Death really complicates things: Everything from caps, tax and future service deductions to death benefit nominations and beneficiaries

Technical Summit 2021

The death of a member poses a number of significant challenges, issues and strategy considerations for practitioners to work through with their SMSF clients.

In this workshop, Peter and Aaron will take a practical lens to a number of topics that need to be contemplated in paying a super death benefit from within a SMSF, including:

  • Transfer balance cap & dealing with insurance proceeds;
  • Utilising the future service benefit deduction;
  • Obligations of the fund in paying super death benefits, and;
  • Other opportunities available for surviving beneficiaries.

At the end of the session, you will be able to:

  • Explain how insurance proceeds are treated under the transfer balance cap rules and associated strategies;
  • Understand how to calculate a future service deduction and the criteria that must be satisfied;
  • Explain the trustee obligations when paying a death benefit from the fund, and;
  • Outline a range of death benefit strategies for surviving beneficiaries.

The contents of this resource are taken to be correct at the time of publication.

Disclaimer: Technical Papers contain factual information only and are prepared without considering particular objectives, financial circumstances and needs. The information provided is not a substitute for legal, tax and financial product advice. The information contained in this document does not constitute advice given by the SMSF Association to you. If you rely on this information yourself or to provide advice to other persons, then you do so at your own risk. The SMSF Association is not licensed to provide financial product advice, legal advice or taxation advice. We recommend that you seek appropriate professional advice before relying upon the information in this technical paper. While the SMSF Association believes that the information provided is accurate, no warranty is given as to its accuracy and persons who rely on this information do so at their own risk. The information provided in this paper is not considered financial advice for the purposes of the Corporations Act 2001. © SMSF Association