Pandemic Pets -- Do You Need a Pet Trust?

Pandemic Pets -- Do You Need a Pet Trust?

March 26, 2021

By Melinda Gustafson Gervasi

Georgie in Wisconsin

Americans adopted a record number of pets during the COVID 19 pandemic.  Georgie joined the household of our dear friends towards the end of 2020, a few short weeks after being rescued from the streets of Austin, Texas. The rescue organization estimated his date of birth as May 5th.  Our families are looking forward to years celebrating Cinco de Mayo and toasting Georgie.  

My social media feed now overflows with cute pet pics and queries about traveling with dogs, hiring pet sitters, and tips on preparing our new family members for the days when their devoted humans return to schools and workplaces.  Of course, me being me, I wonder -- has anyone asked themselves if their new family member necessitates updating their estate plan to include a pet trust?

What is a pet trust?  In general terms (estate planning law varies from state to state) a pet trust is language in a will that creates a trust fund if certain conditions you set occur.  For example, if my spouse and I both die, then a pet trust is created.  That fund then holds money you directed to the fund in your will as well as your pet(s), which are technically considered property.  Pet trusts allow you to name a caretaker and manager of the money until your last pet has passed away.  

When should you consider setting up a pet trust?  Here are few suggestions garnered from 15 years of counseling clients and writing a few pet trusts (including one for our 3 cats):

1. Your pet has health or care needs that would be a financial burden on the caretaker you wish to nominate. I have written an abnormally high number of pet trusts for poodles because of their expensive grooming costs!
2. Your pet has a long lifespan?  Parrots, iguanas, and turtles may outlive you by years if not decades?  
3. You want to keep your pets together.  Rehoming a single pet when someone has died can be a challenge. The pool of potential caretakers drops if your goal is to keep your 4 dogs and 1 cat in the same household. When a large pet group needs a new home, having a small pot of money to ease the transition may open up more doors.

Not everyone needs to go to the extent of creating a pet trust.  However, every pet owner should ask "if something happens to me/us, where will [insert the name(s) of your beloved pet(s)] go?  Maybe all you need is a list of names with contact information tucked in with your estate paperwork.  Or maybe, you need something more.

Remember, a blog is not legal advice.  Rather, it is meant to spark thought and discussion.  Please consult a licensed attorney in your home state for counsel on your specific situation and state requirements.  Thanks for reading!