Writing a will is an important step in ensuring your wishes (and funds) are carried out as intended. Typically, many people leave their belongings and wealth to their loved ones; however, increasingly, these beneficiaries are not always human. In recent years, there has been an upward trend in people leaving their entire estate to their pets!
This concept is more formally known as a pet trust. A pet trust is a legal arrangement for your pet’s maintenance once you can longer care for them due to death or disability. With more Americans than ever foregoing children or spouses, and 81% of pet owners valuing their animals as much as their children, as reported by a Kelton Research survey, pet trusts have steadily gained popularity.
In fact, 44% of Americans confirmed they have financial plans for their animals once they pass, according to The Hustle. Examples of incredibly rich pet heirs include the dogs of Majel Barrett-Roddenberry, the widow of Star Trek creator, Gene Roddenberry, who received more than $3 million following her death in 2009. Additionally, Roddenberry left her housekeeper an additional $1 million to stay in the family mansion and care for the dogs.
Since pets are technically considered property in the U.S. and can’t own property of their own, they cannot inherit funds or assets. This is where the pet trust laws come into play. Pet trust laws have been enacted in all 50 states since 2016. New York residents are able to set up a pet trust in which they select a guardian for their pet who will be legally obligated to use the funds set aside for the care of the pet.
In some states however, the court is allowed to redirect the property of the pet trust if the funds significantly surpass the necessary cost of care for the pet(s). According to New York State’s pet trust laws, the trust terminates once the animal beneficiary passes.
You can learn more about pet trusts here.