Many millennials are approaching an age where things like retirement and Digital Estate planning become crucial. Planning for death/incapacity at such a young age may seem strange, but it has its benefits. Millennials have not only physical assets but also have valuable Digital Assets. The uncertainty of life makes it essential to prepare for some things before the “right time.” Remember, it is never too early or late to make a solid Digital Estate Plan.
Why is it necessary to create a Digital Estate Plan? The answer is that technology has come a long way. Digital Assets are just as valuable as physical or tangible assets. Even something as small as an Instagram page holds sentimental value to the account holder as well as their loved ones. In the recent past, some social media organizations have introduced Digital Legacy Policies but they are of limited benefits. Hence, it is always recommended to make arrangements for all your Digital Assets so that you can let your loved ones handle them the way you want them to, once you’re gone.
This article is the ultimate guide for millennials to understand the process of Digital Estate planning.
What is a Digital Estate Plan, and How Will It Benefit?
A Digital Estate Plan ensures that all your Digital Assets remain safeguarded after your demise. It can benefit you in several ways, like:
- Effective and quick transfer of your Digital Assets to trusted beneficiaries.
- The luxury of choosing a Digital Executor.
- Authority to run/memorialize/close the Digital Assets.
- Preventing familial dispute over rights to your Digital Assets.
- Your accounts and other Digital Assets will never get misused due to the Digital Estate Plan.
How to prepare a Digital Estate Plan
● List Your Digital Assets.
Can you remember the first time you used the internet to create an account online? Do you have a record of all your passwords and inactive but existent profiles? If you answered affirmatively to the above questions, you are in luck.
The first step while creating a Digital Estate Plan is to make your Digital Asset inventory. To get an idea of what to include in this inventory, here are a few crucial factors:
- Social Media Accounts
- Cloud storage drives
- Any device used for accessing the Digital Assets
● Allow Access To Your Digital Assets.
After you make a list of your Digital Assets, allow access to them. Some of these assets, such as social media accounts, hold sentimental value to your near and dear ones. Facebook and Instagram allow people to appoint Legacy Contact; a Legacy Contact is a person that can manage your account after your demise.
Similarly, Google has an Inactive Account Manager option, where you can select up to ten people to download your data before Google deletes the account. If some of your Digital Assets lack such post-demise management provisions, appoint a trustworthy person as your Digital Executor.
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● Appoint A Digital Executor
A Digital Executor is a person who handles your Digital Assets after your demise or incapacity. As a Millennial, you might want your social media profiles to be handled by your close friend while your payment accounts can be handled by your family members. In brief, you can choose a specific Digital Executor for certain accounts or, choose one Digital Executor for all your online accounts.
Legalize The Digital Estate Plan.
It is always better to get your Digital Estate Plan signed by an attorney. RUFADAA might come into the picture if you are a citizen of the US. However, the final decision of who must handle your Digital Assets will be court-decided. To avoid this complication, it is always beneficial to state your wishes in writing and talk to your attorney about making your plans legal.
Some Digital Assets hold monetary value while some, sentimental value. Clocr provides Digital Estate Solutions for all age groups. Sign up with Clocr today and get all the help you need in creating your Digital Estate Plan.
Today, most people use some form of digital banking apps or websites. Even something insignificant like checking your bank balance comes under your Digital Assets. Think about everything you own in a digital form to get a count of your assets. Credit cards, digital wallets, saving accounts, coupons all make your Online Banking Assets. Managing your digital banking assets is among the most crucial steps of the Digital Estate planning process. Think about it, if something were to happen to you, who would look after those online accounts?