Did you know that your superannuation might not automatically go to your kids (or others you wish to benefit), even if that’s your wish? If you’re separated but not officially divorced, your ex or new partner could end up inheriting it instead. Superannuation isn’t covered by your will, which is why it’s crucial to have a comprehensive estate plan in place.
Imagine you’ve separated from your spouse but haven’t finalised your divorce. You’ve started a new relationship, but your main concern is providing for your children. Without a proper binding death nomination in your superannuation, your super fund’s trustee has the discretion to decide where your money goes. And here’s the catch: they could decide to give it to your estranged spouse or even a new partner, even if you didn’t want them to have it.
Worse still, the super fund trustee can (and often do!) track down your ex, ask if they want the super, and hand it over—even if your ex didn’t know about the claim in the first place! This is why leaving it up to the super fund’s discretion is risky.
An estate plan that covers all your assets, including your superannuation, with a valid binding death benefit nomination ensures your wealth goes exactly where you want it. Our experienced team has extensive experience in wills and estates and can help you create a total plan that protects the future for your loved ones. Contact us today to secure your legacy and avoid unwanted surprises!