PS. 1 A Plan for the Future—Five Documents to Protect You and Yours

The purpose of an estate or succession plan is to ensure your wishes are carried out during your life and after you pass away. An estate plan includes legally binding documents and may also include non-binding instructions. A simple plan includes these key documents:

1. Will: A formal legal document providing written instructions for how your estate will pass after you die, and who will care for minor or dependent children. Writing a will that directs all of your assets to a trust is a way to ensure your estate will be administered with the least fees and administrative burdens.  
2. Trust: A special legal document that can be used during your life or after. It is a legal way that property is owned and includes written instructions on how that property is to be used. When a will leaves everything to your trust it simplifies the administration of the estate, avoids unnecessary fees, and keeps your information private.  
3. Medical Power of Attorney: A formal legal document authorizing someone to make medical decisions on your behalf if you cannot.
4. Financial Power of Attorney: A formal legal document authorizing someone to make financial decisions on your behalf. A power of attorney may be temporary, for example during an illness, or may be made permanent if you become permanently incapacitated.
5. Contractual Agreements: Contracts are legally binding agreements for things like asset sales, land leases, or services.  
6. Non-binding Instructions and Agreements: Instructions and informal agreements can be invaluable in helping your family and key employees act on your wishes.

Next Steps and How to Get Help

1. Work with a Mediator: A mediator is a trained impartial facilitator who can help you hold family meetings and ensure everyone is aligned around a shared vision for you and your business. Most states have an agricultural mediation program that receives federal funding and may provide some services free of charge to qualified farm or ranch families. In California the program is called the California Agricultural Mediation Program (CALAMP). Residents of other states can find a program through their local USDA Farm Service Agency office.
2. Consult an Attorney: You should consult an attorney to create formal legal documents (Will, Trust, Medical Power of Attorney, Financial Power of Attorney, contracts intended to survive your death). The attorney should be licensed in the state where you live and do business and should specialize in general practice or estate planning. The agricultural mediation program in your state may be able to help you find an attorney. 
3. Create Written Agreements: Work with your family and your attorney or mediator to create written agreements about what you want for yourself personally (medical, end of life, and final instructions) and what everyone has agreed on for the land and business. 
4. Write Detailed Operating Instructions for Your Business: Create a complete operating manual with clear instructions for all the relevant operating information for your business. Ensure that someone has the training to accomplish every critical task in the event of your absence, and ensure that someone has the legal authority to act on your behalf if needed.