Posts

Keeping Your Pet Safe with a Pet Trust

/in /by

A pet is probably considered a valuable member of your family if you own one. If you have a pet, you know how much joy and comfort it gives you. Since you love them, you give them the best life you can. But what if you were suddenly unable to care for them?

Who would care for your pet if you were to die or become incapacitated due to injury or illness? Would they know how to give your pet the same level of care you give them? A good way to ensure your pet is well cared for if something happens to you is to create a pet trust.

Pet trusts have become increasingly popular in recent years as pet owners become more concerned with the care and wellbeing of their companions. A pet trust is a legal document allowing pet owners to designate a trustee to care for their pets for the rest of their lives.

You can establish a pet trust for any type of pet. The trust can provide for their care in a variety of ways, including food, shelter, veterinary care, and any other needs your pet may have. The trust can also specify any special requests, such as daily walks, grooming, or other preferences.

Benefits of a Pet Trust

One of the main benefits of a pet trust is that it ensures your pet will be taken care of according to your wishes and by someone you trust. This is especially important for owners who have pets with special needs, such as those with medical conditions or behavioral issues. A pet trust can also provide financial support for your pet’s care, so the caregiver doesn’t have to bear the financial burden of caring for your pet.

Creating a Pet Trust

Creating a pet trust is a relatively simple process. First, you’ll choose a trustee responsible for managing the trust and ensuring your pet is cared for according to your instructions. The trustee can be a family member, friend, or even a professional trustee. After you choose a trustee and a successor (backup) trustee, you will choose a caregiver for your pet. The caregiver can be the same person as the trustee.

You will then specify the terms of the trust, including the amount of money set aside for your pet’s care and how that money will be distributed to the caregiver. The trust should also specify any special requests or instructions for the caregiver, as well as a backup plan in case the caregiver is no longer able to care for your pet.

Once the trust is established, you can fund the trust with a lump sum of money or set up regular contributions. The trustee will then manage the trust and ensure your pet is cared for according to your wishes.

Things to Consider about Pet Trusts

A pet trust is a legally binding document, and consulting with an attorney who is knowledgeable about estate planning and pet trusts is important. They can help ensure that the trust is set up properly and that all legal requirements are met.

In addition to the legal issues, there are also practical considerations to keep in mind when setting up a pet trust. For example, you should consider the age and health of your pet, as well as your financial situation. You should also think about the availability and willingness of potential caregivers.

Contact our Ruston, LA office by calling us at (318) 255-1760 today and schedule an appointment to discuss how we can help you with your planning.

A New Breed of Estate Planning – Trusts for Pets

/in /by

Back in 2007, a Maltese pup named “Trouble” was left a trust fund of $12 million by her owner, hotel heiress Leona Helmsley. Pet inheritances have been dealt a dubious reputation ever since.

The Value of an Animal Trust for Your Pet

For those who care about the well-being of their animals or livestock, animal trusts can play an essential role in ensuring that the animals get the care they need after the principal caregiver passes. After all, estate planning aims to provide for the family, and many of us consider animals as part of the family. Trusts can ensure that money is put aside to care for animals when the animal’s primary human is no longer there. This legal document is significant for long-lived animals like parrots, horses, or tortoises.

Because trusts avoid the probate process, there is no delay in the continuity of care. Trusts also surmount another obstacle by creating a legal entity to receive money. This document is necessary because money or life insurance proceeds cannot be left directly to an animal.

What Can A Pet Trust Designate?

A trust can appoint a caregiver to provide a home, name a trustee to manage the money, and state animal care instructions. These instructions may supply essential information about the animal’s diet, preferred veterinarian, and, for example, farrier. 

Here are the elements that go into a pet trust.

➢ Carefully consider whom to appoint a caregiver. Ideally, name several people as backups with whom you have discussed the proposal beforehand. Leona Helmsley unwisely named unwilling family members.

➢ Describe your animals as a “class” if you own several, or you can specify your animals by name or photo, or microchip number.

➢ Provide details for the care the animals need, including diet, medical attention, and maintenance schedule.

➢ Allocate reasonable funds to pay for your pet’s care. “Reasonable” doesn’t mean $12 million. The Helmsley judge reduced that amount to a paltry $2 million to maintain Trouble in the manner she had become accustomed to until she went to her final reward in 2011 at age 12.

➢ Itemize bloodlines for prize livestock or horses. Valuing them correctly can make a big difference in the worth of an estate.

➢ If you have taken out loans to finance the purchase of a herd, identify whether you got credit for specific purchases or blanket financing for all stock purchases. Those debts will need to be settled before any of your human heirs can inherit.

➢ Provide instructions for the disposition of your pet’s remains.

➢ Designate where funds should go if there is money left over after the animal passes.

When appropriately drafted with the help of an attorney, pet trusts can save significant money and time. And, your estate plan will provide the care you want for everybody you leave behind – your family and your animals.

If you’re interested in learning more about pet trusts or discussing your estate planning needs, please contact our Ruston, LA office by calling us at (318) 255-1760 or schedule an appointment. We welcome the opportunity to speak to you about your estate planning needs.