One of the intents of estate planning is to control what happens to your property in the future. Through a complete estate plan, you can outline what you want to happen to your personal assets, your wealth and even your medical care in the event of your incapacitation or passing. It is beneficial for every adult, regardless of income, the size of the personal estate and other factors, to have a thoughtfully prepared strategy in place.
It is important to address all of your assets in your estate plan, including those assets that may not be physical. Digital assets are valuable types of property, and it is important that you plan for what will happen to them in the future. Failure to address these assets in your plan could result in issues that will impact your loved ones and beneficiaries in the future.
Planning for the future and your digital property
Cryptocurrency is a growing avenue for building and protecting wealth, and while it is not physical, it is still worth protecting. Without the proper protections, you may lose this asset forever. You can ensure that you are able to maintain control over your Texas property by thoughtfully planning for what will happen to it, both during and after your lifetime. As you are considering how to do this, the following may be helpful to you:
- It is important to know exactly where your cryptocurrency is, whether it is in self-custody or with an institution.
- Include terms in your estate plan that provide the necessary people with access to your accounts in the event of your death.
- Know that self-custody may be a problematic way to hold your cryptocurrency securely if you intend to pass it after your death.
- Consider the tax implications of all the decisions you are making.
It is not always easy to make important decisions about what will happen to your property after you pass. If you are considering your estate planning options, or you wonder how to include cryptocurrency in your estate plan, you will benefit from seeking professional guidance. An assessment of your case, your goals and other details will help you determine how to effectively address all types of digital assets in your estate plan.