Have You Considered A Pet Trust?

A big sticking point with a last will and testament has been provisions covering beloved pets. Pets cannot legally own property so pet owners can only gift their pets to someone to care for after they pass away. However, pet trusts offer a more complete way to address the needs of a pet once the owner dies. Read on and find out more. 

What Is a Pet Trust?

A pet trust is created with the needs of a pet in mind. It allows you to set aside funds and designate a caregiver to ensure your pets receive the necessary care, attention, and resources they need.

Here's How a Pet Trust Typically Works:

1. Settlor/Grantor: As the pet owner, you establish the pet trust by creating a legal document known as a trust agreement or declaration. This document outlines your wishes and instructions for the care of your pets.
2. Funding: You fund the trust by transferring assets, such as money, property, or investments, into the trust. These assets will be managed by a trustee for the benefit of your pets.
3. Trustee: You appoint a trustee who will have the legal responsibility to manage the trust and distribute the funds according to your instructions. The trustee can be a person, a trusted friend or family member, or even a professional entity like a bank or a trust company.
4. Caregiver: You designate a caregiver or multiple caregivers who will be responsible for taking care of your pets. This should be someone you trust to provide proper care, including feeding, grooming, veterinary visits, and attention.
5. Instructions: The trust document specifies detailed instructions on how you want your pets to be cared for. This can include dietary preferences, exercise routines, veterinary care preferences, and any other specific requirements.
6. Funds for Care: You determine the amount of money necessary to adequately care for your pets throughout their lives. This can include expenses such as food, veterinary care, grooming, and any other costs related to their well-being.
7. Termination of Trust: The pet trust ends when the last surviving pet named in the trust passes away. Any remaining funds can be distributed as directed in the trust agreement, such as to a charitable organization or to beneficiaries you have designated.

It's important to consult with an attorney who specializes in estate planning to create a legally valid pet trust that adheres to the laws of your state. For more info about estate planning, contact a local company.