cease to have effect unless you provide the Trustee with confirmation every three years. Details of your current Nomination and expiry date will be shown on your Benefit Statement each year.
Please note that you can revoke your Nomination or lodge a new Nomination at any time.
It is recommended that you keep your Nomination up to date. If your circumstances change (such as upon marriage, divorce, or the birth of children) your Nomination may become out of date. If you would like to change your Nomination, please complete a new Nomination Form in accordance with the instructions on the form.
When does my nomination lapse? Your nomination will automatically lapse after three years. You may cancel or replace your nomination at any time.
Important NotePayment of a death benefit can give rise to complex financial planning issues. We recommend that you seek professional financial advice when considering your death benefit nomination.
Click here to download Binding Death Benefit Nomination form.