Who inherits the virtual estate?
What is a digital legacy?
The term “digital estate” refers to all online profiles, digital documents and data files which the deceased have left behind in the Internet. These include photographs, videos, blog posts or profiles in social networks such as Facebook or X (formerly Twitter), or pages which are subject to registration such as e-mail accounts, Cloud documents, Netflix and online banking, as well as crypto currencies and Wallets. These data may hold financial or emotional significance.
Virtual heir
Anyone navigating the online world should be aware that their digital footprint remains in the Internet after their passing unless precautionary measures are taken beforehand. But it doesn’t have to be this way. Only very few people take an interest in what happens to these data after their passing. That might be explained by a reluctance to address these issues, in line with the maxim “who cares when I’ve gone”, or by the fact that there is still much people do not know about this subject.
Useful information for planning the digital estate
In most cases, dependants do not know either the online platforms on which the deceased was active or the access details such as user names and passwords. This makes it very difficult for the surviving dependants to remove any remaining digital data from the platforms. However, as testamentary disposer it is easy to take comprehensive precautionary measures before it is too late.
One such important measure is to maintain a list of all digital assets together with the related passwords and login/registration details; the list should be regularly updated and kept in a safe place. This is an important step in helping surviving dependants to manage the digital inheritance while providing guidance in emotionally difficult times. Besides the physical list of access details there is the technical alternative of the USB stick or the password manager.
Possibilities for regulating an estate in the online world
It is also advisable for the testator to lay down in writing how they wish the estate to be managed in the online world. The data can be preserved, deleted, archived or transferred to dependants, heirs or a third party. As an additional measure, one can appoint a trustworthy person with the management of the digital estate.
Digital measure as a precaution against decision-making incapability
As a precautionary measure, it may also make sense – without leaving it too late – to specify in the health care proxy what is to happen with my data in the Internet. Unforeseeable events such as a sudden illness or an accident in the home or a car accident can happen any time and make us incapable of making decisions from one second to the next.
Conclusion
Anyone who makes a conscious effort to make arrangements for digital precautionary and estate planning in a timely manner takes responsibility and offers his dependants some guidance if the worst comes to the worst.
Bank Austria’s experts in the field of precautionary and succession planning support customers with holistic generation advisory services also in this area. Individual wishes can then be taken into account in the health care proxy and the will before being finally implemented by notaries or solicitors to the extent permissible by law. So that in the end one can rest assured that preparations have been made for all eventualities.
Elke Esterbauer, CFP®, EFA®, qualified coach
Certified ESG Advisor
Wealth Advisor – Wealth Planning
If you have specific questions concerning your personal legal situation, or you wish to clarify details regarding your personal wealth succession planning, we strongly recommend that you consult a notary public or solicitor.
