Do you need a digital will?

LEARN HOW YOUR PLANNED GIFT CAN HELP THE AMERICAN LEGION

My spouse and I had our estate plan - including a will, power of attorney and advance directive - drawn up about 10 years ago, but have recently read that our plan should include a digital will too. What can you tell us about this?

A digital will is an informal document that lists your digital assets along with instructions on how to access and manage them after you die. If you or your spouse spend time online, preparing a digital will is helpful for your loved ones and can help protect your privacy. Here is what you should know.

Do You Have Digital Assets? The term "digital assets" refers to personal information that is stored electronically on either a computer or an online cloud server account that belongs to an individual. Anyone who uses email, has a PIN-protected cellphone, makes online purchases or pays bills online has digital assets. Digital assets generally require a username, password or PIN to access and can be difficult to retrieve if someone is incapacitated or passes away.

Creating a digital will (also known as a digital estate plan) will help your loved ones access your electronic devices and online accounts after your death. It can also guide them in managing your digital assets according to your wishes. This, in turn, will protect your dormant accounts and assets from hackers or potential fraud after you die.

How to Write a Digital Will Your first step in creating a digital will is to make an inventory list of your digital assets, which include everything from hardware to email accounts. Here are a few categories to help kick-start your list:

Electronic devices (computer, smartphone, tablet, external hard drive) Digital files (photos, videos or documents) Financial accounts (bank and brokerage accounts, credit cards, cryptocurrency) Bill paying accounts (utilities, mortgage accounts) Social media accounts Email accounts Cloud-storage accounts Movie or music streaming services Online purchasing accounts Subscription services (magazines, newspapers) Reward programs (travel, stores) Membership organizations

When making your list, you should include usernames, passwords, PINs, account numbers and security questions used for accessing each account. You should also provide detailed instructions on how you want your assets managed after your death. Some questions to consider include: Do you want certain accounts closed, archived or transferred? Do you want specific files or photos to be deleted or shared with loved ones? Do you want your social media profiles memorialized or deleted?

You may also consider appointing a digital executor to manage your digital assets and execute your wishes after you die. This person would be responsible for accessing your accounts and deleting, downloading, converting or managing your files and profiles.

From a legal perspective, it is important to know that most states have enacted the Revised Uniform Fiduciary Access to Digital Assets Act (RUFADAA), which legally recognizes digital estates. This law gives your personal representative or executor authority to manage some kinds of digital property, including web domains and virtual currency. Legal access to other digital assets, such as emails and social media accounts, requires consent through your estate planning documents or other means.

Once your digital will is prepared, securely store it with your other estate plan documents. Storage options include a fireproof safe, a file cabinet at home, on your computer hard drive, with your estate planning attorney or with a reputable online digital estate planning service. Also, let your executor know where your digital will is stored and how to access it. Remember to keep your digital will updated whenever you create any new digital accounts or change passwords.

“Savvy Living” is written by Jim Miller, a regular contributor to NBC’s “Today Show.” The column, and others like it, is available to read via The American Legion’s Planned Giving program, a way of establishing your legacy of support for the organization while providing for your current financial needs. Consider naming The American Legion in your will or trust as a part of your personal legacy. Learn more about the process, and the variety of charitable programs you can benefit, at legion.org/plannedgiving. Clicking on “Learn more” will bring up an “E-newsletter” button, where you can sign up for regular information from Planned Giving.