In today’s digital age, estate planning involves more than just physical property and financial accounts. Your digital assets—from online bank accounts to social media profiles—carry both emotional and monetary value. Including them in your estate plan is essential for ensuring a smooth and secure transfer of your digital legacy.
What Are Digital Assets?
Digital assets are any electronically stored information or accounts that you own. These may include:
- Email accounts
- Social media profiles (Facebook, Instagram, LinkedIn)
- Online banking and investment accounts
- Cryptocurrency wallets
- Cloud storage (Google Drive, Dropbox)
- Domain names and websites
- Digital photos, videos, and creative works
- PayPal, Venmo, and other digital wallets
Many of these platforms have their own terms of service and privacy policies, which can limit access after death—making clear instructions even more important.
Why It Matters in New Jersey
New Jersey, like many states, has adopted the Revised Uniform Fiduciary Access to Digital Assets Act (RUFADAA). This law allows individuals to grant legal access to digital assets to a fiduciary (such as the executor of your estate or a trustee). But for this to happen, you must give explicit consent in your estate planning documents.
How to Include Digital Assets in Your Estate Plan
- Take Inventory
Make a list of all your digital assets, including URLs, usernames, and any passwords (stored securely, not in the will itself).
- Assign a Digital Executor
Designate someone you trust who understands digital platforms to handle your digital assets. This can be the same person as your primary executor, or a separate individual.
- Specify Your Wishes
Clearly outline how you want your digital assets handled. For example, you may want social media accounts to be memorialized, email accounts deleted, or cryptocurrency passed to a specific heir.
- Update Your Legal Documents
Incorporate digital asset language into your will, power of attorney, and/or revocable trust. Ensure they comply with RUFADAA guidelines for access.
- Use Online Tools When Available
Some platforms (like Google and Facebook) allow you to set up a legacy contact or inactive account manager. This is a powerful complement to your legal plan.
- Keep It Updated
Digital footprints change. Revisit your list regularly to add new accounts or update credentials.
Digital assets are an increasingly important part of our lives and legacies. Without clear planning, your loved ones may face serious hurdles accessing or closing out your accounts. Need help including digital assets in your estate plan? At The GC Law Firm, we help you plan comprehensively and securely. Contact us today to get started on your digital-inclusive estate plan.