Legal Question in Wills and Trusts in North Carolina

I don't know who "they" are who is telling you but the answer is that if you are not the named designated beneficiary then you cannot directly inherit the pension. Your father's estate would receive the money and if you are an heir or named beneficiary you and any other heirs/beneficiaries would split the money. Unfortunately, you do not provide any relevant facts to enable me or any attorney to discuss your question.

Let's back up. When did your father die? Where did he live at the time of his death? In NC? Or somewhere else? Did your father have a will? Was he married and survived by a spouse at the time of his death? Do you have any other brothers and sisters? Was an estate probated or is it pending? Who is the personal representative?

Assuming that your father lived in NC at the time of his death, pension benefits are usually a beneficiary designated asset. This means that the asset would pass to any named beneficiary outside of probate. If your father either did not name a beneficiary or if the named beneficiary died (like his wife) and there was no contingent beneficiary named, then the money would be payable to your father's estate. If no estate is probated then one may need probated. If all debts have been paid then maybe a simple affidavit for collection of assets can be. The money would pass to the personal representative to put into the estate account; the personal representative would then distribute the money to the beneficiaries under the will or heirs.

If there is a will, you need to see what it says about the pension, if anything. If the will is silent, it may contain a residue clause (this is a catchall clause that basically says, after making certain distributions, that anything else is left to a certain beneficiary/beneficiaries.) If there is no will or no residue clause, the pension benefits would pass as per the intestacy laws. In NC, as in most states, this means that the assets would be divided between any surviving spouse and children (either 50% to spouse and 50% to child or if more than one child then 1/3 to spouse and 2/3 to children).

Heirs/beneficiaries do not get to inherit until all claims against the estate are paid, if any. I suggest that if you can afford it that you go talk to a probate attorney who practices in the county/state where the estate for your father is or would be pending and pay the attorney to review the will, if any, and the other circumstances. If you cannot afford a lawyer, then see the clerk of the probate court. Find out if an estate will need probated to obtain the money or if you can use the simplified affidavit & collection (assuming this is NC).