Estate planning has, for the longest time, been confined to tangible assets like property, investments and heirlooms. However, with the rise of digital assets and our increasingly digital lives, it’s imperative to expand our estate planning considerations to include our digital footprint.
If you are considering creating an estate plan, the following are some compelling reasons why you should also think about planning for your digital estate.
1. Maintaining privacy and security
The digital universe is fraught with privacy and security risks. Without a digital estate plan, your online accounts and sensitive information could be vulnerable to unauthorized access. Including provisions for the secure management of your digital assets in your estate plan ensures your personal information remains protected and your online accounts are managed according to your wishes, providing peace of mind for you and your loved ones.
2. Sentimental digital asset preservation
With social media and digital platforms becoming integral parts of our lives, many of us accumulate a wealth of sentimental digital assets over time. These may include cherished photos, videos, emails and personal messages that hold deep emotional value. Incorporating a digital estate plan allows you to designate how these sentimental digital assets should be preserved and passed on to your loved ones.
3. Asset protection
The rise of cryptocurrencies and other digital financial assets has added a new layer of complexity to estate planning. Without proper guidance, these assets could be lost forever or fall into the wrong hands. Including provisions for the management and distribution of digital currencies, investment accounts and other financial assets in your digital estate plan ensures that your wealth is protected and transferred according to your wishes.
Estate planning in whatever form is an intricate process and you may want to consider legal guidance to help ensure that your digital estate plan is comprehensive, legally sound and aligned with your overall estate planning goals and objectives.
