We are independent & ad-supported. We may earn a commission for purchases made through our links.
Advertiser Disclosure
Our website is an independent, advertising-supported platform. We provide our content free of charge to our readers, and to keep it that way, we rely on revenue generated through advertisements and affiliate partnerships. This means that when you click on certain links on our site and make a purchase, we may earn a commission. Learn more.
How We Make Money
We sustain our operations through affiliate commissions and advertising. If you click on an affiliate link and make a purchase, we may receive a commission from the merchant at no additional cost to you. We also display advertisements on our website, which help generate revenue to support our work and keep our content free for readers. Our editorial team operates independently of our advertising and affiliate partnerships to ensure that our content remains unbiased and focused on providing you with the best information and recommendations based on thorough research and honest evaluations. To remain transparent, we’ve provided a list of our current affiliate partners here.
Law

Our Promise to you

Founded in 2002, our company has been a trusted resource for readers seeking informative and engaging content. Our dedication to quality remains unwavering—and will never change. We follow a strict editorial policy, ensuring that our content is authored by highly qualified professionals and edited by subject matter experts. This guarantees that everything we publish is objective, accurate, and trustworthy.

Over the years, we've refined our approach to cover a wide range of topics, providing readers with reliable and practical advice to enhance their knowledge and skills. That's why millions of readers turn to us each year. Join us in celebrating the joy of learning, guided by standards you can trust.

What is a Pet Trust?

By Christy Bieber
Updated: May 17, 2024
Views: 2,606
Share

A pet trust is a form of setting aside assets for the care of a pet after death. A trust is an important estate planning tool that allows a person to control what happens to his assets after his death and to limit the use of those assets for a specific purpose. When such a trust is set up to limit the use of assets to care for a pet, it is referred to as a pet trust.

Many individuals become attached to their pets and want to ensure the animals are always cared for properly. These individuals may make provisions in their wills regarding who will inherit the pet upon their death. When some pet owners name a guardian who will care for their pets upon death, these owners may also set up a monetary fund so the pet's care will not prove to be a financial burden on its new owners.

Setting aside money to be used for a pet is no different from setting aside money in a trust to pay for a child's education or for any other purpose. The premise is that the individual transfers ownership of his assets to the trust. The proceeds and assets in the trust are then distributed to the named beneficiary according to the terms of the trust as stated by its creator.

When a person sets up a pet trust, he must specify a trustee. The trustee is the person who manages the distribution of assets. It is the trustee's job to ensure that the beneficiary uses the funds left in the trust to actually care for the animal. This can involve paying veterinary and other animal care expenses directly out of the trust or distributing the money to the pet's new caregiver and then asking for an accounting of how the money was spent. It might also mean reviewing receipts from pet stores and vet bills to ensure that the full proceeds distributed from the pet trust are actually being used for the pet's care.

The individual who sets up the trust should also specify within it what is to be done with any money that is left over after the pet passes away. Many individuals will specify that any remaining funds are to be distributed to other heirs or to the pet's caregiver. Still others will stipulate that funds from the pet trust which remain after the pet passes away should be left to an animal charity of choice.

Share
WiseGeek is dedicated to providing accurate and trustworthy information. We carefully select reputable sources and employ a rigorous fact-checking process to maintain the highest standards. To learn more about our commitment to accuracy, read our editorial process.

Editors' Picks

Discussion Comments
Share
https://www.wisegeek.net/what-is-a-pet-trust.htm
Copy this link
WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.

WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.