Frequently asked questions

We hope the following questions and answers will help you understand your entitlements and those of your beneficiaries in the event of your death.

Is tax payable on a lump-sum death benefit?

No.

However a partner electing to commute their partner pension must do so within six months of the date of death or within  three months of the Grant of Probate, whichever is later, for it to be paid as a tax-free benefit.

Lump sums as the result of any commutation of a partner pension paid after six months of the date of death or after three months of the Grant of Probate will be taxed like any other lump sum payment from a superannuation fund.

What are your child/children's entitlements?

Refer to the Children's Pension section for details of the benefit entitlements.

What if you are married but separated?

Your spouse will still be an eligible partner and, as such, entitled to a benefit irrespective of whether you may have entered into a property settlement.

What if you have more than one partner?

If more than one person qualifies for the partner benefit, ESSSuper will determine how much and to whom a benefit is payable.

It is possible for a pensioner to place a statement on file, indicating a preference as to whom the partner pension should be paid. In that case ESSSuper must act in accordance with that statement.

What if your partner remarries after your death?

Re-marriage after your death does not affect the benefit entitlements of your eligible partner.

What if you marry, remarry or commence a domestic relationship after you retire?

If you marry, remarry or start a new domestic relationship after you retire and are receiving a pension, a partner pension will only be payable in the event of your death if:

• you were receiving a disability pension at the time you got married or became domestic partners, or
• you had been married or domestic partners for at least two years before the date of death.

What other conditions might affect the benefit payable if you marry, remarry or commence a domestic relationship after you retire?

• If a partner is more than five years younger than the member, the pension payable to the partner will be reduced based on the pensioner and partner ages at the date of marriage or the date the relationship commenced. The larger the age gap, the bigger the reduction to the partner's pension.
• A partner is not entitled to receive more than one pension as the partner of a former member, but is entitled to receive whichever is the greater.
• A partner is not entitled to receive a pension as a former contributor and a pension as a partner, but is entitled to receive which-ever is the greater.

This last provision should not be confused with the situation where two former contributors married before retirement. In that case both pensions are payable. 

• Check out our other frequently asked questions