Survivor benefits are governed by the plan and by pension legislation, which often gives a spouse a priority that cannot easily be waived.
The Canadian position
Survivor benefits are governed by the plan and by pension legislation, which often gives a spouse a priority that cannot easily be waived.
Whether an asset passes through the estate determines both the probate cost and who ultimately receives it.
The Islamic position
Passes outside the estate, so the faraid shares apply to whatever else remains.
The fixed shares apply only to the net estate. Anything passing outside it is never divided by faraid.
The four Sunni schools are not recorded as differing materially on this point in the sources reviewed. Where your own case turns on it, put it to a scholar of your school.
What to do about it
- Confirm how your employer pension is currently held or designated.
- Decide deliberately whether it should follow the shares.
- Take tax advice before changing a designation.
- Re-check whenever the will changes.
General information, not legal or religious advice. Inheritance depends entirely on the exact family circumstances. Confirm the Canadian position with a lawyer in your province and any religious ruling with a qualified scholar.
Citations & sources
Every factual claim on this page traces to one of the references below. Legislation and dollar thresholds change — verify against the primary source before relying on any figure.
- Surah an-Nisa 4:11 — shares of children and parents — Quran.com
- Surah an-Nisa 4:12 — shares of spouses and uterine siblings — Quran.com
- Surah an-Nisa 4:176 — the kalalah verse — Quran.com
- Research Papers — Cambridge Muslim College
- Research — Cambridge Muslim College
- Academics — Islamic law and theology curriculum — Zaytuna College
- Encyclopaedia of Islam — Brill
- What to do when someone has died — Canada Revenue Agency
- What to do when someone has died — Canada Revenue Agency
- Income Tax Act, RSC 1985, c 1 (5th Supp) — Justice Laws Canada
- Superficial loss inside tfsa rrsp ontario — Treadstone Law
- Farm transfer life insurance covers tax bill ontario — Treadstone Law
- Estate trustee selling below market value beneficiary recourse ontario — Treadstone Law
- Day trading inside tfsa business income risk ontario — Treadstone Law
- Life insurance beneficiary designation ontario estate planning — Treadstone Law
- Beneficiary died before me ontario — Treadstone Law
- Wills & estates practice — Treadstone Law