Required

Splitting a Farm to Keep It in the Family, Elder Law Attorney, Woodstock, GA


Farmers who have more than one child have an estate planning dilemma. The most valuable property that they have is almost always the land and the farm equipment. If all of the children are not interested in farming, it can be difficult to give them all an equitable inheritance.

Farmers with multiple children have two seemingly conflicting goals when they plan their estates. They normally want to preserve the family farm in one piece if possible and make sure that all of their children get a roughly equal inheritance.

These goals can be difficult to accomplish because the overwhelming largest portion of the estate is often tied up in farm assets, such as land and equipment.

This can be even more difficult when one child is currently participating in the farm operations and another child is expected to join later.

Recently, Delta Farm Press discussed one possible solution to the problem in “2 separate entities enhance farm succession plan.”

The idea is to split the farm into two separate corporate entities. One entity holds title to the land while the other entity owns the farm equipment and operates the farm. The second entity leases the land from the first entity.

Buy/sell agreements are put in place as a way to make sure that the entities remain in the family.

An estate plan then gives the children shares of these corporate entities instead of the physical property. A child who wants to continue farming would then have the option of purchasing the shares of a child who is not interested in being a farmer.

Many other solutions to keep a family farm in the family are also possible.

Estate planning attorneys can offer advice to provide the best solution for your family.

Reference: Delta Farm Press (March 6, 2016) “2 separate entities enhance farm succession plan.”

Hear From Our Clients
tes-prev
tes-next

I heard Cindy’s presentation at a Senior Luncheon at my church, and was very impressed. She helped my daughter and me understand many aspects of elder law. Josh has also been very helpful in my planning to enter an independent living situation . I have told many friends about them.

- Charlotte

The very best elder law attorney and staff anyone could ever ask for! I have referred a number of clients to Cindy and she never disappoints. She is kind, caring, and extremely thorough in making sure everything is completed as it should be. I highly recommend Cindy for anyone needing lawyer services; she truly goes above and beyond for every client she helps and has had a huge impact in so many peoples’ lives. Thank you, Cindy and staff, for everything that you do- I’m so glad to know you!

- Kerri

Cindy and the Nelson Elder Care Law team are trustworthy and helpful. They are the experts in elder care law. At Leaf Cremation, we entrust our families to the care of the Nelson team when their services are needed.

- Pierce

Josh Nelson, and his staff, have been amazingly helpful to our family. The ins and outs of nursing homes, the rules and regulations that govern Medicare and Medicaid are daunting and the folks at Nelson Elder Care Law have been informative, responsive, and above all, empathetic. I cannot emphasize enough how their service has taken a weight off of our shoulders especially during a world pandemic that has targeted nursing homes across our country. I highly recommend retaining Josh and his firm!

- Marcia

I had a simple legal question to them that I needed answered and they very helpful in giving me the information I needed. I highly recommend them and will reach out to them if I need more advice or assistance. Thank you for taking your time to just answer a couple of questions I had!

- Ben