Your Death Benefits

Financial support for your family

If you pass away, your loved ones may face many expenses, such as funeral costs, debt repayments, and loss of income. The Fund provides several benefits to help support your family during this difficult time.

Each benefit works differently. Some are paid out according to who the trustees determine are your financial dependants, while others depend on your Nomination of Beneficiary forms. Make sure you keep this up to date. Below, we explain what each benefit covers, how payouts are decided, and the simple steps you can take now to make sure your loved ones are looked after when it matters most.

Retirement Fund Group Life Assurance Benefit (GLA)

By default, you are covered by the Fund's Group Life Assurance benefit.

Your death benefit consists of:

  • Retirement Fund Group Life Assurance Benefit of 4 X your annual salary

  • PLUS: The amount in your retirement fund savings
  • PLUS: Employer-provided life insurance benefit of 2 X your annual salary

  • This benefit is paid together with your retirement fund savings.

Optional additional cover

You may purchase additional cover in multiples of 1 X your annual salary, up to a maximum of 4 X your annual salary.

Tax

Your Group Life Assurance benefit is subject to tax.

Your beneficiaries

For this benefit, your Nomination of Beneficiary form is an expression of your wishes and a useful guide for the trustees, but they are not obligated to follow it.

They will do a thorough investigation over a 12-month period to establish your financial dependants and their degree of dependency. The trustees will consider your nomination form and other factors as set out in the Pension Fund Act when deciding how the death benefit will be distributed.

Employer-provided Life Insurance Benefit

Woolworths also provides an additional life insurance benefit. This additional benefit is paid to your beneficiaries in the event of your death or permanent disability.
  • This benefit pays 2 x your annual pensionable salary.
  • The benefit is tax-free.
  • For this benefit, the insurer will follow the instructions on your Nomination of Beneficiary form and pay the benefit to the beneficiaries you have nominated.
If you die while working for Woolworths, the above death benefits that are payable to your beneficiaries are investigated and distributed by the Board of Trustees. This is governed by the section 37C of the Pension Funds Act. Fund benefits do not form part of your estate and are therefore not distributed according to your will. When dealing with the payment of your death benefits, you as the member do not necessarily have the final say.

Nominating your beneficiaries

It is most important that you keep your Nomination of Beneficiary Form current and up-to-date. You must update your beneficiaries whenever your personal circumstances change. Find out more about nominating your beneficiaries here.

For example:

  • If you get married
  • If you get divorced
  • If you have a child
  • If a dependent family member dies.
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Funeral Benefit

In the event of your death, or that of your immediate family member, the following scale of lump sum benefits will be paid to you, your beneficiaries or your deceased estate to help pay for your funeral:

Your deathR30 000
Your SpouseR30 000
Children aged 14 years and overR30 000
Children aged 6-13 yearsR15 000
Children aged 1-5 yearsR7 500
Still born to 11 monthsR3 750
  • The benefit is paid on a scaled basis and covers the employee and eligible immediate family members.
  • You must nominate two trusted people to receive this benefit. The money will be paid to one of the nominated people and must be used towards your funeral costs.

If you want additional family funeral cover

Go onto Imbizo and search for the Momentum funeral scheme. You can then apply to have your family covered by a funeral policy. You will have to be included in the cover as well, but as funerals are expensive, the additional cover will not go amiss.
Learn More

Nominating your beneficiaries

You must nominate two people on the Funeral Benefit Nomination Form and send it to your HRA.

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Woolworths Memorial Education Fund Benefit

There is NO Woolworths Memorial Education Fund Benefit for TCOE employees.

Your guide to the death benefit payout process

When a member passes away, the Fund follows a legal process to identify dependants and distribute the death benefit fairly. This guide explains what happens and how you can help avoid delays.
  • Keep your beneficiary nomination form up to date.
  • Understand how trustees identify and assess beneficiaries.
  • Learn what documents your family may need.
  • Find out how death benefits are paid.
  • See the common reasons why payments may be delayed.
Death Benefit Process Guide
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