Safe deposit box at the bank for the physical records. A labeled manila envelope stored locally for each of us with the typical "identity" documents, SSN card, birth certificate, etc.
Everything is stored locally, unencrypted, and backed up on a local removable HDD, and on BackBlaze. BackBlaze has saved my bacon more than once.
As for physical objects, they're all temporarily mine, until I pass on. They're either tools, consumables, or tied to personal memories. Everything else can go.
The one significant thing to pass on to others is all the data in D:\source\yyyy\yyyymmdd*, which is all of my photos, including family events, short videos, etc. As best I can, all the faces have be tagged with XMP metadata. (Nobody wants to keep an old box of photos without knowing how those people are related)
Total Files Listed:
392934 File(s) 725,479,895,968 bytes
16103 Dir(s) 1,790,571,331,584 bytes free
D:\Source>