Planning for Digital Assets: Protecting Your Online Legacy

As you begin to think about creating a new, or updating an existing estate plan, don’t forget about your digital assets. So many people fail to include digital assets in their plans, and I’ve seen far too many heirs lose access to tremendously valuable assets as a result.

As we move deeper into the digital age, digital assets are more top-of-mind. In fact, creating a digital asset plan as part of your regular estate plan is becoming common practice. I offer a few measures as a regular way to safeguard your digital presence. And, once you realize the breadth, depth and value of your digital assets, you will likely understand the importance of establishing a digital asset plan within your traditional estate plan.

1. Inventory Your Digital Assets

   Begin by compiling a comprehensive list of your digital assets, including social media accounts, domain names, email, financial records, digital currencies, and intellectual property like photos, videos, and documents. This inventory helps in understanding what needs protection and aids in estate planning.

2. Utilize Strong, Unique Passwords

   Employ complex passwords combining letters, numbers, and special characters. Avoid reusing passwords across different platforms. A password manager can assist in generating and securely storing unique passwords for each account. Additionally, refrain from using features that automatically remember passwords on devices, as session cookies can be exploited by hackers.

3. The Benefit of Using a Password Vault

   Password vaults like LastPass are a valuable and convenient tool for streamlining digital asset protection by securely storing and managing website addresses and passwords in one encrypted location. They eliminate the need to remember multiple complex passwords, reducing the risk of weak or reused credentials that can lead to security breaches. With features like automatic password generation, autofill, and secure sharing, password managers simplify access to important accounts while ensuring they remain protected. This is especially beneficial for estate planning and digital legacy management, as it allows individuals to organize and safeguard their online assets efficiently, ensuring seamless access when needed.

4. Implement Two-Factor Authentication (2FA)

   Activate 2FA on all accounts that offer it. This adds an extra layer of security by requiring a second form of verification, such as a code sent to your phone, making unauthorized access more difficult.

5. Regularly Back Up Important Data

   Maintain secure backups of critical data, either offline or in encrypted cloud storage. This practice ensures data recovery in case of cyberattacks, device failures, or accidental deletions.

6. Stay Vigilant Against Phishing and Social Engineering

   Be cautious of unsolicited communications requesting personal information. Scammers often impersonate trusted entities to gain access to your accounts. Educate yourself and your family about common phishing tactics and verify the authenticity of requests before responding.

7. Review and Update Security Measures Regularly

   Technology and threats evolve rapidly. Regularly review and update your security protocols, including passwords, 2FA settings, and backup procedures, to adapt to new challenges.

By proactively implementing these strategies, you can significantly reduce the risk of unauthorized access to your digital assets and ensure they are protected for your benefit and that of your heirs.

Most Importantly Establish A Traditional And A Digital Estate Plan

Be aware that without proper planning, digital assets like cryptocurrencies can be lost forever, as the IRS treats them as property with specific tax implications. Are you ready to establish both a traditional and digital estate plan? If so, give my office a call at (470) 235-7868. You never know what the future holds. Designate a trusted individual to manage your healthcare, financial, and digital assets in the event of incapacity or death. This ensures that your assets will be safe and distributed according to your wishes.

Looking to find an experienced estate lawyer in the Georgia area who is skilled in asset protection and estate plan preparation? Shannon Pawley is an attorney in Georgia with expertise in estate planning and asset protection. Shannon can provide assistance with creating an estate plan to include making a will and how to establish a trust properly. If you have questions about asset protection or questions about making an estate plan, reach out to Shannon and she will be glad to help answer all the estate planning questions you might have!