In today’s increasingly online world, our lives are filled with digital assets – from online bank accounts and social media profiles to cryptocurrency holdings and cloud-based photo libraries. Yet, many people overlook their digital assets when preparing their estate plans.
At iWills Legal, we believe that your digital life deserves just as much attention as your physical one, in your estate planning considerations.
What are Digital Assets?
Digital assets can include:
- Email accounts
- Social media profiles (like Facebook, Threads, Twitter, Tiktok, Instagram, LinkedIn)
- Online banking and investment accounts
- Cryptocurrency wallets (Bitcoin, Ethereum, etc.)
- Domain names and websites
- Cloud storage (Google Drive, iCloud, Dropbox)
- Online subscriptions and rewards programs (such as Flybuys or Qantas Frequent Flyer)
- Digital books, photos, videos, music collections
These assets can hold significant sentimental or financial value and should, therefore, be dealt with under your Wills.
Why include Digital Assets in your Will?
Including digital assets in your will ensures your loved ones can access, manage, keep, or close down these accounts in accordance with your wishes. Without proper planning, your digital presence and assets can be lost into the digital world or become a source of confusion and stress for your family.
Steps to protect your Digital Legacy
- Create a digital asset inventory: It may be a good idea to create a list of digital assets which includes your usernames, account details, passwords, etc. which can be stored with your Will. Having said that, some people feel uncomfortable leaving such a list containing private information, as there are some obvious security risks associated with doing this. However, there are several digital apps which offer both password management and digital estate planning features which may become useful tools to ensure that your digital assets are properly managed after your passing without you having to compromise on any security risks.
- Include digital provisions in your Will: In addition to leaving the above list of digital assets and associated access to such digital assets, your Will should provide for your wishes regarding the distribution of your various digital assets. For example, it should include your preference as to whether you would like your digital assets to be memorialised, deleted, or transferred to a particular beneficiary or beneficiaries.
- Review terms of Service Agreements: Not all digital platforms allow transfer of ownership as they are often bound by privacy and security measures which are in place to protect the person’s digital assets. Understanding privacy laws and terms of service agreements can help your executor to gain access to the digital assets more efficiently.
- Keep everything updated: Technology changes quickly, so review your digital asset inventory and wishes regularly.
How we can help
At iWills Legal, we specialise in modern estate planning. For more guidance as to how best to navigate the management and gift of your digital assets to your loved ones as part of your estate planning, please contact us today.
