Trust Decanting

Trust decanting is a legal process that allows a trustee to transfer assets from one, usually, irrevocable trust (the original trust) into a new trust with updated or more favorable terms, without requiring court approval or the consent of the beneficiaries. Essentially, it "pours" the assets from the old trust into a new one, much like decanting spirits from one container to another. This tool is often used in estate planning to adapt to changing circumstances, laws, or family needs while preserving the trust's original intent and purpose.

An example of a case where decanting might have been used if permitted by state law is found in my recent article, Irrevocable Medicaid Planning Trust Risks: State Refuses to Permit Trust Termination. In that case a Pennsylvania couple created an irrevocable trust for the primary purpose of protecting assets from nursing home spend down, but the circumstances changed: the trust was no longer effective and the selected trustee was no longer trusted. Pennsylvania doe not have a decanting statute, and the trust probably did not permit trust decanting (or if it did, the appointed trustee would not exercise the authority). The couple, therefore, was forced to ask a court to rescue their plan by terminating it. The courts in that case declined, leaving the irrevocable as written- vulnerable to nursing home spend down and an untrusted trustee.

When Trust Decanting Can Be Used

Trust decanting is typically available when:

• State Law Allows It: Decanting is governed by state-specific statutes, with over 30 U.S. states (as of 2025) having enacted decanting laws (e.g., Delaware, Nevada, New York, Ohio and Missouri). The trustee must have authority under the trust document or state law to distribute principal or income, which serves as the basis for decanting.  Decanting may still be permitted In states without statutes, under common law, as seen in Massachusetts, Morse v. Kraft, 466 Mass. 92 (2013) or the foundational case from Florida, Phipps v. Palm Beach Trust Co., 196 So. 299, 142 Fla. 782 (1940). However, relying on common law is less predictable and often not advisable when compared to statutory authority.  

• Trustee Has Power/Discretion: The original trust must grant the trustee sufficient discretionary power over distributions (e.g., the ability to distribute assets "for the benefit of" beneficiaries). The extent of this discretion often determines how much flexibility the trustee has in crafting the new trust.

• Need for Change: Common triggers include updating outdated trust terms, changing beneficiaries (e.g., removing a problematic one), adjusting tax strategies, relocating the trust to a more favorable jurisdiction, or fixing drafting errors.

When Trust Decanting Can’t Be Used

Decanting is not an option in the following cases:

• No State Law Support: If the trust is governed by a state without a decanting statute or common law permitting decanting and/or the trust document doesn’t explicitly allow it, decanting may not be permitted or advisable.

• Limited Trustee Authority: If the trust restricts the trustee’s discretion (e.g., mandatory distributions only), decanting may not be feasible.

• Beneficiary Rights Violated: Decanting cannot materially harm the vested rights of beneficiaries unless state law or the trust permits it. For example, eliminating a beneficiary’s fixed income stream might be prohibited.

• Court Oversight Required: Some trusts or jurisdictions may require judicial approval, negating the streamlined nature of decanting.

Costs

• Legal and Administrative Fees: Drafting a new trust and executing the decanting process typically involves attorneys and possibly accountants, costing anywhere from a few thousand to tens of thousands of dollars, depending on complexity.
• Tax Filings: Transferring assets might require updated tax filings or valuations, adding to the expense.
• Time: While faster than court modifications, decanting still requires planning and documentation, which can take weeks or months.

Benefits

• Flexibility: Decanting allows trusts to adapt to new tax laws, family dynamics, or financial goals without starting from scratch.

• Avoiding Court: It bypasses the costly and public process of judicial trust modification.

• Tax Optimization: Trustees can move assets to trusts in states with no income tax or adjust terms to minimize estate or generation-skipping transfer taxes.

• Privacy: Unlike court proceedings, decanting is a private process handled by the trustee and advisors.

• Fixing Errors: It can correct ambiguities or outdated provisions in the original trust.

Decanting Risks

The narrative around trust decanting often emphasizes its utility in modernizing, updating, or otherwise "fixing" irrevocable trusts, but there are gaps in the establishment view, and risks often downplayed or undisclosed.

• Legal Uncertainty: The Uniform Trust Decanting Act (UTDA), drafted in 2015, provides a model for states to adopt decanting laws with tax safeguards and trustee protections. States like Alabama, California, Colorado, and New Mexico have adopted versions of the UTDA, though some, like Florida, have statutes inspired by the UTDA but not officially recognized as such by the Uniform Law Commission. As a result, decanting statutes vary widely. For example, South Dakota and Nevada are considered top destinations due to their flexibility, such as allowing decanting without mandatory beneficiary notice. In contrast, states like California have stricter notice requirements, mandating 60 days’ notice to beneficiaries and other interested parties. The variety oof approaches leads to uncertainty as courts deal with a wide array of statutes and laws governing decanting.

• Tax Consequences: Improper decanting could trigger unintended gift, estate, or income tax liabilities if not carefully structured (e.g., shifting assets might be seen as a taxable event).  The IRS has not issued definitive guidance on the tax consequences of decanting, leaving practitioners to rely on private letter rulings and general trust law principles]. This uncertainty could lead to unintended tax consequences, such as estate tax inclusion under IRC §2036 or §2038 if the trustmaker is deemed to have control.

• Beneficiary Disputes: Even if legally permissible, beneficiaries might challenge the decanting in court if they feel cheated (e.g., reduced benefits), leading to litigation costs. Legal uncertainty weighs heavily in such cases.  For example, some states, like New Hampshire, "allow" decanting without beneficiary notice, raising ethical questions about transparency and fiduciary duty. Critics might argue this prioritizes trustee flexibility over beneficiary protections, and courts may establish equitable or legal remedies or boundaries , especially in extreme cases. 

• Loss of Intent: Overzealous changes might stray too far from the grantor’s original purpose, risking legal pushback or ethical concerns.

• Jurisdictional Limits: If the new trust’s terms or location exceed what state law allows, the decanting could be invalidated.

• Complexity: Mistakes in execution (e.g., failing to notify beneficiaries where required) could unravel the process.

Comparison and Contrast- Ohio, Missouri, New York, Delaware, and Nevada

To provide more explicit appreciation of the complexities of what may seem like a simple procedure, I will compare and contrast the trust decanting statutes in Ohio, Missouri, New York, Delaware, and Nevada, focusing on key aspects such as statutory authority, trustee authority, beneficiary notice requirements, tax implications, and unique features or challenges of the law. What follows is for illustrative purposes, and should not be seen as legal advice, or preference of one state over the other.  I selected Ohio and Missouri because I regular practice in these states.  I selected New York, Delaware, and Nevada, because these states are most commonly discussed as exemplars of consumer oriented trust decanting statutes.  I have not considered a state without statutory authority, i.e., operating under the common law.

1. Overview of Decanting Statutes

1. New York:
   • Statutory Authority: New York was the first state to enact a decanting statute in 1992 under §10-6.6 of the New York Estates, Powers and Trusts Law (EPTL). The statute has been amended multiple times, with significant updates in 2011 and 2019 to expand trustee powers and address tax concerns.
   • Purpose: The statute allows trustees to modify trusts by distributing assets to a new trust with different terms, often to update provisions or change beneficiaries.
2. Delaware:
   • Statutory Authority: Delaware’s decanting statute is found at 12 Del. C. § 3528, enacted in 2003 and updated over the years to enhance flexibility.
   • Purpose: Known for its trust-friendly environment, Delaware’s statute allows broad trustee discretion to decant, aligning with the state’s goal of attracting trust business.
3. Nevada:
   • Statutory Authority: Nevada’s decanting statute is codified at NRS § 163.556, enacted in 2011 and recognized as one of the most flexible in the U.S.
   • Purpose: Designed to maximize trustee flexibility with minimal procedural hurdles, the statute makes Nevada a top destination for trust administration.
4. Ohio:
   • Statutory Authority: Ohio’s decanting statute is part of the Ohio Trust Code (ORC § 5808.18), enacted in 2007 and amended to align with modern trust practices.
   • Purpose: The statute provides a mechanism for trustees to modify trusts while balancing flexibility with fiduciary duties.
5. Missouri:
   • Statutory Authority: Missouri’s decanting statute is found at Mo. Rev. Stat. § 456.4-419, enacted in 2011 as part of updates to the Missouri Uniform Trust Code.
   • Purpose: Missouri allows trustees to decant to improve trust administration, with specific procedural requirements to protect beneficiaries.

2. Trustee Authority to Decant

• New York:
  • Trustees must have "absolute discretion" to distribute principal to decant under EPTL § 10-6.6(b)(1). If the trustee has limited discretion (e.g., an ascertainable standard like health, education, maintenance, and support—HEMS), decanting is more restricted, and the new trust must retain the same standard.
  • The 2019 amendments expanded the statute to allow decanting even for trusts with limited discretion, but the new trust must preserve the original standard unless all beneficiaries consent .
• Delaware:
  • Delaware allows decanting if the trustee has the authority to distribute principal, regardless of whether the discretion is absolute or limited (e.g., HEMS). The statute is notably flexible, permitting the trustee to decant into a trust with different terms, even if the original trust has an ascertainable standard.
  • The new trust can have different beneficiaries, but the trustee must act in good faith and in accordance with fiduciary duties.
• Nevada:
  • Nevada’s statute is one of the most permissive, allowing trustees to decant if they have the authority to distribute principal, whether absolute or limited (e.g., HEMS). The trustee can decant into a trust with discretionary distributions, even if the original trust had an ascertainable standard, without needing beneficiary consent.
  • The statute explicitly allows the new trust to have different terms, including changing beneficiaries, making it highly flexible, but less reliable to a specific outcome.
• Ohio:
  • Ohio requires the trustee to have the authority to distribute principal, but the statute distinguishes between absolute discretion and limited discretion. If the trustee has absolute discretion, they can decant into a trust with different terms. If discretion is limited (e.g., HEMS), the new trust must retain the same standard unless modified with beneficiary consent or court approval.
  • The trustee must act in the best interests of the beneficiaries and in accordance with the original trust’s purpose.
• Missouri:
  • Missouri allows decanting if the trustee has the authority to distribute principal, but the statute is more restrictive than Nevada or Delaware. If the trustee’s discretion is limited (e.g., HEMS), the new trust must retain the same standard, similar to New York and Ohio.
  • The trustee must act in good faith, and the new trust must be for the benefit of the same beneficiaries unless otherwise permitted by the statute.
• Comparison:

• Nevada and Delaware offer the most flexibility, allowing trustees to decant even with limited discretion and to significantly alter trust terms, including beneficiary provisions.
• New York, Ohio, and Missouri are more cautious, requiring the new trust to retain the original standard (e.g., HEMS) if the trustee’s discretion is limited, unless beneficiaries consent or a court approves.

• Contrast:

• Nevada stands out for allowing the most drastic changes to trust terms without mandatory beneficiary involvement, while New York and Missouri impose stricter limits to protect the original trust’s intent.
• Delaware balances flexibility with fiduciary oversight, allowing changes to beneficiaries but requiring the trustee to act in good faith, while Ohio requires the
  trustee to act in the best interests of the beneficiaries and in accordance with the original trust’s purpose.

3. Beneficiary Notice and Consent Requirements

• New York:
  • Prior to the 2019 amendments, New York required notice to beneficiaries with a vested interest, but the updated statute allows decanting without notice in some cases, particularly if the trustee has absolute discretion.
  • If the trustee’s discretion is limited, notice to beneficiaries may still be required, and their consent might be needed to change certain terms (e.g., removing a mandatory income interest).
• Delaware:
• Delaware does not require notice to beneficiaries for decanting, giving trustees significant autonomy.
• However, the trustee must act in good faith, and beneficiaries can challenge the decanting if it violates fiduciary duties.
• Nevada:
• Nevada also does not require notice to beneficiaries, making it one of the most trustee-friendly states for decanting.
• The lack of notice requirements enhances privacy and flexibility but may raise concerns about beneficiary protections.
• Ohio:
• Ohio requires the trustee to provide notice to certain beneficiaries (e.g., current beneficiaries and those who would receive notice under the Ohio Trust Code) at least 60 days before decanting, unless waived by the beneficiaries.
• The notice requirement ensures transparency but can delay the process and potentially lead to objections.
• Missouri:
  • Missouri requires 60 days’ notice to all qualified beneficiaries before decanting, similar to Ohio.
  • The notice must include a copy of the new trust instrument, ensuring beneficiaries are informed of the changes, though their consent is not required unless the decanting alters a mandatory distribution.
• Comparison:

• Ohio and Missouri both mandate 60-day notice to beneficiaries, emphasizing transparency and beneficiary protection.
• Delaware and Nevada have no notice requirement, prioritizing trustee flexibility and privacy.

• Contrast:

• New York’s notice requirements depend on the trustee’s discretion level and the specific decanting action, making it more situational than the consistent notice mandates in Ohio and Missouri or the complete lack thereof in Delaware and Nevada.
• The absence of notice in Delaware and Nevada could lead to beneficiary disputes if they feel their interests are harmed, whereas Ohio and Missouri’s notice requirements provide a safeguard against such issues.

4. Tax Implications and Protections

• New York:
  • New York’s statute includes tax safeguards, such as ensuring that decanting does not trigger estate tax inclusion under IRC §2036 or §2038 by avoiding the trustmaker’s control over the new trust.
  • The 2019 amendments clarified that decanting can be used to preserve tax benefits, such as generation-skipping transfer (GST) tax exemptions, by ensuring the new trust retains the same tax status as the old trust.
• Delaware:
  • Delaware’s statute is designed to minimize tax risks, allowing decanting to preserve GST tax exemptions and avoid estate tax inclusion, provided the trustee follows fiduciary duties.
  • The flexibility to change beneficiaries can raise tax concerns, but Delaware’s statute generally supports tax-neutral decanting if structured properly.
• Nevada:
  • Nevada’s statute is highly tax-friendly, with provisions to ensure decanting does not jeopardize GST tax exemptions or trigger income tax consequences.
  • The lack of notice requirements and broad trustee discretion make it easier to structure tax-advantaged decanting, though careful planning is still required to avoid IRS scrutiny.
• Ohio:
  • Ohio’s statute includes provisions to protect tax benefits, such as ensuring the new trust retains the same GST tax status as the old trust.
  • However, the notice requirement can complicate tax planning if beneficiaries object and trigger a taxable event (e.g., by challenging the decanting as a distribution).
• Missouri:
  • Missouri’s statute also aims to preserve tax benefits, ensuring decanting does not trigger estate or GST tax consequences if the new trust aligns with the old trust’s tax status.
  • Like Ohio, the notice requirement can introduce tax risks if beneficiaries contest the decanting, potentially leading to IRS scrutiny.
• Comparison:

• All five states include tax safeguards to preserve GST tax exemptions and avoid estate tax inclusion, reflecting a common goal of ensuring decanting is tax-neutral.
• Nevada and Delaware’s flexibility makes tax planning easier, as trustees can make significant changes without mandatory beneficiary involvement.

• Contrast:

• Ohio and Missouri’s notice requirements introduce a potential tax risk if beneficiaries object, whereas New York, Delaware, and Nevada offer more streamlined processes with less risk of beneficiary interference.
• New York’s 2019 amendments provide explicit tax protections, making it a leader in addressing IRS concerns compared to the more general provisions in Ohio and Missouri.

5. Unique Features and Restrictions

• New York:
  • Unique Feature: As the first state to enact a decanting statute, New York set a precedent for others. The 2019 amendments expanded the ability to decant trusts with limited discretion, a significant evolution.
  • Restriction: A trustee cannot accelerate remainder interests (e.g., distributing assets to remainder beneficiaries early), which limits flexibility in some scenarios.
• Delaware:
  • Unique Feature: Delaware allows decanting to change beneficiaries, a rare provision that enhances flexibility, especially for trusts with outdated beneficiary provisions.
  • Restriction: The trustee must act in good faith, and decanting cannot violate the material purpose of the original trust.
• Nevada:
  • Unique Feature: Nevada is ranked as one of the best states for decanting due to its lack of notice requirements and ability to convert ascertainable standard trusts into discretionary trusts without beneficiary consent.
  • Restriction: While highly flexible, the trustee must still comply with fiduciary duties, and decanting cannot violate Nevada’s public policy.
• Ohio:
  • Unique Feature: Ohio’s statute integrates with the Ohio Trust Code, providing a cohesive framework for trust administration, including decanting.
  • Restriction: The 60-day notice requirement can delay decanting, and the trustee cannot decant to remove mandatory income interests without beneficiary consent or court approval.
• Missouri:
  • Unique Feature: Missouri’s statute requires the new trust to be for the benefit of the same beneficiaries, ensuring continuity of purpose.
  • Restriction: Like Ohio, the 60-day notice requirement applies, and the trustee cannot decant to eliminate mandatory distributions without consent or court approval.
• Comparison:

• Nevada and Delaware stand out for their flexibility, allowing significant changes to trust terms, including beneficiaries (Delaware) and distribution standards (Nevada).
• New York, Ohio, and Missouri are more protective of the original trust’s intent, with restrictions on altering mandatory distributions or accelerating remainder interests.

Contrast:

• New York’s historical precedence and recent amendments make it a leader in balancing flexibility with tax protections, while Nevada and Delaware prioritize trustee autonomy.
• Ohio and Missouri’s notice requirements and restrictions on mandatory distributions reflect a more conservative approach, prioritizing beneficiary protections over trustee flexibility.

Conclusion

In practice, trust decanting is a powerful tool for modernizing irrevocable trusts, but it requires careful navigation of legal, tax, and family considerations. Trustees should consult estate planning attorneys to ensure compliance and maximize benefits while minimizing risks.

Frequent Use of Technology Slows Cognitive Decline: Empowering Seniors to Thrive in a Digital Age

A recent Newsweek article boldly declared: "[o]lder adults who frequently use digital technology may experience slower rates of cognitive decline." The article continues, "sweeping new analysis challenges previous research that has suggested digital technology could reduce cognitive function as we age and instead suggests that use of technology may be linked to lower rates of cognitive decline in older adults."  

Far from being a hurdle, technology equips seniors with tools to improve health, safety, security, dining, and social connections, fostering independence and vitality. Below, we'll explore practical ways seniors can leverage technology in these areas, including passive fall detection and alert systems alongside active solutions, inspired by the study’s call for balanced tech adoption.

Health: Proactive Wellness with Digital Tools

Technology empowers seniors to monitor and manage their health effectively. Wearable devices like Fitbit or Apple Watch track heart rate, sleep, and activity, alerting users to potential concerns. Apps like MyFitnessPal support nutrition tracking, while telehealth platforms like Teladoc offer virtual doctor consultations, minimizing travel. 

Medication management apps, such as Medisafe, send timely reminders for prescriptions. Seniors can begin with one tool, like a wearable, and consult their healthcare provider to align it with their needs, ensuring a proactive approach to wellness.  Seniors can also share their technology experiences, and results, with others, helping foster a sense of community. 

Personal Safety: Enhanced Protection with Passive and Active Systems

Smart technology bolsters personal safety for seniors living independently. 

Passive Fall Detection:  Systems, integrated into devices like Apple Watch or specialized sensors from companies like SafelyYou, automatically detect falls and alert emergency contacts or services without requiring user action—ideal for those at risk of falls, or proactice seniors wanting a robust sense of safety.

Passive Alert Systems:  Embedded in smart home hubs and security systems, these applications monitor daily routines and notify caregivers if unusual patterns (e.g., prolonged inactivity) are detected. These systems work without the necessity of a user pushing a button, or remembering to wear a device or operate it properly. Working autonomously and "in the background," they offer comfort and saferty to both the healthy and well-oriented and the impaired or disabled.  

Active systems: Life Alert, Medical Alert, Lifeline, and others, allow seniors to press a button  to summon help instantly, or in the cases of voice activated home applications like Alexa, Siri, and Google Home, summon help verbally. 

Additional tools, such as motion-sensor lights and smart doorbells with cameras (e.g., Ring), reduce fall risks and enhance home safety. Seniors can start with a single device, like a smart speaker or fall detection wearable, and gradually build a comprehensive safety net.

Personal Security: Safeguarding a Senior 

Security systems and cameras are pivotal in supporting seniors who wish to age in place, offering safety, independence, and peace of mind for both the seniors and their families. These technologies enable adult children to remotely monitor their parents’ well-being and home security without being intrusive, leveraging advancements in smart home systems, AI, and connectivity.  These offer family members opportunities to support an independent senior, conveniently and capably. .  

Remote Monitoring for Safety and Well-Being: Modern security systems and cameras allow adult children, and grandchildren to check on their parents from anywhere—home, work, or on the go—using smartphones, tablets, or computers. This is facilitated by cloud-based platforms and mobile apps that provide real-time access to camera feeds and system alerts.

• Non-Intrusive Observation: Cameras with two-way audio and motion detection (e.g., Ring, ADT, Vivent, Arlo, Google Nest) can be placed in common areas like living rooms or kitchens, allowing children to "drop in" virtually without disrupting their parents’ routines. For example, children can view live feeds to ensure their parent is active or safe without needing to call or visit. Systems like Amazon’s Echo Show or Google Nest Hub also enable video calls where seniors can accept or decline, preserving their autonomy and privacy.

• Health and Activity Monitoring: Some security systems integrate with wearable devices or smart sensors (e.g., FallCall or GrandCare) to detect falls or unusual inactivity. If a senior hasn’t moved past a motion sensor in a set period, an alert can notify children to check in. This is discreet, as it doesn’t require constant video surveillance.

• Privacy Considerations: To avoid intrusion, cameras can be set to record only when motion is detected or during specific times. Privacy-focused systems allow seniors to disable cameras or set “do not disturb” modes. Clear communication about where cameras are placed and their purpose ensures seniors feel respected.

• Convenience and Accessibility for Remote Monitoring:  The design of modern security systems prioritizes ease of use for both seniors and their children, ensuring monitoring is seamless and non-disruptive.

• Mobile Apps for Remote Access: Systems like Vivent, ADT, Blink, Wyze, or Eufy offer user-friendly apps that let children check camera feeds, review recorded footage, or receive alerts from anywhere with an internet connection. For example, a child at work can quickly open the  app to confirm their parent answered the door safely or check if a package was delivered.

• Customizable Alerts: Families can set up notifications for specific events, such as motion in the backyard at night or a front door left ajar. This reduces unnecessary interruptions while ensuring critical events are flagged. For instance, SimpliSafe allows users to prioritize alerts (e.g., “urgent” for a door alarm, “informational” for a delivery).

• Voice-Activated Systems: For seniors, voice assistants like Amazon Alexa or Google Assistant can control cameras or locks hands-free, reducing the need to interact with complex apps, devices, or keypads.  With many, a smartphone or doorbell can be linked to voice or facial recognitions so that  a senior can verbally open a door.  Children can also use these platforms to drop in via voice or video, making check-ins feel like a casual conversation.

Security Alarms and Fraud Prevention: Security systems are critical for protecting seniors from external threats, such as break-ins or fraudsters, while also monitoring home safety issues like doors left open. These systems provide real-time alerts to both seniors and their children.

• Doorbell Cameras for Fraud Protection: Video doorbells (e.g., Ring, Nest Doorbell) allow seniors to see and communicate with visitors without opening the door. Adult children can receive notifications when someone rings the bell and view the feed to identify potential scammers or unrecognized visitors. For instance, if a fraudster poses as a utility worker, children can intervene by calling their parent or contacting authorities. AI features in some doorbells can detect suspicious behavior, like loitering, and send alerts.

• Door and Window Sensors: Smart security systems (e.g., Vivent, SimpliSafe, ADT) include sensors that automatically lock doors, notify users if a door or window is left open, or is tampered with. This is particularly useful for seniors with memory issues who might forget to lock doors or secure windows. Children can receive these alerts via an app and remind their parent or take action remotely, such as locking a smart door lock

• Integration with Smart Locks: Smart locks (e.g., those with security systems, or stand-alone products from August, Schlage) allow family members to lock or unlock doors remotely if their parent is unable to do so or if a caregiver needs access. This ensures security without requiring the senior to manage physical keys.

Additional Benefits of Technology for Aging in Place: Beyond monitoring and security, these systems enhance seniors’ independence and quality of life:

• Emergency Response Integration: Many security systems connect to 24/7 monitoring services that can dispatch emergency responders if a fall or intrusion is detected. Children are notified simultaneously, ensuring rapid response even if they’re far away.

• Smart Home Integration:: Cameras and security systems often pair with other smart devices, like smart lights or thermostats, to create a safer environment. For example, motion-activated lights can prevent falls at night, and children can adjust settings remotely if needed.

• Data-Driven Insights: Advanced systems use AI to analyze patterns, such as a senior’s daily routine, and flag anomalies (e.g., no activity in the kitchen by noon). This helps children intervene proactively without constant monitoring.

Challenges and Solutions: While security and safety systems are powerful tools, there are challenges to consider:

• Technology Adoption: Some seniors may resist or struggle with new technology. The solution is to choose, at least initially user-friendly systems with simple interfaces (e.g., Ring’s plug-and-play cameras) and provide training or involve tech-savvy grandchildren to assist.  Don;t forget to encourage seniors that using tech may help them retain cognitive capability! 

• Privacy Concerns: Seniors may feel "watched" or "dependent."  Use cameras with clear indicators (e.g., lights when active), limit their placement to non-private areas, and involve seniors in setup and deployment decisions.

• Cost: Systems can be expensive, with cameras costing $50–$200 each and monitoring services adding monthly fees. Opt for affordable options like Wyze or Blink, which offer robust features without subscriptions, or prioritize key devices like a video doorbell and door sensors. Another strategy is to spend the money for a high-end system from a good security system provider (ADT, Vivent), take advantage of discounts, and terminate monthly monitoring as soon as possible. Having their tech supoport later may be worth the investment. 

Real-World Examples:

• Home Security: A senior’s Ring Doorbell detects a stranger at the door. The adult child, at work, receives an alert, views the feed, and uses two-way audio to deter the visitor, protecting their parent from a potential scam.

• Arlo Cameras with Motion Detepreventing a security riskction: Motion sensors in an Arlo system notice no activity for several hours, sending a notice to all users. A child checks the camera feed, and sees their parent on the floor, calling emergency services while heading to the home.

• Apple Watch Passive Fall Detection: A senior falls walking to the bathroom in the middle of the night.  The watch detects the fall, and notifies an emergency contact and local emergency services.  After the child rushes across town, she arrives to find that EMT has treated the parent and preparing for a trip to the local hospital yo make sure no injuries are severe.

• Life 360 Collision Detection: A senior is involved in a single car accident travelling from an event in the late evening. Life 360 detects the collision and notifies the family group and emergency services. 

• Door Sensors: A senior forgets to close the back door. The child gets an alert after 15 minutes, checks the parent's safety on a camera, and calls the parent to remind the senior to close the door, preventing a security risk  The child can lock the door remotely via a smart lock.

Security systems and cameras empower seniors to age in place by enhancing safety and enabling discreet, convenient monitoring by their children. Video doorbells, door sensors, and smart cameras provide real-time insights into home security and potential threats like fraudsters, while motion detectors and fall alerts ensure well-being. By prioritizing user-friendly, privacy-respecting technology, families can balance independence for seniors with peace of mind for themselves, all manageable from any location. For optimal use, families should select systems that align with the senior’s comfort level and involve them in the setup process to foster trust and autonomy.

Financial Security: Safeguarding Privacy and Finances

Cybersecurity is vital as seniors embrace technology. Password managers like LastPass securely store credentials, while apps like LifeLock monitor for identity theft. Seniors should activate two-factor authentication on banking and email accounts and explore free cybersecurity workshops through libraries or AARP to navigate the digital world confidently. These tools ensure personal and financial security without overwhelming users.

Food and Dining: Simplifying Nutrition and Social Engagement 

Technology streamlines meal planning and dining. Grocery delivery services like Instacart,  Amazon Fresh, or Uber Eats Delivery, bring ingredients to the door, while meal kit services like Blue Apron provide pre-portioned recipes tailored to dietary preferences. Apps like Yummly generate recipes based on available ingredients, and smart kitchen devices, such as Instant Pots, simplify cooking. Seniors can discover local dining deals via apps like OpenTable or join virtual cooking classes to make meal prep a social experience, fostering both nutrition and enjoyment.

 Avoiding Isolation: Fostering Connections Digitally

Social isolation is a pressing concern for seniors and their families, but technology can help bridge the gap. Video call platforms like Zoom or FaceTime connect seniors with loved ones, while social media like Facebook builds community ties. Online groups on platforms like Meetup offer virtual book clubs or hobby classes, and apps like SilverSneakers combine fitness with social interaction through virtual classes. Seniors can start with a weekly video call or join one online group, gradually expanding their digital social network to stay engaged and connected.

Getting Started: A Balanced Approach

To avoid cognitive overload, as cautioned in the Newsweek study, seniors should adopt technology incrementally. Begin with one tool—perhaps a passive fall detection device, an active alert system, or a video call app—and master it before adding others. YouTube tutorials or local senior center classes offer beginner-friendly guidance. Setting screen time limits and balancing tech use with offline activities, like reading or walking, maintains well-being. Family members can assist by setting up devices or teaching basic functions, ensuring seniors feel confident and supported. Tech-savvy grandkids can help teach grandparents and demonstrate technology and apps, fostering engagement, respect, and nurturing family bonds.  

  

Conclusion

Technology is a powerful ally for seniors, enhancing health, safety, security, dining, and social connections. From passive fall detection and alert systems to active Life Alert solutions, smart home tools, and virtual communities, seniors can live more independently and joyfully. The Newsweek study emphasizes mindful adoption, and by starting small and balancing digital and offline life, seniors can unlock technology’s full potential. Whether monitoring health, securing the home, or connecting with friends, technology empowers seniors to thrive in the digital era and age in place.

*For more on the study, visit [Newsweek’s article](https://www.newsweek.com/technology-reduced-digital-dementia-study-2058511).

Why Digital Assets Are a Must in Your Estate Plan: A Guide to Proper Treatment

As an estate planning lawyer, I’ve seen firsthand how our lives are increasingly intertwined with the digital world. From online banking to cherished family photos stored in the cloud, digital assets are a significant part of our personal and financial lives. Yet, many people overlook these assets when creating their estate plans, potentially leaving loved ones locked out of valuable accounts or sentimental treasures, sometimes with tragic consequences.  

The law governing digital assets, such as the Revised Uniform Fiduciary Access to Digital Assets Act (RUFADAA), is complex due to its three-tier hierarchy for access—online tools, legal documents, and terms-of-service agreements—and custodians’ discretion to limit disclosure or require court orders. This complexity often makes it difficult for fiduciaries, your trustees and agents, to access accounts without proper planning, which is why professional guidance is essential.  I've written two specific articles regarding the law governing  digital assets in estate planning, one applicable to Ohio, the other to Missouri.  The law is not simple to understand or easy for a layperson to follow in order to protect digital assets.  

I’ll explain in this article why digital assets deserve a central place in your estate plan, provide practical, actionable steps you should take to protect them.  I have prepared Digital Assets Inventory Worksheets and an explanatory Cover Sheet, and  in the article immediately following this article, I offer detailed instructions to help you get started protecting your digital world.

Why Digital Assets Matter in Estate Planning

Digital assets encompass a wide range of items, including email accounts, social media profiles,  cryptocurrency, loyalty program rewards, online businesses, and digitally stored photos or documents. According to NordPass, the average person manages 168 online accounts, with an estimated average value of $191,516 for Americans’ digital assets, per a Bryn Mawr Trust survey. 

Despite their prevalence and value, 76% of Americans have little to no knowledge of digital estate planning, often leaving these assets unaddressed in their plans. This oversight can lead to significant challenges for your heirs, such as:

• Financial Loss: Valuable assets like cryptocurrency or online business accounts may become inaccessible without proper access instructions.

• Sentimental Loss: Family photos, videos, social media memories, or digital content, e.g., recipes, workout videos, and stories, may be lost if no one can access them.

• Cybersecurity Risks: Unmanaged accounts could expose personal information, increasing the risk of identity theft, and expose vulnerable family members to exploitation.

• Aging in Place Planning: For clients focused on aging in place, digital assets like Smart Home and IoT Accounts (e.g., Vivent, ADT, Amazon Alexa, Ring) and Health & Fitness Accounts (e.g., Fitbit, Apple Watch) are critical, supporting independent living by managing home security (e.g., locking doors remotely), temperature, active and passive emergency notifications (e.g., triggered alerts or automatic fall detection), daily routines (e.g., medication reminders), and health monitoring. Ensuring your trustee can access and manage these accounts, as documented in your Digital Assets Inventory Worksheet, helps maintain your home environment during incapacity, aligning with your goal to remain in your home as long as possible, with legal authority under RUFADAA.

• Time: Loved ones may spend countless hours  trying to gain access to accounts, adding stress during an already difficult time.

• Cost:  Subscription services often auto-renew and drain estate funds if not canceled or managed after death. 

• Legal Peril: The digital world is a world of information, and this information can be legally significant in real life. Consider the following example: A stepchild contested a stepmother’s will disinheriting them, alleging incompetence and undue influence, ten years after the will was drafted. The executor, a daughter, preserved her mother’s digital footprint, which included text messages discussing the decision, GPS data showing independent activities, game logs (e.g., solitaire, sudoku) demonstrating cognitive ability, and videos sent to a grandchild. This evidence of a grandmother—vibrant, capable, independent, and resolute—proved the deceased’s competence, leading to a nuisance settlement. Without this digital evidence, the outcome might have been different.

• Health Information: Digital health data may be vital in legal contexts, such as wrongful death claims or guardianship disputes over competency.

• Financial Information: Evidence of gambling, scams, or financial support may be exculpatory in civil or criminal cases involving allegations of elder exploitation, or necessary to prove such exploitation.

Imagine a family unable to access a $50,000 Bitcoin wallet because the private key was not documented, or a widow losing access to a Google Photos account containing decades of family memories because no one was designated to manage it. These scenarios highlight the real consequences of neglecting digital assets in your estate plan.

         

As a trusted advisor, I recognize that managing your digital footprint is non-negotiable for a comprehensive estate plan. Ignoring digital assets risks your legacy and exposes your family to risk or loss. By proactively including digital assets in your estate plan, you can ensure your wishes are honored and your loved ones are spared unnecessary complications.  Your digital assets may also help protect you, financially and legally from exploitation or abuse.

If you have an estate plan drafted by my office within the past ten years, your estate planning documents already address digital assets:

• General Durable Power of Attorney:  Your power of attorney confers authority to your agent to manage digital assets owned by you during your life.

• Revocable Trust:  Your trust document confers to your trustee the authority to manage digital access owned by your trust while you are alive.  Additionally, your trust confers authority to your trustee to manage digital assets after your death. 

Regardless, this is a rapidly evolving area of the law.  Consider simple, inexpensive revisions to your planning document relating to digital assets every three to five years.    
 

Action Items for Including Digital Assets in Your Estate Plan

To bring order to your digital assets and secure your legacy, here are key steps you should take, along with how our firm can assist:

• Create an Inventory of Your Digital Assets: Start by compiling a comprehensive list of your digital assets. This includes accounts, devices, and any digital property with financial or sentimental value. Use the inventory sheet provided below to organize this information. Keep this list in a secure location, such as your LegalVault®, a password manager, or a safe deposit box, and inform your executor or a trusted person where to find it.

• Appoint a Digital Fiduciary:  Designate a tech-savvy individual as your digital trustee/executor to manage your digital assets after your passing. This person should be named in your will or trust, with clear authority to access and distribute your digital property. We can help draft specific provisions to ensure compliance with laws like the Revised Uniform Fiduciary Access to Digital Assets Act (RUFADAA).  If your successor trustee is not tech-savvy, you can select a specific person to handle only the the tech or digital role.  

• Include Digital Assets in Legal Documents:  Incorporate clear instructions for your digital assets in your will, trust, or power of attorney (POA). For example, a POA can grant an agent authority to manage your online accounts if you become incapacitated. Our firm will work with you to include language that aligns with your wishes and legal requirements.

• Use Online Tools for Account Management:  Take advantage of platform-specific tools like Google’s Inactive Account Manager or Facebook’s Legacy Contact to designate who can access or memorialize your accounts. We can guide you through setting up these tools to complement your estate plan.

• Regularly Update Your Digital Asset Inventory:  Digital assets evolve rapidly, so review and update your inventory annually or when significant changes occur (e.g., new accounts, inactive accounts, sold cryptocurrencies). During our estate plan reviews, we’ll prompt you to provide updates on your digital assets to keep your plan current.

• Secure Access Information:  Store login credentials and two-factor authentication (2FA) details securely, using a password manager or encrypted digital vault. Avoid including passwords directly in your will; it becomes a public document during probate. Our firm can recommend secure storage solutions like LegalVault® and ensure your trustee/executor knows how to access this information legally.

• Check Transferability of Assets:  Not all digital assets are transferable due to terms of service agreements. For example, some loyalty points, memberships, or digital media may not be passed to heirs. We can help you verify which assets can be passed on and structure your plan to maximize their value for your beneficiaries.

Special Considerations

Often, a person is asked to manage digital assets he or she may have little familiarity with, and little appreciation of their significance or worth. The following are special considerations about which you should be aware.

• Messaging Apps: These often contain important communications (e.g., family messages, business discussions) that may be merely sentimental or legally relevant. Separating them from email accounts highlights their distinct nature and ensures fiduciaries address them. Fiduciaries should be aware that these apps may contain legally relevant communications, such as evidence of intent or agreements, which could be critical in disputes over estate administration.

• Blockchain Accounts: Cryptocurrencies and non-fungible tokens (NFTs) are increasingly common digital assets with significant financial value. They often require private keys or seed phrases for access, which fiduciaries need to manage. Attention to this category ensures these high-value assets are not overlooked.

• Music Streaming Accounts: These accounts may contain purchased music, playlists, or subscriptions that the grantor wishes to preserve or transfer. These are distinct from broader entertainment accounts like Amazon Prime.

• Gaming Accounts: These accounts may contain purchased games, in-game assets, or subscriptions.

• Intellectual Property and Creative Accounts: Accounts hosting creative works (e.g., writing, music, photography) may have monetary value (e.g., royalties) or sentimental value (e.g., unpublished works). This category ensures these assets are captured beyond blogs in “Publication Accounts.

• Health and Fitness Accounts: Health and fitness accounts may contain valuable data (e.g., genetic information, fitness history) that the grantor wishes to share with family or delete for privacy reasons. Genetic accounts like 23andMe also have privacy implications that fiduciaries should address. This information may also be legally relevant, for example, if there is a wrongful death claim, or a claim of incompetency or incapacity (guardianship or conservatorship). Additionally, Health & Fitness Accounts can monitor vital health metrics and share data with caregivers, further supporting your independence.

• Smart Home and IoT Accounts: Smart home devices often have associated accounts that control access to data (e.g., Ring camera footage) or settings (e.g., thermostat schedules). These may need to be managed or transferred to ensure home security or functionality.

• Wearable Device Accounts: Wearable devices, while related to “Electronic Devices,” often have separate accounts for data storage (e.g., fitness tracking) that may not be captured under the device itself. These accounts may contain health data relevant to the grantor’s estate plan. These have privacy implications that fiduciaries should address. This information may also be legally relevant in the same way as health and fitness accounts. 

• IoT- Internet of Things: IoT stands for Internet of Things. It refers to a network of physical devices, vehicles, appliances, and other objects embedded with sensors, software, and connectivity, allowing them to collect, exchange, and act on data over the internet. In the context of the Digital Assets Inventory Worksheet, IoT accounts (e.g., Amazon Alexa, Google Nest, Ring) are included as an asset type because these devices often have associated online accounts that store data (e.g., camera footage, voice recordings) or control settings (e.g., thermostat schedules), which fiduciaries may need to manage. Immediate access may be necessary to maintain home security (e.g., Ring camera footage) or functionality (e.g., thermostat settings), especially for aging-in-place clients who rely on these devices for independent living. Examples of IoT devices include smart home systems, wearable tech like smartwatches, and connected vehicles.

• Password Manager Accounts: While the worksheet includes a “Password Manager” column, treating password managers as a distinct asset type ensures they are inventoried as a critical access point for other accounts. These accounts often centralize credentials, making them a priority for fiduciaries. These accounts centralize access to other assets, but their credentials must be stored securely to prevent unauthorized access, as they can unlock your entire digital estate.

How Our Firm Protects Your Digital Asset Wishes

At Monty L. Donohew, LPA, we take a proactive, client-centered approach to digital estate planning. Here’s how we ensure your digital assets are protected:

Customized Legal Documents: We draft trusts, wills, and Powers of Attorney with specific provisions for digital assets, ensuring compliance with RUFADAA and platform terms of service.

Final Instructions and Forms: We provide every trust client with a set of Final Instructions and Forms, empowering your trustees and agents with the knowledge, tools, and forms, to administer or settle your trust with confidence, significantly minimizing future legal expenses. 

Education and Guidance: We educate you on the importance of digital assets and guide you through creating and maintaining your inventory.

Secure Planning: We recommend secure methods for storing access information and work with you to appoint a capable digital fiduciary.

Secured Planning Documents: We encourage and work with you to set up secure storage of your estate planning documents, introducing, employing, and deploying for you such third party services as LegalVault®.

Ongoing Support: During periodic estate plan reviews, we’ll revisit your digital asset inventory to help keep it up to date and aligned with your goals.

Collaboration with Experts: If your digital assets include complex items like cryptocurrency or online businesses, we collaborate with financial and tech experts necessary to ensure proper management.

Take the Next Step Today

Your digital assets are a vital part of your legacy, and neglecting them could leave your loved ones grappling with chaos. By taking the steps outlined above, you can bring order to your digital life and provide peace of mind for yourself and your family. Start by completing the digital asset inventory sheet and scheduling a consultation. We’ll work together to integrate your digital assets into a comprehensive estate plan tailored to your aging-in-place goals.

I understand you might be concerned about the time, cost, or privacy implications of managing your digital assets. Rest assured, updating your estate plan to include digital assets is a straightforward process that typically takes just a few hours and offers significant long-term value by avoiding costly legal disputes. Our firm prioritizes your privacy, recommending secure storage solutions like LegalVault® to protect sensitive information while ensuring your fiduciaries can access what they need.

Ready to secure your digital legacy? Contact us to book an appointment. Let’s ensure your digital assets are as protected as your physical ones.