Our lives are increasingly digital—from paying bills and managing investments to storing treasured family photos. But have you considered what happens to your online accounts and digital memories when you're gone?
Digital legacy planning ensures your loved ones can access and manage your digital assets smoothly—without added stress or legal complications.
What Are Digital Assets and Why Do They Matter in Estate Planning?
Digital assets include anything stored online or electronically that has personal, sentimental, or financial value. Common examples include:
- Social media accounts
- Email accounts
- Online financial accounts (banking, investments, rewards programs)
- Cloud-stored photos and documents
- Domain names, blogs, and intellectual property
- Cryptocurrency wallets and NFTs
Failing to account for these in your estate plan can lead to delays, disputes, or permanent loss of access.
Challenges of Managing Digital Assets After Death
Unlike physical possessions, digital assets come with unique challenges:
- Access restrictions: Terms of service often prevent loved ones from logging into your accounts—even if they know your password.
- Legal risks: Granting unauthorized access to someone can violate privacy laws.
💡 Tip: The Revised Uniform Fiduciary Access to Digital Assets Act (RUFADAA) lets you grant legal access to digital accounts—but only if you include written permission in your estate plan.
How to Create a Digital Asset Inventory
Start by listing your digital accounts and important details, such as:
- Usernames
- Passwords
- Security questions
- Preferences for managing or closing each account
🔐 Tip: Store your inventory in a secure location, like a password manager or with your estate documents, and update it regularly.
How to Use Password Managers to Protect Digital Assets
A good password manager keeps your credentials safe, and many offer features that allow you to designate a trusted contact for emergencies or in the event of your death. This can streamline access for your digital executor.
🔏 Tip: Look for a password manager with a “digital legacy” or emergency access option to simplify transitions.
What Is a Digital Executor and What Do They Do?
A digital executor is someone you name to manage your digital accounts according to your wishes. This person should be authorized in:
- Your will
- Your power of attorney (POA)
🧾 Tip: Make sure your legal documents are consistent and match the policies of each provider (e.g., Google, Facebook, Coinbase).
How to Add Digital Assets to Your Will and POA
Work with an estate planning attorney to:
- Update your will to include digital assets
- Grant specific authority in your POA
- Ensure your estate plan complies with RUFADAA and any state-specific laws
📁 Tip: Don’t wait—adding this language now can prevent future access issues for your loved ones.
Digital Executor Instructions: What to Include
Give your digital executor clear instructions, such as:
- How to access cryptocurrency wallets
- How to transfer NFTs
- Which accounts to delete, memorialize, or transfer
- Who should receive sentimental items, like photo libraries
🔎 Tip: Keep these instructions in a safe place—and let someone you trust know where to find them.
Talking About Digital Legacy Planning with Family
Discussing your digital estate plan with loved ones can reduce confusion and increase the likelihood that your wishes will be honored. Think of it like a digital version of a "letter of instruction."
💬 Tip: Have this conversation early, especially with your named digital executor and key family members.
When to Update Your Digital Estate Plan
Revisit your plan at least once a year or after major life events, such as:
- Moving
- Getting married or divorced
- Opening new accounts
- Buying cryptocurrency or NFTs
📅 Tip: Set a yearly reminder to review and update your plan, just like you would with your tax documents.
Risks of Not Including Digital Assets in Your Estate Plan
Ignoring your digital assets can lead to:
- Lost access to financial accounts
- Fees from inactive or unclaimed accounts
- Lost sentimental files (like family photos or home videos)
- Permanently inaccessible crypto if private keys are lost
⚠️ Tip: Even one missed login can mean losing valuable or sentimental data forever—plan ahead.
How We Can Help With Digital Estate Planning
Managing your digital legacy is just one piece of the puzzle. A thoughtful, comprehensive financial plan can help protect everything that matters—from your online accounts to your long-term retirement goals.
📞 Schedule an introductory meeting to talk through how your digital assets fit into your overall financial plan.
Jordan Hickey is a CERTIFIED FINANCIAL PLANNER® professional who helps clients create personalized financial plans. Based in Glastonbury and Wilton, CT, Jordan offers guidance on retirement, insurance, investments, and overall wealth management. Schedule a complimentary introductory meeting with Jordan.
This information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete, it is not a statement of all available data necessary for making an investment decision and it does not constitute a recommendation.
Raymond James and its advisors do not offer tax or legal advice. You should discuss any tax or legal matters with the appropriate professional. Prior to making an investment decision, please consult with your financial advisor about your individual situation. Any opinions are those of the author, and not necessarily those of Raymond James. Expressions of opinion are as of this date and are subject to change without notice.