Nomination of Beneficiaries

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Nomination of Beneficiaries Nomination of Beneficiaries Information Guide and Form The Executive Superannuation Fund ( the Fund ) offers you two types of beneficiary nominations to allow you to

1 Nomination of Beneficiaries Nomination of Beneficiaries Information Guide and Form The Executive Superannuation Fund ( the Fund ) offers you two types of beneficiary nominations to allow you to inform us of your intentions for the payment of your benefit from the Fund upon your death. The two types of nominations are: 1. Binding beneficiary nomination; and 2. Non-binding beneficiary nomination. These nominations apply to lump sum payments only and will apply to any benefits you accrue in any Plan of the Fund until such time as the nomination expires, is revoked or replaced with another valid and effective nomination. A summary of each type of beneficiary nomination is outlined below. The Nomination of Beneficiaries Form which you will need to complete to make your beneficiary nomination is included on page 3 of this document. When completing the form, please consider each type of nomination and, where appropriate, seek qualified estate planning, financial or taxation advice prior to choosing which type of nomination is right for you. Binding beneficiary nominations You can elect to make a binding nomination, which means that upon your death, the Trustee is obliged to pay any remaining account balance to the person(s) you have nominated, provided the nomination is valid and effective at the date of death. For a binding nomination to be valid: The nominated individual/s must be either a dependant or your legal personal representative at the date of your death. For definitions of these terms, please refer to page 2 of this guide. Your binding nomination must be witnessed by two individuals who are aged 18 or over (and are not your nominated beneficiaries). A binding death benefit nomination remains valid for three years from the date it is signed, so you must re-nominate beneficiaries every three years for your nomination to remain binding. You can amend or revoke your binding nomination at any time. Any amendment or revocation must also be in writing and signed before two witnesses (as described above). Please note that a valid binding nomination will remain in effect even if your personal circumstances change. It is important that you update or amend your binding death benefit nomination if there is a significant change in your personal circumstances such as marriage, divorce, the death of a nominated beneficiary or the birth of a child, to ensure that your binding nomination continues to reflect your wishes. Where a binding nomination is no longer valid, it becomes a non-binding nomination, whereby the decision as to whom your death benefit is paid lies with the Trustee. If there is any other information you reasonably need to understand your right to make a binding nomination, please contact us (contact details on page 4). Non-binding beneficiary nominations You can elect to make a non-binding beneficiary nomination, which means that upon your death, the Trustee is not obliged to pay any remaining account balance to the person(s) you have nominated. You may nominate a dependant and/or legal personal representative to receive your benefit upon your death. Whilst full consideration is given to your wishes when you have made a non-binding beneficiary nomination, it is important to note that if you have dependants or a legal personal representative, the Trustee is required, under the Fund s Trust Deed to pay the benefit to your dependants or legal personal representative in such proportions as the Trustee sees fit. However, if you do not have any dependants or a legal personal representative, the Trustee has the discretion to pay the benefit to a third party who is a nondependant. In making a decision regarding payment to a non-dependant, the Trustee takes into account your personal circumstances at the time of your death, however, the Trustee may distribute the benefit to individuals that you have not nominated. Please note that different taxation treatment applies to death benefits paid to a non-dependant of the deceased (see the definitions on page 2 of this guide for more details). For more information about the taxation of benefits, please contact us (contact details on the last page). If you are unsure which nomination is right for you, please seek professional advice. In addition, you may consider making a will. If you would like to do so, you should consult a solicitor or the office of the Public Trustee. While the Trustee will take your will into consideration as an indication of your intentions, the Trustee will not be bound to follow it. Page 1 of 5

2 Investment of superannuation benefits between the date of a member s death and payment to beneficiaries In the event of a member s death, the Trustee will invest the benefit of the deceased member into the Fund s Cash Option upon receipt of relevant written notification. This approach is intended to ensure that the final benefit paid from the Fund corresponds as closely as possible to the value of the deceased member s benefit at the time of their death. The Cash Option is invested entirely in cash assets and, as such, provides a low-risk investment vehicle which is suitable for the investment of superannuation death benefits during the timeframe in which most death benefits are paid out from the Fund. Further details regarding the Cash Option are available in the PDS relevant to your category of membership in the Fund or in the Investment Guide (available on the Fund s website or by contacting us). Definitions Dependant Legal Personal Representative Non-dependant Spouse In relation to a member, a dependant includes the spouse of the member, any children of the member (including a child of the member s spouse or someone recognised as a child under the Family Law Act), any person financially dependent on the member and any person with whom the member has an interdependency relationship. Two people have an interdependency relationship if they satisfy ALL of the following criteria: They have a close personal relationship; They live together; One or each of them provides the other with financial support; and One or each of them provides the other with domestic support and personal care. If two people have a close personal relationship but the other criteria above are not satisfied due to the fact that one person suffers from a physical, intellectual or psychiatric disability, they may still have an interdependency relationship. Note: for taxation purposes, a child aged 18 or above is not a dependant (unless financially dependent on the member or interdependent). Additionally, the Government has expanded the eligibility rules for tax-free superannuation benefits to include beneficiaries in interdependency relationships of continuing mutual commitment to financial and emotional support between two people who reside together. Same-sex couples, live-in adult carers of elderly parents, and siblings with common finances are now eligible to receive superannuation benefits on a tax-free basis. Your legal personal representative may be either: Your executor appointed by you under your will to administer your estate; or The administrator appointed by a court to administer your estate where you do not have a will. Beneficiaries/recipients who are not covered by the definition of dependant above will generally be treated as a non-dependant for the purposes of a superannuation death benefit. Note: for taxation purposes, a non-dependant includes a child aged 18 or older (unless the child is otherwise financially dependent or interdependent as set out above). A spouse includes a person to whom you are legally married or a person who, although not legally married to you, lives with you on a bona fide domestic basis in a relationship as a couple, and a person with whom you have a relationship that is registered under a State or Territory Law. A spouse may include a same-sex partner. This document has been prepared to provide you with general information only and does not take into account your individual objectives, financial situation or needs. Before acting or relying on any information, you should consider whether it is appropriate for your circumstances having regard to your objectives, financial situation and needs. You should obtain and consider carefully the PDS relevant to your category of membership in the Fund prior to making any decision regarding your superannuation benefits, and if required, seek qualified financial, taxation or estate planning advice. Page 2 of 5

3 Nomination of Beneficiaries Form This nomination is for lump sum payments only and will apply to any benefits you accrue in any Plan of the Fund until such time as the nomination expires, is revoked or replaced with another valid and effective nomination. Employer Name Member number Personal details Title Given Names Surname of Birth Contact phone number Residential address Suburb State Postcode Personal address Preferred Method of Contact: Please nominate your preferred method of contact by ticking a box below: Personal address Postal address Contact phone number. Nomination of beneficiaries Type of nomination (Please select one only): *Binding (2 witnesses required) Non-Binding (no witnesses required) If you wish to nominate your entire benefit to be paid to your Estate, please tick the box below. Note: If you select the Estate option DO NOT fill out the Beneficiary details below. Legal personal representative (on behalf of my Estate) Beneficiary 1 Allocation %** Given Names Surname Beneficiary 2 Page 3 of 5

4 Beneficiary 3 Beneficiary 4 of Birth Gender Relationship to member e.g. Spouse/de-facto, child etc. Important notes: * For information regarding the two types of beneficiary nominations available, please refer to pages 1 2 of the Nomination of Beneficiaries Information Guide above. Please consider each type of nomination and, where appropriate, seek qualified estate planning, financial or taxation advice, prior to choosing the one which is right for you. ** The nomination will be invalid if the proportion of the total benefit allocated to your nominated beneficiaries does not exactly equal 100%. You should also note that death benefits paid to non-dependants must be paid as a lump sum and will be subject to tax (including when the benefit is paid via your estate). If you have more than 4 beneficiaries, please record these on a separate page. Witness signatures Only have this section completed by 2 witnesses if you wish to make a Binding Nomination I declare that: I am aged 18 or over; I have not been nominated as a beneficiary on this form; The form was signed by the member in my presence; and The information I have provided in this form is true and correct. Witness 1 Witness 2 Name (Print in BLOCK LETTERS) Name (Print in BLOCK LETTERS) of Birth of Birth Page 4 of 5

5 Important information Your privacy The Fund Administrator (KPMG Superannuation Services Pty Limited) and the Trustee (Equity Trustees Superannuation Limited) collect personal information in relation to your superannuation arrangements, including names, contact details, date of birth and TFN. This personal information is required to administer and manage your membership and to communicate with you about the Fund. The Fund Administrator and the Trustee are committed to protecting your personal information and have controls in place to manage the collection, use and disclosure of information for the protection of your privacy. To obtain a copy of the Fund Administrator s Privacy Statement, please visit the Fund member portal ( or request a copy by ing us at execsuper@kpmg.com.au. A copy of the Trustee s Privacy Policy is available at Please sign the Declaration and mail* the completed form to: execsuper@kpmg.com.au The Executive Superannuation Fund PO Box 67, Australia Square NSW 1215 If you have any questions please contact us at execsuper@kpmg.com.au or on *we require an original mailed paper copy. We cannot accept electronic receipt of this form. Declaration By signing this form, I declare that: I have fully read this form and the information provided is true and correct; I have read and understand the information in the attached Information Guide or the Product Disclosure Statement (PDS) relevant to me regarding the nomination of beneficiaries in respect of my member account in the Fund. If I make a Binding Nomination, each of the above nominated beneficiaries is my dependant or legal personal representative (as defined in superannuation legislation). I acknowledge that if I make a Binding Nomination, it must be renewed every three years, or it will become invalid. If this occurs, I acknowledge that the Trustee may pay my death benefit to any of my dependants or my legal personal representatives if relevant (whether nominated by me or not) or other person(s) as permitted under superannuation legislation. I acknowledge that I may revoke or amend my nomination at any time by notifying the Trustee in writing. I acknowledge that my nomination is valid only upon receipt of this original document by the Administrator. Name (print in BLOCK LETTERS) Page 5 of 5

The ASC Superannuation Plan ( the Plan ) a plan in the Employer Sponsored Members Division of the Executive. Binding beneficiary nominations

The ASC Superannuation Plan ( the Plan ) a plan in the Employer Sponsored Members Division of the Executive. Binding beneficiary nominations ASC Superannuation Plan a plan in the Employer Sponsored Members Division of The Executive Superannuation Fund [ABN: 60 998 717 367] Nomination of Beneficiaries Information guide and form The ASC Superannuation