Fatwa #93966 October 2003South Africa

What is the ruling regarding distribution of pension fund benefits on the death of a person.

Question

Most companies require an employee to fill in a beneficiary form for nomination of beneficiaries of one's pension after the employees death. Is it compulsary to follow the Islamic Law of inheritance when completing this form.

Answer

If the pension fund is compulsory, then it will not be necessary to follow the Islamic law of inheritance when completing this form. (Contemporary Fataawa pg.167)

and Allah Ta'ala Knows Best

Mufti Ebrahim Desai

#19645Please assist me with regards to the distribution of inheritance
#39621Pension Fund payout.
#45105Do I have to pay Zakaat on my pension funds?
#37100How should the pension and inheritance be distributed Islamically?
#47276Are pension payouts included as part of the estate?
#30561Pension fund
#43036Pension Fund
#19307I've heard that if a man distributes all his property among heirs and then his death occurrs, it can be said that he left the world as a poor man. In this process, it can be said that, gathering property is not a problem if it can be distributed before death. Is it true?

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