Farm Succession Planning

What is succession planning?

Succession planning covers who will manage the farm, who will own the land and assets, how the older generation will be supported, and how fairness among family members will be handled. These are different questions, and they often take different answers.

It is not the same as writing a will, though a will may be part of it. A plan is a set of decisions and agreements made while people are able to discuss them.

A farm transfer has three parts that people often mix up: management, which is who makes the daily decisions; ownership, which is who holds the title; and income, which is who gets paid. A plan may move each part on a different timetable.

Why start early?

Waiting until illness or a crisis leaves families with hurried decisions, hurt feelings and costly choices. Extension programs that help farm families with succession often recommend starting conversations years before the change.

Starting early also gives a younger person time to learn the work, build skills and decide whether they want to farm at all.

A successor may be a child, another relative, an employee or someone outside the family. Each case works differently, and being clear about which one you mean helps the discussion.

• Pick a calm time to begin.
• Agree that the first meeting is only for listening.
• Write notes and share them with everyone.

How do you have the conversation?

Begin by asking what each person wants, not what they should do. Ask about the farm, about money, about time, about retirement and about what matters most.

If talk is difficult, consider a neutral facilitator such as an extension educator or a farm family counselor. A guided process, with written worksheets, helps people say what they have not been able to say.

Keep the first meetings short and avoid trying to settle everything. A series of calm conversations works better than one marathon that ends in an argument.

Who should be involved?

Include the people who will run the farm, those who will own it, those who depend on it for support and, where appropriate, family members who will not farm but will inherit. Spouses and in-laws often hold important views.

Plan to include your lawyer, a licensed tax professional, an insurance agent and a lender. Each handles a different part, and each should know the others are involved.

If a family member lives far away or does not wish to farm, keep them informed. Silence often causes more conflict than a hard truth shared kindly.

What is the difference between fair and equal?

Families often struggle when one child farms and others do not. Giving everyone the same share of land can break the farm into pieces too small to work, while giving it all to one person can feel unfair to others.

There is no single answer. Some families use a mix of ownership, payments over time, other assets or rental arrangements. A lawyer who works with farm families can explain the options under your state's law.

• Talk about what fair means to each person.
• Think about the farm as a business that must survive.
• Write down any agreements.

What documents and decisions come up?

Typical topics include wills, trusts, ownership structure, business agreements, insurance, powers of attorney, health care directives and how loans and leases will be handled. These are legal and tax matters, and you need a licensed professional.

Rules about taxes, inheritance and transfers differ by state and change over time. Do not rely on stories from neighbors or on what worked for another family.

Powers of attorney and health care directives matter even if the farm is not changing hands soon, because illness can come first. Keep copies where family members can find them.

• Wills and estate documents.
• Business structure and agreements.
• Insurance and health care directives.

Where can you find help?

Extension programs in several states offer succession workshops, workbooks and counselors. The University of Wisconsin and Purdue publish guides, and your own state's extension office may have similar help.

Start by calling your county extension office and asking what is offered. Then book a meeting with a lawyer experienced in farm transitions and a tax professional.

Gather your own information before the first meeting: a list of assets, debts, leases and key people, and a short statement of what you want. A professional can do more with an organized folder.

Last reviewed: November 12, 2026. Written by the Rural Farm Life Editorial Team. See our editorial policy.