It depends on whether the pension reverted (continued automatically) to a reversionary beneficiary such as the spouse on death or stopped.
Where a pension reverts on death, the pension continues albeit to a different person. As a result, the minimum calculated for the deceased for year of death carries across to the reversionary. Any amount not paid prior to death, must be paid to the reversionary by 30 June. The minimum amount for the reversionary on the following 1 July is then recalculated using the reversionary’s age.
In contrast, where a pension does not revert on death, the pension ceases on date of death. This means the minimum also ceases on date of death. That is, no minimum payment is required for the “old” pension (to the deceased) in the financial year of death. A minimum for any new pension will determined if and when a new pension is commenced for an eligible beneficiary.
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