Farm families are the backbone of the agricultural industry. Who will take over your family farm after you? A well-designed succession plan includes components of insurance to access the wealth you have worked so hard to build. We help uncover the answers to some tough planning questions, including:
- Will adult children want to come back to the farm or will their career options take them elsewhere?
- What is the threshold to carry financing for land and machinery investments?
- How do you treat adult children equitably? Who stays in the operation? Who leaves? How is it divided?
- How does the retiring generation access their nest egg when the equity is tied up in the operation?
Things to Consider
Here are some more questions to consider as you think about what your future might look like. We’re here to help get the conversation started.
- What does the future look like for you and your family members in terms of where you will be living? Will you want to stay on the farm property or move to a nearby community? Does your adult child need to move onto the farm property?
- Do you need to build another residence on your farm property and, if so, who will move into the new residence - you or your family member?
- Can your home be subdivided from the farm?
- What is the cost of housing in the community you wish to live?
- Are there assets not related to the farm that may pass to your children who are not involved in the farm operation?
- Would you be able to build up assets for non-farming children from the payments that may be made to you from the one(s) who continues on the farm?
- Would your non-farming children still hold a financial interest in the farm?
- When considering what is fair and equitable, is that value based on the return profit from the farm or on the resale value?
- Is the intention for your farming child to receive the farm as it is today or could it be portioned out/partially sold?
- What standard of living do you hope to have for all members of your family from proceeds/income from your farm?
Succession Planning that's simple, easy, and clear. Get a quote online today.
Succession Planning that's simple, easy, and clear. Connect with a broker today.