Binding and non-binding beneficiaries: understanding the differences
So, what stops some people from nominating where their super goes?
It often boils down to one (big) decision: to make a binding or non-binding nomination.
What's the difference between a binding and non-binding nomination?
A binding nomination is exactly as it sounds–it’s legally binding. We must follow it, as long as it’s valid. We offer lapsing and non-lapsing binding nominations.
A non-binding nomination, on the other hand, isn’t legally binding. It guides our decision but doesn’t guarantee your wishes will be followed. We’ll consider your nomination, however we’ll decide who receives your benefit in line with super laws and the Trust deed.
The table below compares the options so you can understand the differences.
| Option | Best for | What it means |
| Non-lapsing binding nomination | Members who want the most certainty | We must follow your valid nomination, and it does not expire unless you cancel or update it. |
| Lapsing binding nomination | Members who want certainty for a set period | We must follow your valid nomination, but it expires after three years. |
| Non-binding nomination | Members who want to tell us their wishes, but leaves the final decision to us | We consider your nomination but decide who receives your benefit in line with super laws and the Trust deed. |
Why many members prefer a binding nomination
A binding nomination gives you peace of mind knowing that your super will be paid according to your wishes, not left open to interpretation or dispute. It’s the safer, more reliable choice if you want certainty about who receives your benefit.
A binding nomination may result in your beneficiaries receiving your super quicker, as there are less time-consuming steps to work out who your super should go to.
Here’s why a binding nomination might be right for you:
- It’s legally enforceable — we must follow it, as long as it’s valid.
- It removes ambiguity and avoids potential family disputes.
- It can be non-lapsing, meaning it stays in place until you change it.
- You can still update it anytime if your circumstances change.
How to make a binding nomination
Making a binding nomination is simple and only takes a few steps:
- Complete the Make a binding death benefit nomination form,
- Sign it in front of two witnesses (over 18 and not beneficiaries) who sign the form on the same day as you.
- Post it back to us.
Download the binding nomination form
Lapsing binding nomination
If your binding nomination is expiring and your beneficiaries haven’t changed, you can renew your binding nomination before it expires in Member Online or by completing the Renew your binding death benefit nomination form. We’ll contact you to let you know when your nomination is about to expire.
If non-binding nominations aren’t legally binding, why make one?
There are a couple of common reasons that people choose a non-binding nomination.
- You want your super fund to decide for you
We’ll be guided by your nomination, but we’ll assess your circumstances to determine who was dependent on you at the time you passed away. - It’s simpler to do
A non-binding nomination doesn’t need to be witnessed and can be done easily, either in Member Online or by filling out a form and returning it by email. - You’re under 18 years of age
If you’re under 18, you can only make non-binding nominations.
Things to consider when making a nomination
- if you don’t make a nomination, we’ll decide who your super goes to
- non-binding nominations are not legally binding
- lapsing binding nominations only last for three years
- non-lapsing binding nominations don’t expire, unless you cancel or update it
- if you’re nominating your legal personal representative, make sure your Will is up-to-date
- you can only nominate your dependants and/or your legal personal representative.
- tax may apply if your beneficiaries are not considered to be dependants for tax purposes.
Find out more about nominating beneficiaries
Check your beneficiaries
Life changes, and your beneficiary nominations might need to as well.
It’s important to regularly review your nomination and whenever your circumstances change. For example, if you get married or divorced, have a child, or lose a nominated beneficiary.
Regularly checking your nominations ensures your super remains aligned with your wishes and current situation.
You can easily check who you’ve nominated in Member Online or through our app to make sure they’re up to date.
What if you just include your super in your will?
Your super doesn’t automatically form part of your Will or estate when you pass away.
If you want your super to be paid out in accordance with the instructions in your Will, you can make a binding nomination to your legal personal representative so they can distribute your super as instructed in your Will.
Still unsure?
At the end of the day, the type of nomination you make comes down to your individual circumstances.
For a more in-depth look at beneficiaries, who you can nominate and how to nominate them, check out our webpage or chat with a super expert.
Find out more about nominating beneficiaries
Request a call back from a super expert
Log in to Member Online to review your nomination
This is general information only and doesn’t take into account your objectives, financial situation or needs. Before making a decision about CareSuper, you should consider if this information is right for you.
Information correct as at 1 October 2026.