Many people put off making a Will. When you add complex technology and online accounts to the mix, planning your estate can feel overwhelming. However, as Australians expand their online footprint, you must plan what happens to your digital life after death.
While many people do not recognize the term ‘digital estate’, almost everyone owns one. Consequently, you should consider establishing a digital estate plan and appointing a dedicated digital executor.
This article provides general information only. You should always obtain advice from an experienced estate planning lawyer regarding your personal situation.
What Is a Digital Estate?
A digital estate includes all digital assets, online accounts, and electronically stored data that a person accumulates during their lifetime. Common examples include:
- Personal email and social media accounts (such as Facebook, Instagram, X, and LinkedIn);
- Online financial accounts, including PayPal, online betting accounts, and digital wallets;
- Digital media collections, such as music playlists on Spotify or Apple Music, online photo libraries, and gaming accounts;
- Personal files saved on mobile phones, computers, external hard drives, or cloud storage systems;
- Cryptocurrency assets, digital tokens, and non-fungible tokens (NFTs); and
- Monetised platforms, blogs, and online commercial personas.
Why Should You Make a Digital Estate Plan?
Failing to plan for your online footprint creates significant obstacles for your family and the executor named in your Will. Ignoring online assets can lead to permanent financial loss, missed inheritances, and identity theft risks. The Australian Cyber Security Centre (ACSC) frequently warns against inactive accounts, which remain primary targets for cybercriminals.
Furthermore, digital content creators and online influencers can generate ongoing revenue from their digital personas. Therefore, leaving clear instructions regarding these accounts is essential for ongoing royalty management.
If you want to protect your digital footprint, create a digital estate plan when you make or update your Will.
Key Considerations for Your Digital Estate Plan
To build an effective digital estate plan, start by listing all your active online accounts. Taking inventory also provides an ideal opportunity to close unused subscriptions and clean up your digital footprint.
Ensure your inventory details every account, relevant username, and security verification question. You must store this sensitive inventory securely and keep it separate from your public Will document to protect your security.
You must also review the Terms of Service for each online platform. Service agreements regulate account ownership and transferability after death. For instance, buying digital media often grants you a temporary user licence rather than a transferrable asset.
Because tech platforms regularly update their Terms of Service, review your digital plan every few years.
Major platforms like Facebook offer built-in features for deceased users. Account holders can choose in advance whether the platform should delete or memorialise their profile upon death.
Appointing a Digital Executor
A digital executor administers your online footprint according to your written instructions. Appointing a digital executor ensures your family handles your digital legacy properly while reducing stress for your loved ones.
When you appoint a digital executor, you grant that individual permission to access and manage your accounts.
Your digital executor does not need to be the primary executor named in your Will under the Succession Act 2006 (NSW). Managing digital assets requires technical knowledge across devices, cloud systems, and social media protocols. Select someone who feels comfortable navigating online support systems and international tech support teams.
If you appoint a separate digital executor, identify them clearly in your Will. This allows your main executor to work alongside them when applying for Grant of Probate through the Supreme Court of NSW.
For complete legal protection, seek professional guidance from an experienced wills and estates lawyer.
Conclusion
Many Australians focus solely on physical assets when writing a Will, overlooking their valuable online accounts. Given how much personal data and wealth we store online today, creating a digital estate plan is vital for modern estate planning.
If you need help creating a digital estate plan or updating your Will, please contact our legal team on 02 9792 8413 or email [email protected].