Estate planning looks much different than it used to. For example, more and more people are including their digital assets in their estate to pass along to their heirs.
If your estate plan does not include your digital assets, such as your account, files and transactions, it is not really complete. Forgetting to plan for these assets may have a detrimental effect on your loved ones when you pass.
What are digital assets?
As seen on Forbes.com, your digital assets include any accounts or services that exist online and utilize a password of some sort for protection. Digital assets typically include the following.
- Information stored on “the cloud”
- Your computer and the files stored on it
- Web domains that you own
- Online accounts
- Your smartphone and apps
- Digitized medical records
How do I include digital assets in my estate plan?
The first thing you should do is write a list of all your digital accounts and assets or liabilities. This can include items from above, but there are many others that you may think of as well. Include any pertinent information, such as the names on the account and the address associated with the account.
Next, write down all of your login information for each asset and decide who should have access to which accounts when you pass. Include any information regarding two-step authentication and security questions. The goal is to pass on any information your family member will need to login to your account.
Once you decide who can access what upon your death, include these instructions in your will or trust. This will allow your digital assets to pass easily to the person you would like to have them.