It is quite common to take super benefits out before death to avoid the “death tax” on death benefits paid to non-death benefit dependents. However, the consequence of such action is that the amounts paid out will form part of the deceased’s estate. That may in turn, like in this case, result in unintended circumstances under the deceased’s estate planning. It is therefore important that potential payment of super benefits before death be considered in the estate planning of a member.
Sladen Snippet - Neal v Brown – Super benefits withdrawn before death result in unintended consequence under deceased’s will. Read more here: https://bit.ly/3LwMBwM