Protect Your Digital Legacy: How to Include Digital Assets in Your Estate Plan

In today’s digital age, managing your “digital afterlife” is as important as planning for your physical assets. From online banking to social media and cloud storage, digital life’s conveniences can create significant challenges for executors and heirs if no plans are in place. A recent article in The Minnesota Star Tribune, “When death planning, don’t forget to account for your digital life,” highlights the importance of including digital assets in your estate plan.

The Shift from Paper to Digital

Decades ago, executors could locate important documents in filing cabinets or shoeboxes. Today, essential financial and personal information is often locked inside computers, phones, or cloud storage, creating new challenges for families.

Proper authorizations are crucial for each platform. Many major tech companies offer tools to manage accounts after death:

• Google: The Inactive Account Manager lets you designate someone to receive specific data if you stop using Google services for a set period.
• Apple: Legacy Contacts allow trusted individuals to access your Apple ID and data after your passing.
• Facebook: You can appoint a legacy contact to manage your memorialized profile or request account deletion.

Digital Assets and the Law

Most states now have laws governing digital assets, and the Stored Communication Act provides federal protection for digital communications. Without your explicit consent, companies cannot disclose account information. A digital consent form, drafted by an estate planning attorney, ensures your executor can access these accounts, similar to how a HIPAA release works for medical records.

Steps to Secure Your Digital Afterlife

1. Inventory Your Digital Assets: Create a complete list of all online accounts, passwords, and stored data. This could be in a notebook, secure electronic file, or encrypted list. Ensure your executor knows how to access this information.
2. Designate a Digital Executor: Name a trusted individual to manage your digital assets in your estate plan.
3. Backup Cloud Data: Store important files on a local computer, external hard drive, or memory stick to simplify access.
4. Update Estate Documents: Ensure your will, trust, and power of attorney include provisions for digital assets. Include a digital consent form to authorize access for your executor.

Without these preparations, some platforms may refuse to release data, forcing loved ones into lengthy court battles. Even social media campaigns or public appeals are unlikely to resolve such disputes.

Take Action Now

Planning for your digital afterlife ensures your loved ones can access your accounts and preserves your legacy. At The Werner Law Firm, our estate planning attorneys help clients navigate the complexities of estate planning, including securing digital assets. Whether you’re starting an estate plan or updating it, we’re here to help you protect every aspect of your legacy.

If you have any questions, schedule a free appointment with us through our online appointment page.

You can also read reviews from some of the hundreds of clients we have helped over the years.

Reference: The Minnesota Star Tribune (Nov. 11, 2024) “When death planning, don’t forget to account for your digital life”