When a member dies
In the event of the death of a scheme contributory member, the member's spouse or representative should contact the administrator, Mercer on 1300 130 096.
Once Mercer is notified of the death of a contributory member, Mercer issues a letter to the spouse or representative that outlines the documents required to assess a spouse or de facto partner's eligibility.
Pension benefits are payable to an eligible spouse or de facto partner of a deceased contributor of SSS. The benefit payable will be determined in respect of whether the deceased member passes away prior to their normal retirement age (see Death of a scheme member before retirement) or after, that is the deceased member was receiving a scheme pension (see Death of a scheme member after retirement).
The scheme's normal retirement age is 60 for most members, except for female members who elected on joining to retire at age 55.
It is important to remember that a pension benefit will not be payable to the spouse or de facto partner of a former member who elected to be paid:
- a lump sum retrenchment benefit
- a lump sum withdrawal or resignation benefit
In these cases, the former member forfeited the right to have a reversionary benefit payable to their spouse or partner in the event of their death.
Who is an eligible spouse or de facto partner for pension benefit purposes?
An eligible spouse or de factor partner is:
- the widow or widower of the deceased, or
- a person (whether of the same or a different gender) in a registered relationship or interstate registered relationship with the deceased within the meaning of the Relationship Register Act 2010, or
- a person (whether of the same or a different gender) who was in a de facto relationship, within the meaning of the Interpretation Act 1987.
Where claims are made by more than one person, the Trustee will decide the appropriate distribution of benefits.
Commuting or exchanging a spouse pension
In the case of an eligible spouse who survives a member, an option to exchange (commute) all or part of a spouse pension entitlement to a lump sum is available at specific timeframes.
A spouse pension member can only ever make one application to commute their pension.
Payment of pension to children or legal personal representatives
In certain circumstances, a pension may also be payable to eligible children of a deceased contributor or pension member. See Child pensions or refer to SSS Fact Sheet 12: Child pensions.
Where a spouse or de factor partner or child benefit is not payable, the legal personal representative of the deceased member may apply for a lump sum benefit that is payable from the scheme.
Minimum benefit value
After all benefit payments have been made, including (if applicable) payments to a spouse or partner and children, those payments (including both commutation and pension payments) are measured against the member's lump sum withdrawal benefit at retirement. If the sum of those payments is less than the withdrawal benefit, the balance is paid to the deceased member's personal representative.