Mar 2018 1 Minute
SMSF – What happens when a member dies?
What happens when a member dies. When a self-managed super fund (SMSF) member dies, the SMSF generally pays a death benefit to a dependant or other beneficiary of the deceased. This should be done as soon as possible after the member's death.
If the recipient is a dependant of the deceased, the death benefit can be paid as a lump sum or income stream. The income stream can be new or a continuation of an existing income stream.
If the recipient is not a dependant of the deceased, the death benefit must be paid as a lump sum.
It is important that your estate is in order by ensuring your wills and death benefit nominations are up to date. Please contact Iggy or Rebecca if you need further assistance or a referral to a suitably qualified Estate Lawyer.
Click here to find out more about your fund’s obligation.