Succession Planning For Private Forest Landowners John C
- Slides: 22
Succession Planning For Private Forest Landowners John C. Becker Penn State University Park PA
Overview ► What will this presentation cover? ► Why this topic differs for private forest landowners. ► Getting the plan started and completed!
Describing you as a private forest landowner ► Your age ► How long have you owned your land? ► How much land do you own? ► Are you financially dependent on income from this land? ► Is land a significant portion of your “estate”? ► What are your goals for owning this land? ► What are your future plans regarding it
Succession planning is a mix of issues involving: ► Financial planning ► Family decision making ► Land stewardship ethic ► Family relationships
Succession planning is a key function! ► Transfer assets ► Develop the commitment to stewardship ► Contrast with inheritance ► Financial needs of all parties are addressed ► Applicable to landowners of all sizes
►Succession process planning is a
Key parts of the succession planning process are: ► Increased involvement of the succeeding generation; ► Demonstrated ability of the succeeding generation to meet the goals you set for your forest land.
Succession Obstacles ► Thinking with long term view ► Self interest ► Recognizing what people want to do with their lives ► Communication: Speaking as well as listening ► Decision making ► Control over key decisions
Timing the Land Transfer? ► Is land your retirement fund? ► What is your attitude about sharing control? ► We all know of examples of people who don’t want to let go of things they control ► Transfer land at the best time to do so.
Financing Retirement ► Social Security ► Investments ► Private retirement plans ► Sale of timber assets ► Sale of land; Other assets ► What do the last 18 months tell us about planning?
Family dynamics ► No retirement discussions with anyone ► Discussed with family ► Lawyer ► Accountant ► Consulting Forester or Advisor
Choosing your successor? § Generally a child is designated the successor § Successor generally working in another business § Treatment of other children or “heirs”?
Treat Children: Equal or Fair? ► Potential for Conflict. ► Options § Lifetime Sales § Purchase Option in a Will § Value the Contributions of Children § Life Insurance to non business heirs § Separate Assets among children § Form a new business; allow each child to own a share
Transfers After Death ► Through form of ownership § Spouses and non-spouses § Ownership forms ► To your intestate heirs § Who are your heirs? § The failure to plan is a plan itself! ► To heirs you designate § In a will or trust
Lifetime Transfers with Impact After Death ► Transfers to a Living Trust § Retained interest in the property § Trust Agreement/Trustee ► Transfer to a Charity § Charitable Trusts § Annuities, lead or remainder trusts § Easements ► Transfers ends. after a person’s “life” interest
Concept of a Conservation Easement ►A conservation easement is an agreement entered into between a land owner and either a government entity or land trust that restricts a property’s use to protect its conservation value.
Creation of Conservation Easements ► Express grant of an easement from landowner to easement holder. ► Easement is a non-possessory interest in the real property. ► Can apply to an entire parcel, or any portion or estate therein ► The easement holder must accept it before rights of enforcement arise
The Successor “ladder” ► Bottom rung: Allow the successor to make technical decisions: what to plant, what to harvest ► To make strategic planning decisions: when to harvest, additional land. ► To make financial decisions: sales, loans, financing ► Top rung: Control of all financial decisions.
Your Succession Plan ► Take a Hard Look at what you want to do with your forestland ► Evaluate Choices Available to You ► Identify Potential Successors or How to Find One ► Explore the Paths to Succession ► Identify Need for Assistance to Design the Plan ► Implement it. (Just do it!) ► Be Flexible if the Need Arises!
Succession planning will be successful when: ► People have compatible goals ► Both generations share stewardship skill ► Both generations are willing to make the plan work ► Families are engaged and understand the decisions that have been made
Questions
jcb 1@psu. edu
- Wealthy landowners in rome
- European landowners organization
- Ecological succession succession of a pond
- Ecological succession succession of a pond
- Board succession planning best practices
- Cipd succession planning
- Church succession plan template
- Succession
- Talent review chart
- Diversified succession plan
- Types of succession planning
- Cottage succession planning
- Succession planning definition
- Succession planning trends
- Talent review succession planning
- Succession planning guidance
- Iso 22301 utbildning
- Typiska drag för en novell
- Tack för att ni lyssnade bild
- Ekologiskt fotavtryck
- Shingelfrisyren
- En lathund för arbete med kontinuitetshantering
- Underlag för särskild löneskatt på pensionskostnader