Why we all need a digital death file

Who deals with the finances in your household? Would your family know where to look should something happen to you?

In the past, having a Will would be how your final wishes were granted for the distribution of your assets after death…

But is it enough in the new digital world?  

As the financial industry transitions towards increasingly using technology, your loved ones are unlikely to find your financial information by searching through a physical filing cabinet. 

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In the last decade especially, each of our digital footprints has grown significantly. With multiple logins, usernames, accounts, providers and portals, it can be hard to keep track of everything yourself. The question is, how would your loved ones cope with this should you pass away?

No one can dispute that navigating the death of a loved one is one of life’s biggest challenges. To further complicate things, a survey by consumer group Which? indicated that 76% of members surveyed had left no plan for what to do with their digital assets should they die. 

A digital death file is about leaving a clear, secure record of the financial information your family or personal representatives may need when they are already dealing with a difficult situation.

This could include details of:

• Pensions
• ISAs
• Investment accounts
• Savings bank accounts
• Mortgages
• Loans
• Protection policies
• Trusts
• Property
• Tax records
• Key professional contracts

It should not be treated as a list of passwords but rather it should help the right people understand what exists and where the supporting documents can be found. 

Removing the additional complexity of trying to locate relevant documents to settle your estate can only be of benefit to those you leave behind. Although you can name a ‘digital executor’ in your Will, this does not extend to consolidation of your financial affairs into one accessible place. The secure portal, TPO Wealth, helps solve this problem for you. 

Why pension changes in 2027 make a digital death file more important

From 6 April 2027, most unused pension funds and pension death benefits will be brought within the value of a person’s estate for inheritance tax (IHT) purposes. This is a major change for many families, as pensions have often sat outside the estate for IHT.

The role of the personal representative is therefore becoming more complicated. They may need to identify all of the deceased’s pensions, contact different pension providers, request valuations, understand which benefits are in scope, calculate the wider IHT tax position and make sure the right information is supplied within HMRC deadlines.

In simple terms, if your pensions are spread across several providers, and your family does not know where they are, the job becomes harder at exactly the wrong time. Delays can also create practical problems for beneficiaries, particularly where pension money may need to be held back or used to help settle an IHT bill.

By keeping pension details, provider names, policy numbers, expression of wish forms and adviser contact details in your digital death file, in one secure place, you reduce the risk of pensions being missed or discovered late. You also give your personal representatives a clearer starting point when they need to deal with HMRC, pension administrators and beneficiaries.

What about if you become incapacitated?

Beside from the death of a loved one, information may be required in other instances. Consider critical illness or incapacity. A Lasting Power of Attorney remains an important part of later life planning, but it is not a substitute for organised financial records. The Office of the Public Guardian reported that the average clearance time for power of attorney applications was 49 working days in 2024 to 2025, against a target of 40 working days. Even once an attorney is appointed, they still need to know what accounts, policies, assets and liabilities exist before they can act effectively.

For families, this can make the difference between acting quickly and spending weeks piecing information together from post, emails, statements and providers. A well maintained digital death file can support your attorneys during your lifetime as well as your personal representatives after death. 

How TPO Wealth can help

At The Private Office, all our clients have access to a digital filing cabinet, at no additional cost, through our secure online portal TPO Wealth. As with a physical filing cabinet, here documents can be stored safely and securely. By leaving behind instructions for family members on how to access this, the painful process of settling your estate can be expediated and enhancedmade easier.

With your consent, your solicitors and accountants can also access information you deem appropriate, such as tax returns. This capability allows for a seamless and effortless experience for you. You can have confidence that your information is safe, whilst allowing trusted contacts to have access to relevant documents.

Our clients use TPO Wealth to file personal financial documents and those they choose to share with professional contacts, such as their:  

• Tax Information
• Will
• Details of any trusts they may have
• Invoices 
• Details of professional contacts
• In case of emergency details  

This can be particularly useful for the self-employed. Granting your accountant access to secure documents on TPO Wealth could substantially speed up the arduous process of filing tax returns and completing annual accounts.

With all the information neatly stored in one place, the need for time consuming back-and-forth is reduced. You’re free to get on with life’s more important things.

If you’d like to learn more about how TPO Wealth can help to consolidate your financial affairs into one simple, easy-to-use place, we would be happy to help.

So why not get in touch?

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This article is intended for general information only, it does not constitute individual advice and should not be used to inform financial decisions. 

TPO Wealth is only available to clients of The Private Office.

The Financial Conduct Authority (FCA) does not regulate estate planning or tax advice.