1. Retirement and Estate Planning for Farm Families Sharon A. DeVaney, Ph.D. Purdue University & Marion Simon, Ph.D. Kentucky State University

2. Retirement planning… Some start too late Some save too little Some invest too conservatively So what should you do? Go to www.ces.purdue.edu/ces/farmriskmgt www.ces.purdue.edu/ces/farmriskmgt

3. Welcome

4. # 1 What is retirement? Determine your life expectancy. Determine your spouse’s life expectancy. How do you feel about retirement? Do a Benefits CheckUp.

5. # 1 What is retirement?

6. # 2 How should you plan for retirement? Are you eligible for Social Security benefits? Use calculators at Social Security website. Pension from off-farm employment? Individual Retirement Account Investments? Will you work part-time?

7. # 2 How should you plan for retirement?

8. # 3 How much income will be needed in retirement? Record expenses for a month or year List expected income for month or year Retirement Estimator for Farm Families Ballpark Estimate (American Savings Education Council)

9. # 3 How much income will be needed in retirement?

10. # 5 Small business retirement plans SEP IRA (Simplified Employee Pension Plan) –Employer makes a tax-deductible contribution SIMPLE IRA (Savings Incentive Match Plan for Employers) –Employee makes the contribution but there is an employer match

11. # 5 Small business retirement plans

12. # 6 Case studies Jane: small farmer, has credit card debt Mattie: retired teacher, farming, goals? Janet: CSA, age 70, no estate plan Mary: got a loan, bought ½ of farm, goals? Marie: goats and hunting, needs IRA

13. # 6 Case studies

14. # 15 Estate planning Discuss objectives with spouse/family List assets and liabilities Review how property is titled Find lawyer Resources: –Getting Ready for Estate Planning –Getting Motivated for Estate Planning –Who Will Get Grandpa’s Farm: Communicating about Farm Transfer

15. # 15 Estate planning

16. # 16 Native Americans and estate planning Trust land The Dawes Act Writing of wills Land fractionation A legal Indian will New American Indian Probate Reform Act

17. # 16 Native Americans and estate planning

18. Other pages # 7 Identity theft # 8 Financial management # 9 What is a debit card? # 10 What is a home equity loan? # 11 A financial checkup

19. # 7 Identity theft

20. # 10 What is a home equity loan?

21. More help # 12 Life insurance # 13 Health insurance # 14 Long-term care insurance # 17 Checklists for retirement planning # 18 Checklists for financial management # 19 Contacts and credits # 20 Resource links

22. Collaborators Kentucky State University Purdue University University of Arkansas Federation of Southern Cooperatives With funding from USDA Risk Management Agency Community Outreach Partnership Program