How to include digital assets in a Will

Can you ensure that these non-physical sources of income are protected and distributed in the event of your passing?

Understanding Digital Assets

When we think about our precious belongings and assets that we wish to leave to our loved ones, such as jewellery, heirlooms, property, and money, we rarely consider things that are not physical but that are still of great value.

Digital assets cover a wide range of media; including social media accounts, cryptocurrency, intellectual property, loyalty points on shopping cards, emails, websites, and much more.

There are also tax implications for digital assets, just as there are for traditional assets and estates, so you will need to bear this in mind.

Challenges when writing a Will

The biggest obstacle when it comes to including digital assets in your will is access. Unlike physical items, digital assets require login information, credentials, multi factor authentication, biometrics, and sometimes even specific software to access them.

You also need to think about what you want to happen to your accounts after your death. Do you want them kept up and memorialised, as Facebook offers, or do you want them closed down and deleted?

If you don’t have a Will in place, then your digital assets will be considered part of the estate and will pass to the relevant beneficiary, so be aware of this in regards to your social media accounts and digital assets - is that person going to be able or willing to handle them to your wishes?

Steps to Include Digital Assets in a Will

Make a Comprehensive Inventory:

To include all of your digital assets into your will, you first need to make a comprehensive list of everything you want handled and distributed.

This will need to include all access data, passwords, recovery information, and anything else required to gain access. You will also need to update this information regularly whenever details are changed, such as adding a new password or gaining a new digital asset.

Select an appropriate Executor:

Your executor will need to understand the complexities of your digital assets and be comfortable distributing them after your passing.

Specify Your Wishes:

You will need to specify how you want your digital assets to be distributed to your loved ones, and include any stipulations or requirements you want, as you would do with typical physical assets.

You can include both digital and physical assets within the same Will - you don’t need to separate them.

Follow Legal Compliance

You will need to work with the experts to ensure that your Will still meets the required legislations and regulations to be valid. Some digital assets are created or stored outside of the UK so you will need to check that everything you have specified in your Will is legally sound.

Safeguarding your Digital Assets

In the UK, the laws surrounding digital assets are evolving, and those looking to avoid disputes after their death need to refer to the experts to ensure their assets are properly taken care of.

Florins of Louth can help you to update your Will to include all of your digital assets, ensuring they are distributed as per your wishes after your passing. Get in touch today to speak to our expert team.