You Can Provide a Future for Your Family
Planning for farm succession is essential. Farming and agriculture as a whole uses 25% of land in the commonwealth of Pennsylvania. Southwestern Pennsylvania farms provide a vital source of income for families and have done so for many generations. Two-thirds of retiring farmers in one national survey did not have an identified successor.
When it comes time to passing on the farm to the next generation, having a farm succession plan is vital. Learn all about farm succession plans in our blog this month.
Know What to Include in Your Farm Succession Plan
Farm succession implies the transfer of the farm business as opposed to the farm real estate assets. The use of the term often refers to the transfer of the farm within the family. The best way to transfer a family farm or ranch varies from family to family. The first step of an effective farm succession plan is to define your goals by prioritizing your needs first.
Then, you can incorporate the needs of future generations who will also benefit from your succession plan. It’s also important to discuss the details of how the farm runs now and what the future looks like. Updating wills and trusts is also a good thing to do when going through a farm succession.
If you have a family member who could continue operations, you can rest assured that they have the proper knowledge. When everyone can agree on the family values, short-term and long-term goals for the farm. For more information about farm succession planning, take a look at this list from University of Wisconsin-Madison’s Farm Management Extension
Learn What to Watch Out for When Making a Farm Succession Plan
Succession plans can fail because of not considering certain risks during the planning stages. Problems can arise from: low cash flow, liquidation of assets for retirement funds, or lack of estate planning. An even more common problem are ongoing issues between family members or an unprepared successor. It’s important to get the help of a qualified professional who doesn’t have a stake in the final decisions. They can help you make sound, unbiased decisions for your farm estate.
Attorney Zylka-House is Here to Help with Your Farm Succession Plan
When you come to our lawyer for representation, she gives you both a legal and a financial perspective. You will also receive the respect and courtesy you deserve, as well as the legal advice you need. It takes time to develop the right succession plan. Margaret Zylka House will work with you every step of the way.