As 2018 comes to an end, I have one concern on my mind. In the past month, I have had many farmers and ranchers that are just starting to work with me share some experiences that are weighing on my mind. All these producers have one thing in common, a parent/parents that did not want to work on an estate plan or take out a life insurance policy. Let me rephrase that, they did not start working on it until it was too late — a death happened the day before they signed the paperwork for the life insurance or the parent ended up in a nursing home before the estate planning started. Some people may see this as a sign of why these plans should not be discussed; I see it as waiting too long to take care of important business.

I have mentioned before I lost my mother at a young age, and it was devastating for my father. However, out of that tragedy, my father learned something valuable — to take care of his children. When he passed away many years later, he had ample life insurance and annuities, along with a funeral planned down to the songs and how we were to dispose of his estate. He remembered how hard it was for us to make those arrangements when my mother was killed, so he made sure his children did not go through that again.

After seeing the distress of the producers when plans are not made, I cannot stress enough that the older generation needs to get some plans in place. By planning, you are not telling God or your family you are ready to die. You are helping alleviate stress for your remaining family members after you are gone, which could be 50 years from now!

It is better to have a plan and not need it for many years, than to have to make decisions under duress.

I have heard producers state, “I don’t care after I am gone, it won’t be my problem.” That is not what I would call a loving way to take care of a spouse that has shared your life or children you have nurtured since birth. I will not say that estate planning is easy, but it is necessary. With the complexity of current operations, it is probably more important than ever.

If you are worried your children will fight about the plan, it is more important to bring in an experienced estate planner to work with everyone.

If you need to make an estate plan but don’t know where to start, give me a call. Part of what we do at the South Dakota Center of Farm/Ranch Management is help producers make connections with services they need. We can also help get finances in order, so the producer has essential information for making management decisions.

If any producer would like more information on how the South Dakota Center of Farm and Ranch Management can help your operation, contact me at 605-299-6762, email sdcfrm@mitchelltech.edu or check out our website at www.sdcfrm.com

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