Digital Assets Are Part of Modern Estate Planning
Many people in Maine think estate planning is only about their home, bank accounts, and personal belongings. Today, however, many important things exist online. These items are known as digital assets.
When an estate plan does not address digital assets, families often struggle to find or access them after a loved one passes away.
What Are Digital Assets?
Digital assets are items you own that exist on a computer, phone, or the internet.
Digital Assets That May Have Financial Value
These include:
- Online bank or investment accounts
- Cryptocurrency (such as Bitcoin)
- Online businesses or websites
- Domain names
These assets can hold real value, but that value only exists if someone has legal access to them.
Digital Assets with Personal Value
These include:
- Email accounts
- Online photo and video storage
- Social media accounts
- Important documents saved online
Although these assets may not have monetary value, families often place great importance on them.
Owning Something Online Is Not the Same as Having Access
Many people assume that ownership automatically gives their family access. In reality, this often is not true.
For example:
- Online accounts may remain locked without passwords or legal authority
- Service providers may deny access to emails or photos
- Strict privacy laws protect many digital accounts
In Maine, an executor or personal representative must have clear legal authority to manage digital assets.
Why You Should Not Put Passwords in Your Will
Writing down passwords in a will may seem helpful, but this approach often creates serious problems.
Wills Can Become Public
In Maine, a will may become public after death, which means anyone could see the passwords.
Passwords Change
Passwords written today may no longer work years later.
Online Companies May Block Access
Many companies prohibit password sharing, even with family members.
For these reasons, you should never include passwords in a will.
How Maine Law Helps with Digital Assets
Maine law allows you to grant legal permission for someone to manage your digital assets.
This permission allows a trusted person to:
- Access online accounts
- Retrieve photos and documents
- Close or manage social media accounts
- Handle digital financial assets
You can include this authority in:
- A will
- A trust
- A power of attorney
An estate planning attorney can ensure these documents provide proper legal access.
Choosing Someone to Handle Your Digital Assets
You can appoint a trusted person to manage your digital assets. Many people refer to this role as a digital fiduciary.
This person may help by:
- Identifying online accounts
- Communicating with service providers
- Preserving family photos and memories
- Managing or closing accounts
You may choose the same person who handles the rest of your estate, or select someone who feels more comfortable with technology.
What Happens If You Do Not Plan for Digital Assets?
Without a plan, families often experience:
- Lost funds in online accounts
- Delays in settling the estate
- Permanent loss of photos or emails
- Increased stress and legal costs
Families frequently lose important digital items simply because no plan existed.
Simple Steps for Maine Residents
To protect your digital assets, consider taking these steps:
- Create a list of important online accounts
- Store passwords in a secure, private location (not in your will)
- Grant legal permission in your estate planning documents
- Choose a trusted person to help
- Review your plan periodically
Final Thoughts
Digital assets are part of everyday life—even for people who do not consider themselves tech-savvy. Planning for them helps families avoid confusion, delays, and unnecessary loss.
If your Maine estate plan does not address digital assets, now may be a good time to review it. A small amount of planning today can make a meaningful difference for the people you care about most.
