Can farming provide financial security for my family?

Financial security means different things to different people. In addition to basic income, it may include savings, retirement planning, and life insurance.

Strategies:

• Determine what financial security means for you and your family and/or farm team. You can't know if farming could provide it unless you know what you need!
• Make sure your business plan addresses retirement and other savings needs. See the business planning resources above.
• Agree that a family member will hold an off-farm job. You may find that farming part-time or having some family members continue with off-farm jobs provides important stability to offset the uncertainties of farming.
• Develop an estate plan to provide for the long-term security of your family, and the future of your farm business.

Resources:

• The National Agricultural Risk Assessment Library. This website features a number of estate planning resources. http://www.agrisk.umn.edu/
• First Pioneer Farm Credit. Offer estate planning assistance. https://www.firstpioneer.com
• The American Farmland Trust offers estate planning consultation services. http://www.farmland.org/services/education/default.asp.
• The University of New Hampshire has developed an introduction to estate planning which addresses the needs of New England farmers.  http://mdagnrpolicy.arec.umd.edu/Conferences/EstatePlanning2004/epmaterials.htm
• Take the Farm Succession Risk Management Checklist online test to see how you stack up. www.familybusinessonline.org/resources/frm_chklist_farm.aspx.

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