New York Estate Planning Lawyer Blog

The most recent survey from the Humane Society found that there are at least 78.2 million owned dogs and 86.4 million owned cats in the United States. The data indicated that nearly 40% of all American households own a dog while roughly 33% own cats. Pet ownership rates are near the highest ever reported. In addition, many owners go to unprecedented lengths to integrate their animals into their families, from including them in annual Christmas card photos to ensuring they have a spot in all family vacations.

Considering the close bond so many families have with their animal friends, it is only natural that they would want to provide for them in an estate plan. Our New York estate planning attorneys know that in our area pet trusts are no longer only for the rich, famous, or eccentric. Recent research has shown that somewhere between 12 and 27 percent of pet owners provide some provisions for their animals in their wills. Many families have visited our office and expressed a wish to take legal steps to ensure that their beloved pet will have the resources they need for as long as they need them in the future. In fact, we have set up a relationship with providers of these services at www.PetEstates.com to help clients gain the peace of mind of knowing that their animal will be protected after they are gone.

It is vital to have professional help with these matters, because haphazard planning could risk leaving your pet without any support. A recent Reuters article took a look at these common pet trust pitfalls. Many large, high-profile pet trusts have been severely curtailed by judges. Ensuring that the trust includes only a reasonable amount necessary to account for the animal's well-being is important. Many problems can also be avoided if the trust names a caretaker who is willing to comply scrupulously with the terms of the trust. On top of that, if a trust names a final resting place for the pet it is important to check that the location will accept the animal. Most pets cannot be buried in mausoleums for humans in the United States.

Some legal advocates are calling for changes to make it even easier to recognize the role that pets play in the lives of many families. For example, some are urging an extension of the charitable remainder tax deduction to pet trusts. Others suggest that reforms should be advanced which would make it easier to create trusts for future generations of animals, known as grand-kid pets. One of those pursuing legal changes explained her belief that "American inheritance law is trapped in an outdated family paradigm. That paradigm assumed that the decedent's closest relatives by blood, adoption, or marriage are the most deserving recipients of the decedent's estate."

See Our Related Blog Posts:

Estate Planning Can Provide Lifetime Care for Pets

High Profile Example Highlights Need for Clarity in the Estate Planning Process

Pet estate planning is growing in popularity as more jurisdictions have begun allowing residents to create legal documents to provide for their animals after death. Pet trusts are becoming an important part of the New York estate planning process as New York is one of forty five states that permit owners to create these entities.

Yesterday, North Jersey News discussed the increasing use of pet trusts across the country. Many claim that the widely reported New York trust created by Leona Helmsley for her dog, Trouble, spurred the rise in popularity of the animal care giving option. Many area residents consider their beloved dogs, cats, birds and other animals to be members of their families, and so it is logical for those individuals to provide for their pets as part of their New York estate plan. Pet trusts are legal agreements which explain how an owner wants their animal to be provided for when they are no longer around. This includes the ability to leave money for the animal's care and designate specific individuals as trustee and guardian of the pet.

As with all planning documents, a New York pet trust should be carefully worded to ensure that animal friends are quickly turned over to designated caregivers when the time comes. Disputes may arise regarding the amount of money left to the animal, and so proper drafting of these trusts is essential. The basic amount to be left is usually reached by multiplying the animal's expected lifespan by the annual cost of care. Discovering that cost involves going through pet records to get an accurate accounting of how much money is spent on the pet each year. Food, grooming, veterinary bills, and other expenses add up quickly--sometimes the trust may even be funded with several hundred thousand dollars.

Besides setting aside funds for the animal's care, designating a trustee and guardian is crucial in the pet trust process. One animal advocate explained that, "much like an adoption, the goal is to make sure it will be a good match. You may love your best friend or family member, but they may not be a dog person." If necessary one individual can assume the role of the trustee while a different person can become the pet's actual guardian. As with all planning documents, proper review is important to ensure that the plan is updated and can help your animal at the moment needed.

See Our Related Blog Posts:

High-Profile Example Highlights Need for Clarity in the Estate Planning Process

New York Estate Planning is Much More than Wills & Trusts