Can I make my pet my beneficiary? Wanting to care for your pet after your passing is business as usual today. Twenty-nine states have pet trust laws, and every state has some guidelines, reports a recent article, “Can you leave your estate to your pet?” from CNN. Pet lovers can leave assets to a pet in several ways. How you do it depends on your state. Your estate planning attorney, like ones at Beck, Lenox & Stolzer Estate Planning and Elder Law, can help.
The success of your plan may also hinge on whether your family might challenge your decision. Pet inheritances have been challenged in court, and sometimes, the pets lose.
Animal companions are considered property, so you can’t leave them money directly. Here are some questions to consider while creating a plan.
Do you want your pet to live in your home or on your property? Your pet can’t inherit the house. However, their named guardian could, along with funds in a special trust to support the home’s maintenance as well as the care of the pet. The catch: the guardian is not bound by law to follow your requests.
Does your family support your wishes? Estate planning attorneys warn people who want to protect their pets and don’t want to leave anything to their children or grandchildren to anticipate challenges. You’ll need to make this wish and the reasons for it extremely clear. Document specific reasons and even incidents occurring to increase your chances of success after you’ve died.
For most people, a pet trust is a reasonable option. The trustee creates a legally binding obligation to use the funds only for the pet’s benefit. The actress and widow of Star Trek creator Gene Roddenberry, Majel Barrett-Roddenberry, created a $4 million trust for her dogs and left $1 million for an employee to care for them before she died in 2009.
Can you be sure that your plan will work the way you want it? Estate planning attorneys tell people who want to protect their pets to name one person as the trustee for the financial assets and a second person as the caretaker. It’s more likely that your wishes will be followed if two people balance responsibilities. If a caretaker has a financial emergency, for instance, they might be tempted to use funds for their own needs. Put money for the pet into a trust with a trustee who is a fiduciary legally obligated to put the needs of the beneficiary of the trust over their own.
There is another alternative to consider. Some animal protection groups run no-kill shelters and sanctuaries with programs specifically designed to take over the lifetime care of animal companions after their owners have died. The programs usually require a financial donation for the pet’s future care. If your pet is in a shelter, the shelter does its best to find a forever home for the pets, so they don’t spend the remainder of their lives in the shelter.
To ensure that your wishes for your beloved animal companions are followed, seek the advice of an experienced estate planning attorney who will know the best way to create a plan to protect your pets. Our attorneys have created a number of pet trusts and would be happy to help you protect your pet in the event of your passing. Go online to schedule a complimentary phone consultation with one of them.
Reference: CNN (Sept. 14, 2024) “Can you leave your estate to your pet?”
