A death benefit is the payment of a member’s super savings to a nominated beneficiary, if the member dies.

A member can use a death benefit nomination form - if the fund’s trust deed allows it. The form identifies who to pay their death benefit to and in what proportion.

The nomination can be either:

• binding - directing the trustees to pay the death benefit to a legal personal representative or dependant, or
• non-binding - notifying the trustees of the member’s preferred beneficiaries, leaving the trustees to make the final decision.

To create a death benefit nomination, speak with an SMSF professional.

Note: This is general information about insurance and death benefit nominations. For information specific to your circumstances, speak with an SMSF professional.