It might sound like something out of a science fiction novel, but digital legacies are something that most people should be thinking about.
Most people, when they think about Wills, consider property, money, businesses, and other physical assets.
How many of you stop to think about the photos and videos that capture your life in Essex or the journeys you have been on over the course of your life?
Digital legacies are now an essential focus of Wills so it might be time to update yours to include it.
What is a digital legacy?
A digital legacy is the collection of information and accounts that exist in an online space when a person dies.
A digital legacy will include social media profiles, online conversations, photos, videos, gaming profiles, and any websites or blogs that a person runs and owns.
Whether that is the Facebook account you use to keep in touch with old school friends, or the files saved on your own computer or phone, something has to happen to that data once you die.
There is also the newly arrived world of cryptocurrencies and Non-Fungible Tokens (NFTs) that have given digital legacies greater market value.
Why is a digital legacy important to include in a Will?
While it might have once been unthinkable, there may now be value in online accounts.
This is especially true for cryptocurrency and NFTs as they form part of the considerations for Inheritance Tax (IHT).
Although the value of these assets fluctuates, the value for IHT considerations is locked at the time of your death.
If you have any social media profiles, blogs, or websites that carry a market value, then these will also be considered when calculating IHT.
Beyond the financial, the reason why many of us should care about our digital legacies is because of the sentimental value that they have.
While once physical photo albums and VHS tapes carried our memories, many people have uploaded precious pictures and videos to digital formats for security and longevity.
Our social media accounts often tell the story of how we see the world and can have records of some of the conversations we have had with loved ones.
Without protecting your digital legacy, your loved ones may struggle to access these accounts after your death and could lose all of the memories you have stored.
How do I include a digital legacy in my Will?
While you should not share passwords with anyone, you can save them in a password manager.
This allows you to give that record of your passwords to someone as part of your Will.
You can outline exactly what you want to have happen to your digital records after you have died.
This could include sending photos and videos to people who will cherish them, or deleting things that no longer have value.
For the benefit of all involved, ensure that the person named in your Will to handle your digital legacy is someone who is technologically savvy.
At Palmers, we want everyone in Essex to be fully prepared to keep pace with the changing world in which we live.
This is why we always advise keeping an eye on your Will and updating it regularly.
Whether you are looking to update a Will or write a new one, our team is always on hand to help.
Don’t let your digital legacy die with you. Speak to our team today!
