Extension Notes: Estate planning part 3: Assembling the team

By: Rebecca Konopka
Carter County Extension Agent

Successful estate planning and farm transitions do not occur overnight. They require thoughtful contemplation over a period of time, and in most cases, help from outside the farm.  

To start a successful estate plan, you need to recruit professionals to join your transition team. Team members could include professionals, such as an accountant, attorney, financial planner, lender, and business consultant to successfully transfer your assets like land, machinery and management of your farm to the next generation. These team members can help you with technical support and advice as you begin to plan your estate. Here is a little more about each of these and the skills they bring to the table.  

• Accountant- This person has a good idea of your annual tax obligations and farm’s financial state year-over year.  
• Attorney- A lawyer can help ensure that your wishes are carried out in a legal manner through documents like a will. You do not want to work hard a plan that will not hold up in court, particularly if your wishes could be contentious. 
• Financial planner- A financial planner can help you develop a plan to transfer your financial assets.  
• Business consultant- A consultant can help you determine whether your business model is sustainable and ways to successfully transfer it to your heir.  
• Lender- Your banker should be an important part of your estate planning process. This person understands your business financials and whether your business plan is sustainable. They can also help your heirs anticipate their borrowing needs. If you are a client of the Kentucky Farm Business Management Program, your analyst could also serve in this function.  

This is the third article of a four-part series on estate planning.   The District 1 Extension Agriculture & Natural Resources Agents will be hosting an estate planning series in 2022.  The first session on January 13th will focus on taxes.    The series is available for viewing at home via zoom or at the Carter County Extension Office.    For more information or to register call 474-6686. 

For more information on estate planning, contact the Carter County office of the University of Kentucky Cooperative Extension Service.  Educational programs of the Kentucky Cooperative Extension Service serve all people regardless of economic or social status and will not discriminate on the basis of race, color, ethnic origin, national origin, creed, religion, political belief, sex, sexual orientation, gender identity, gender expression, pregnancy, marital status, genetic information, age, veteran status, or physical or mental disability.  

Other Upcoming Events

• Extension District Board Meeting – January 10^th @ 10:00 AM
• Beef Quality Care & Assurance Training – January 18^th @ 6:00 PM – Please call 474-6686 to preregister.   
• Rootstock – Now is the time to order pear and M7A apple rootstock for spring grafting.   All rootstock is $1.50 each.  This program enables small fruit producers to group orders and purchase the rootstock at a cheaper price.   Grafting demo sessions will be held to help those who order learn to graft their own rootstock.   Grafting tools will also be available for checkout for those that order. Orders will be taken until February 1st or until sold out.  Call 474-6686 to place your order.   Checks can be made payable to the Carter County Agriculture Council and mailed to the Extension Office.