Digital estate planning: Don't let digital wealth become lost wealth

For many people, estate planning still revolves around physical assets such as property, bank accounts, and investments held with traditional financial institutions. However, the way people build and manage wealth has changed dramatically over the past decade.

Investment platforms, online savings accounts, cryptocurrency exchanges, digital wallets, and app-based banking have become part of everyday financial life. While these services offer greater convenience,  they also introduce new challenges when someone dies. Without clear records and access instructions, valuable digital assets can become difficult, or even impossible, for Executors to identify and administer.

For Financial Advisers, Will Writers, and anyone supporting clients with estate planning, digital assets are becoming an increasingly important consideration.

The UK is becoming a nation of digital investors

Recent research by The Investors Centre, based on a survey of 2,000 UK adults, highlights just how quickly our financial lives are moving online.

The research found that:

• 57.5% of UK adults now hold financial assets digitally, including investments through trading platforms, online ISAs, cryptocurrency exchanges, and app-based savings accounts.

• 69.2% of digital investors have no documented access pathway for their heirs.

• 85.6% of UK adults have not included digital access instructions alongside their Will.

These findings suggest that while digital investing has become mainstream, estate planning has not yet kept pace. As digital wealth continues to grow, the gap between asset ownership and estate administration is likely to become increasingly significant.

Source: The Investors Centre, Digital Estate Planning Statistics (2026)

What counts as a digital asset?

When people hear the term ‘digital assets’, they often think of cryptocurrencies. In reality, digital assets can include a much broader range of financial and personal property, including:

• Online investment accounts

• Stocks and shares platforms

• ISAs managed through investment apps

• Cryptocurrency and digital wallets

• Online savings accounts

• Premium Bonds managed online

• PayPal and other digital payment accounts

• Vinted accounts

• Reward points and loyalty balances

• Domain names and websites

• Online businesses that generate income

Alongside these financial assets are digital possessions with significant sentimental value, such as cloud photo libraries, emails, and social media accounts.

Why digital assets can cause problems during estate administration

Unlike a traditional bank account, digital assets are not always easy for Executors to discover. In many cases, family members may not even know an account exists.

Even where they do, providers often require legal authority before granting access, and if no records have been kept, tracing digital assets can take considerable time. Some common challenges include:

• Accounts protected by two-factor authentication

• Passwords stored only on personal devices

• Cryptocurrency wallets without recovery phrases

• Investments spread across multiple online platforms

• Automatic subscriptions and recurring payments continuing after death

The more fragmented a person’s digital finances become, the greater the administrative burden can be for Executors.

Why Financial Advisers play an important role

The UK is expected to experience one of the largest intergenerational transfers of wealth in history. As more of that wealth is held digitally, Advisers have an opportunity to help clients think beyond traditional estate planning. Simple questions can make a significant difference, including:

• Do you hold investments through online platforms?

• Do your Executors know these accounts exist?

• Have you recorded where your digital assets are held?

• Have you made secure arrangements for account access after your death?

These conversations complement wider discussions around Wills, Lasting Powers of Attorney, and Inheritance Tax planning.

Practical steps clients can take

Digital estate planning doesn’t mean sharing passwords in a Will. Instead, clients should consider:

• Keeping an up-to-date inventory of digital assets

• Recording where investments and online accounts are held

• Using a reputable password manager or secure storage solution

• Reviewing platform-specific legacy settings where available

• Informing Executors how to locate important information

Regular reviews are also important, particularly as people open new investment accounts or adopt new financial technologies.

Digital estate planning is becoming part of modern estate planning

Estate planning has always adapted to reflect changes in the way people own and manage wealth. Today, digital assets form part of many people’s financial lives, yet they are often overlooked.

By encouraging clients to consider both traditional and digital assets together, Advisers can help reduce the risk of assets being overlooked and make estate administration simpler for the families they leave behind.

Further reading

If you’re helping clients plan for the future, don’t overlook their digital footprint. Read our guide to digital legacy planning to learn how digital memories, online accounts, and personal data can also form part of a well-rounded estate plan.

If you have any questions or need any support with estate administration, please get in touch with us by emailing ClientServicesTeam@kctrust.co.uk or calling 0300 303 9000.