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Pets and Estate Planning....My Dog Can Have a Trust?

Andrew Cousins

Date: January 15, 2025


Estate planning is often times viewed as an administrative task that many people are not thrilled about getting done. It's akin to filing tax returns and getting your car serviced. Estate planning is a necessary task that, while often times isn't fun, can and will alleviate a lot of concern and anxiety and make the future easier to deal with.


Many of my clients are often worried about how their spouse will be supported after their death, how a disabled family member will be taken care of, who will take care of their minor children, etc. These are all serious issues that are addressed in estate plans. Outside of family and friends, there is another group that needs to be planned for and addressed in estate plans. This group is often overlooked and rarely considered. This group is pets.


I will admit that I love animals and love my pets. I may be biased in my opinion that planning for pets is an essential component of estate planning, but I am confident most people would agree with me. In this post, I will explore the primary ways in which I help my clients plan for what will happen to their pets and how their pets will be taken care of.



My pets!
My pets!

Determining Who Will Take Possession of Your Pets:


The most important thing to think about when thinking about your pets is who will take care of your pets if you die or if you are incapacitated. There are several factors that should be considered: 1) does this person have experience with pets; 2) is your pet familiar with this person; 3) where does this person live in relation to you and your pets; 4) does this person have the financial means to take care of your pets; and 5) do you trust this person.


Often times I will suggest to my clients that the person they are nominating to take possession of your pets have a vested interest in the pets. This person may be your child, a sibling, or a close friend. The more this person has interacted with your pets, and the better their relationship with your pet is, the more likely they will take good care of your pets and give them the life they deserve. Moving homes and changing the people they live with can have huge impacts on pets. Moving them into the home of someone they already know can help alleviate the impact on your pets.


Alternatively, some people do not have family or friends who can take their pets. If that is your situation, fear not. There are organizations who will take your pets and rehome them after you pass away or become incapacitated. An example of a program is the Oregon Humane Society's Friends Forever Program.


How Will My Pets Be Provided For?


Once you have a good idea of who will take your pets should something happen to you, your attention should turn to how your pets will be taken care of, i.e., where will the money to take care of your pets come from?


There are three main ways to account for this:


1) The person taking possession of your pets is financially sound and will have no issue with spending money on the pets they are taking in. This option may not be the best because, as we know, pets can be very expensive to take care of. The person taking your pets may have a change in their financial situation and won't have the money to provide for your pets. Additionally, someone may not have the means to take care of your pets to begin with. These concerns can be alleviated in one of two ways discussed next.


2) The person taking possession of your pets can receive a lump sum of money from your estate. After you pass away, you can designate who should take possession of your pets. Further, you can direct the executor of your estate to make a lump sum payment from money in your estate to the person who is receiving possession of your estate. Often, people will direct a payment, often ranging from $5000 to $10,000 per pet, be given to the person taking possession of your pet. The exact amount will depend on what kind of pets you have, how old your pet is, how much money on average you spend taking care of your pet, how old your pet is, etc. By making this lump sum payment, the person taking care of your pets will have some money already lined up to take care of your pets. This will may make the person taking your pets more comfortable with taking your pets and can also alleviate the financial strains of taking on new pets.


3) Establish a trust for your pets. Many people have heard of trusts but they may not be very familiar with them. They may have heard of "trust fund babies" or heard of wealthy people stashing away their wealth in trusts. The reality is, trusts serve many purposes and are very important estate planning tools for people of all demographics and wealth levels. This includes your pets. As I just explained, you can give people money to take care of your pets. The problem with giving someone a lump sum of money to take care of your pets is there is no good way to ensure that money is actually spent on your pets. This is where a pet trust comes into play. In summary, a trust is created for the benefit of your pets. There are specific parameters of how the money can be spent on your pets. By having a pet trust, you can ensure any money being allocated to take care of your pets is actually spent on your pets. The main downsides of having a pet trust are the administrative time and monetary costs. Someone will need to serve as the trustee of the pet trust. A trust bank account will need to be opened and trust accountings may be necessary. Other administrative tasks may need to occur. A pet trust can be a good option if you have a lot of money and want to ensure your pets have the highest possible quality of life. A pet trust is also a great option for people with pets that require a lot of maintenance and upkeep such as horses or exotic pets.


Conclusion


Many of us love our pets and treat them as members of our family. It is critical for anyone with pets to make sure their pets are accounted for in their estate plan. At Cherry City Legal Services, I make sure my clients will know who will take care of their pets and make sure that the pets will be financially supported. The comfort that comes with knowing your pets will be alright and taken care of after your death or incapacity will help alleviate stress and anxiety. Contact Cherry City Legal Services today to ensure your pets will be taken care of.


Nothing in this article should be construed as legal advice. No attorney-client relationship is formed by reading this article or visiting this site.

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The information on this site is for general informational purposes only. Anything stated on this site should not be taken as legal advice. Using this website does not create an attorney-client relationship.

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