Companion animals play an important role in the lives of humans. Cats keep us company on the sofa. The dogs play Frisbee with us in the park. Pets can even prolong a person’s life, reducing heart attack risk and depression rates. Despite these beneficial effects on human life, more than 500,000 pets are euthanized annually in animal shelters in the United States due to the death or disability of the owner. How can pet owners prevent such a disaster from happening? In this article, the author explores three ways to provide financial support and care for your pet when he is no longer able to.
1st Solution: Give your Pet to a Friend or Relative Under the California Inheritance Code Section 6102, a direct gift to an animal is void. However, you can give your pet to a close friend or relative, along with funds for its care. A lawyer can help you draft the language of your will or trust to make the gift valid. There are many disadvantages to giving your pet to a friend or family member. First, the friend or relative may not want to take care of your pet. Even if you make a wish today, your friend or relative may move or face new life circumstances, leaving you unable or unwilling to provide proper care and support for your pet. Second, once your friend takes legal possession of your pet, there is no guarantee that he will follow your wishes, whether expressed orally or in a will. The worst case scenario is the immediate euthanasia of the pet in the event of a change of owner, regardless of the owner’s best intentions.
2nd Solution: Deliver your Pet to an Animal Protection Organization The second solution is to turn your pet over to an animal protection organization. There are many organizations throughout California that provide permanent care or adoption services. A lawyer can help you add language to your will or trust to legally turn over your pet to an organization like the San Francisco SPCA or Pets in Need of Redwood City. Many of these organizations may also allow you to specify the type of home that would be suitable for your pet. Others require a planned gift to be given along with your pet. Organizations include SPCA, Humane Society, National Cat Protection Society, Pet Pride, Pets in Need, UC Davis School of Veterinary Medicine, and California Feline Foundation. A gift to an organization like the SPCA is a great solution for many pet owners. However, for many, such a gift may not be personal enough. In addition, it cannot be guaranteed exactly how the money for long-term financial support will be provided and whether the proper placement of the pet can be achieved.
Third Solution: Pet Trusts The third solution is to keep your pet under a pet trust. Under California Probate Code Section 15212, pet trusts are permitted for the life of the animal. A pet trust is the best way to support pets, offering greater certainty and provision than a direct gift to a friend or charity. First, you can provide specific instructions on how your pet should be cared for. The trust may nominate potential caretakers, giving the trustee discretion to provide a suitable guardian and home. The trust can describe how medical expenses, pet care, pet visits, and other tasks are handled. Second, the Probate Code requirement that the principal and income be paid only for the benefit of the pet provides additional certainty that the money will go only to the pet. Third, the pet trust is more easily enforced than a direct gift. Periodic accounting of expenses may be required, whereby a person designated in the trust, or a beneficiary, ensures that principal and income for the benefit of a pet are paid. Finally, a pet trust keeps your pet from falling into oblivion. Under the probate code, any The nonprofit charitable organization that cares for animals, or a beneficiary or designee of the trust, may make reasonable inspections to ensure that the pt, the trust’s books and records, and the pet’s living quarters are appropriate. Pet trusts are not for everyone. Unfortunately, a pet trust that leaves a remainder to charity is not eligible for a charitable estate tax deduction. Additionally, the expenses associated with managing a pet trust may rule out its use unless it is financed with a relatively large amount of money. Finally, while the enforcement mechanisms under a pet trust are better than the alternatives, there is still no guarantee that the trustee will act entirely in the best interest of the pet.
This article is intended to provide general information on estate planning strategies and should not be considered a substitute for legal advice from a qualified attorney. Treasury regulations require a disclaimer that to the extent this article pertains to tax matters, it is not intended to be used and may not be used by a taxpayer for the purpose of avoiding penalties that may be imposed by law. .
