igrow.org sustaining the legacy: estate planning and farm transitions
TRANSCRIPT
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Sustaining the Legacy:
Estate Planning and Farm
Transitions
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Goals for South Dakota Programming Efforts
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Goals: Increase Communication in the family
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Provide you with tools
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Remove some of the mystery
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Get you motivated, and keep you motivated
What have we done?
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What has been done?
• Aberdeen (2)
• Watertown• Flandreau• Huron• Milbank• Redfield• Brookings
(2)• Sioux Falls
(2)• Parker• Mitchell (2)• Yankton• Chamberlain• Mobridge
• Elk Point• Pierre• Onida• Winner• Philip• Lemmon• Rapid City
• 337 Families-2008 to 2013
• Individual Producers• Network of Experts
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Network of Experts
Attorneys
Estate Planners
Tax Advisors
Retirement Fund Managers
Life Insurance Agents
Long Term Care Agents
SD Dept of Social Services
SD Dept of Agriculture
Funeral Home Directors
Has it worked?
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Number Percentage
YES 40 49%NO 45 55%
When I attended the Estate Planning/Farm Transitions Conference I had an Estate Plan in place.
Number Percentage
YES 69 81%NO 16 19%
I have made changes to my Farm Transition Plan since attending. Number Percentag
e
YES 56 79%NO 15 21%
I have made changes to my Estate Plan since attending.
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Number Percentage
Updating Will(s) 45 51%Changed Life Insurance Policy
12 15%
Created a Trust 39 48%Transferred Personal Property
15 18%
Sold Assets to Heirs 5 6%Gifted Assets 12 15%Added Retirement Account
8 10%
Communication with Heirs
42 51%
Funeral Planning 9 11%
These changes included: (check as many as needed)
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Number Percentage
Less than 25%
16 20%
25-49% 15 18%50-74% 19 23%75-99% 20 24%100% 12 15%
Eighty percent of the participants considered themselves 25% or more completed with their estate plans and 39% considered themselves 75% or more completed with their plans.
Keep in mind these results include participants from 2008, 2009, 2010, 2011 and 2012. The 2012 group of participants have only been out of the conferences for two months. *Percentages will not equal 100 due to rounding.
At this time we consider our Estate Plan ___% finished.
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Number Percentage
Less than 25%
19 26%
25-49% 16 22%
50-74% 13 18%
75-99% 13 18%
100% 12 16%
Of the participants that have an heir coming back to the operation, 74% consider their transition plan 25% or more completed, and 34% consider it 75% or more completed.
Keep in mind these results include participants from 2008, 2009, 2010, 2011 and 2012. The 2012 group of participants have only been out of the conferences for two months. *Percentages will not equal 100 due to rounding.
At this time we consider our Farm Transition Plan ___% finished.
Things we have done different.
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All face-to-face meetings Connect with group leader and other participants
3 or 4 day sessions Too much information for 1 day
Homework Start the conversations at home
Industry professionals as speakers They know who can help them develop their plan
Why working with the SD Soybean Research and Promotion Council works?
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Changes are being made to estate plans, including communication within families about the transition
Soybean farmers are benefiting from the check-off dollars
Education provided at fraction of the cost to provide programming ($75)
Keeping farm ground in farm families
$135-150 per person for program- not including staff salary
Haven’t had any plans “enacted” yet, but the goal of many families it to keep farming children farming and plans are being created to accomplish that
What’s next?
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Next….
Publication Series
On-line version
Pod Casts
Face-to-Face
Personal One-on-One
Continued funding
Research
Questions?
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