What about Fido? What happens to your pets after your death? If you have furry friends, there is a possibility they may outlive you and it can be important to ensure they are cared for upon your passing.
Pets may include dogs, cats, birds, reptiles, fish, horses, or other livestock. In the eyes of the court, they are largely all treated the same way: as tangible personal property. In other words, your pets are generally considered your “stuff,” just like the phone in your pocket or the couch in your living room. So while you may love them just as much as a human being, pets generally do not have rights or privileges that will ensure their future care and feeding in the event of your death.
Pets may be passed to your heirs similarly to that couch or any other physical asset, but a living asset comes with the caveat of future care. Pet food, veterinary care, grooming, and other necessities for a pet’s well being can add up to sizable costs that can make this “asset” feel more like a debt to whomever may receive your beloved fur-ball. It is important to ensure that that beneficiary is prepared to care for your pet, in terms of expectations as well as finances.
A coordinated estate plan offers the opportunity to include provisions for pet care, beyond the simple matter of who “gets” the pet. Your revocable living trust can be structured to include provisions that provide for the pet’s care financially, dictate the details of that care, or even incentivize their care—whether more formally through what’s sometimes referred to as a “Pet Trust” or more informally by simply providing guiding language and a stipend to the recipient of the pet, for instance. However, much like tax-saving or other special provisions, these details must be carefully crafted and established in advance of your passing in order to be effective. The ASPCA offers a primer on the types of details you may want to consider when creating a Pet Trust.
We’ve been reviewing various methods of passing assets in past news posts, and the Oregon State Bar provides additional resources on estate planning. But if you’re wondering how all of this affects your personal situation and would like custom-tailored professional advice, please contact us now to begin exploring your estate planning options.