In this post, you will learn:
- What is a Digital Estate Plan
- How to create a Digital Estate Plan
What is a Digital Estate Plan?
A Digital Estate Plan is an Estate Plan specifically for your Digital Assets.
The first step to create a Digital Estate Plan is understanding what Digital Assets are and realizing that your Digital Assets are worth equally, if not more, than your physical assets. Your Digital Assets contain tons of personal, financial and sentimental data that can be passed on to the people you choose.
Similar to a traditional Estate Plan, a Digital Estate Plan helps your executor understand what to do with your online accounts after your death. It eliminates the need for your executor and loved ones to fight long court battles to gain access to the accounts. It gives them quick, legal access to your Digital Assets.
How to create a Digital Estate Plan?
List Your Digital Assets
The first step is to make a list of all your Digital Assets. Make a separate one for your company’s Digital Assets. You might need to print out a copy of all paperless statements and file them. You can do this at the end of every year to ensure the document is up-to-date.
Draft Instructions on how your Digital Assets must be handled after your demise
Write down instructions on what should happen to your Digital Assets when you pass on. This could range from memorializing, deleting or transferring your account. Make sure you leave a separate document with the login information to your online accounts so that your executor can access them.
Name a Digital Executor
An executor is responsible for, as the name suggests, executing your Digital Estate. While creating your Digital Estate Plan, name an executor and an alternate executor to give them the right to carry on your wishes.
Store Your Information Securely
Store your Digital Assets in a protected yet accessible location. This way, you can secure your Digital Estate Plan, as well as update it easily. You can do this by leaving it with your attorney, or by storing it in a safe, or on an encrypted shared drive. You could use them all too!.
Make It Legal
Based on the state you live in, you might have the option to legalize your Digital Estate Plan. The easiest and guaranteed way to do this is by consulting with an attorney in your state.