Digital vs. Paper Agreements: Pros, Cons, and What to Choose

You have decided what goes in your agreement. Now you need to decide what form it takes. A shared Google Doc? A printed PDF? A handwritten document? A note on your phone?

The format of your agreement affects more than aesthetics. It impacts privacy, accessibility, editability, and how seriously both parties take the terms. Here is a practical comparison to help you choose.

The Options

Option 1: Shared Digital Document (Google Docs, Notion, etc.)

How it works: Both parties have access to a shared document that can be viewed and edited by either person.

Pros:

• Easy to create and edit
• Both parties always have access to the current version
• Version history shows when changes were made and by whom
• Can be accessed from any device
• Easy to amend—just update the document
• Both parties can contribute during the drafting process

Cons:

• Stored on a third-party server (Google, Microsoft, etc.)—you are trusting that company with your privacy
• Either party can edit the document, potentially changing terms without the other's knowledge (version history mitigates this, but not everyone checks)
• Requires both parties to have accounts on the same platform
• Can be accessed by anyone who gains access to either person's account
• Not ideal for confidential arrangements where the existence of the document itself is sensitive
• Cloud-stored documents may be discoverable in legal proceedings

Best for: Roommate agreements, business partnerships, mentorship arrangements—situations where the arrangement is not particularly secret and ongoing collaboration on the terms is valuable.

Option 2: PDF Document

How it works: The agreement is finalized as a PDF, optionally with electronic signatures. Each party saves their own copy.

Pros:

• Cannot be edited after creation (without obvious alteration)
• Each party has an independent copy
• Can be encrypted and password-protected
• Electronic signatures add a layer of formality
• Easy to email or transfer securely
• More "official" feeling, which can increase buy-in from both parties

Cons:

• Less collaborative than a shared document—harder to draft together
• Amendments require creating a new document or a separate amendment PDF
• Still a digital file that can be discovered on a device
• If only one person creates the PDF, the other is trusting that it matches what was discussed
• Version management requires more discipline

Best for: Sugar arrangements, cohabitation agreements, any arrangement where both parties want a "final" version that cannot be altered. Also good when one party wants to use a tool or template to generate the document.

Option 3: Handwritten/Printed and Physically Signed

How it works: The agreement is written or printed on paper, signed by both parties, and each person keeps a physical copy.

Pros:

• No digital footprint (cannot be hacked, leaked, or discovered on a device)
• Physical signatures carry psychological weight—people take signed documents more seriously
• Cannot be remotely accessed or altered
• Does not depend on any technology platform
• In some jurisdictions, physical signatures may carry more legal weight

Cons:

• Can be lost, damaged, or destroyed
• Only accessible when you have the physical copy
• Harder to create and distribute (you need to be in the same place)
• Amendments require physical meetings and new signatures
• If one copy is destroyed, the person without a copy loses their documentation
• Handwriting can be difficult to read

Best for: Arrangements where digital privacy is a primary concern. Particularly relevant for people whose devices are monitored (work phones, shared computers) or who are extremely privacy-conscious.

Option 4: Encrypted Digital Document

How it works: The agreement is created digitally but stored in an encrypted format—either encrypted files, encrypted messaging apps, or secure vaults.

Pros:

• Strong privacy protection
• Can combine the accessibility of digital with the security of encryption
• Protected even if a device is lost or stolen
• Some encrypted platforms (Signal, for example) offer disappearing messages for sensitive discussions about terms

Cons:

• Requires both parties to use the same encryption tools
• If someone forgets a password, the document may be permanently inaccessible
• More technically complex to set up
• Encrypted documents can still be compelled through legal processes in some jurisdictions
• The complexity can feel like overkill for simpler arrangements

Best for: Arrangements where one or both parties have significant public profiles, sensitive professional positions, or strong privacy concerns.

Option 5: Hybrid Approach

How it works: Use a shared digital document for drafting, then create a finalized PDF or printed version for signing. Keep the shared document as an archive but consider the signed version as the "official" agreement.

Pros:

• Gets the collaborative benefits of shared documents during drafting
• Gets the permanence and formality of a signed final version
• Clear distinction between "working draft" and "final agreement"
• Easier to manage amendments (update the working document, then create a new signed version)

Cons:

• Requires managing multiple versions
• Both parties need to be disciplined about which version is authoritative
• More steps in the process

Best for: Most arrangements. This approach gives you the best of both worlds and scales well for ongoing amendments.

Privacy Considerations by Format

What People Get Wrong

"Digital is always less private." Not necessarily. A properly encrypted digital document is more secure than a piece of paper that could be found by anyone who has access to your home or belongings. Privacy depends on implementation, not format.

"Paper is old-fashioned and unnecessary." Paper has genuine advantages for privacy-sensitive arrangements. There is no server to hack, no account to compromise, and no digital trail. Do not dismiss it because it feels outdated.

"We'll just keep it in our text messages." Text messages are not agreements. They are conversations that may contain agreements buried in hundreds of other messages. If your terms are in a text thread, extract them into a proper document—any format will do.

"The format does not matter." It does. The format affects how accessible the document is, how easily it can be altered, how private it is, and how seriously both parties treat it. Choose deliberately.

"We'll use whatever is easiest." Easy is fine for the drafting process. But for the final version, choose the format that best matches your privacy needs and the nature of your arrangement, even if it takes a little more effort.

Making Your Choice: A Decision Framework

Ask these questions:

1. How sensitive is this arrangement? If the existence of the arrangement itself is private, lean toward paper or encrypted digital.
2. How often will you need to amend it? If frequently, lean toward a shared document or hybrid approach.
3. How tech-savvy are both parties? If one person is not comfortable with encryption or shared documents, use the format they are comfortable with.
4. Is enforceability a concern? If the agreement might need to hold up in a legal context, consider a signed PDF or printed document, ideally reviewed by an attorney.
5. Who else might see the document? Consider who has access to your devices, your cloud storage, and your physical space.

The Bottom Line

There is no single best format for a casual agreement. The right choice depends on your specific arrangement, your privacy needs, and what both parties are comfortable with.

What matters most is that:

• Both parties have access to the current terms
• The document cannot be secretly altered by one party
• The format supports your privacy requirements
• Both parties take the document seriously

Choose a format that meets all four criteria for your situation, and you will be fine.

For more on building strong agreements, visit our Writing Your Agreement hub, and check out our guide on how to structure a casual agreement for what goes in the document regardless of format.