COVINGTON, Ind. — For many people, the family farm is soon to be a thing of the past. 

As farmers age, many ask themselves who will take over their operation and how the process will work.

Farmers are among America’s oldest workers; the median age for farmers is 58-years-old. The average age has been growing rapidly for about 30 years, according to the U.S. Department of Agriculture’s Census of Agriculture.

Many families spend generations passing down their farms, accumulating wealth and aim to keep it that way. However, not all young people want to take on such a task. So looking outside the family is the other option next to selling the land to the federal government, according to Iowa State University’s Extension and Outreach.

Terry Branstetter, a 69-year-old farmer from Warriors Mark, Pennsylvania, decided to retire early and sell his farm in order to manage an impending divorce settlement. With a transition plan in place, he was able to auction his equipment off, and lease his farm.

Branstetter thanks his family, friends, and neighbors for helping him with the transition and difficult time in his life. “If you surround yourself with good people, good things will happen to you,” he said.

To help farmers better understand the transitioning process, The University of Illinois Extension and Purdue University Extension are collaborating to offer a Planning for the Future program. Participants will learn about common trends in succession planning, the common ways to transfer the two main types of assets, machinery and land, ways to transfer ownership: Outright sale, installment sale, gradual sale, leasing with option to buy, and gifting. Advantages, disadvantages, considerations, and examples of each is taught.

Ed Farris, Purdue Extension educator in Huntington County, said the team put this program together to help families with farm transfer decisions. “Only 28 percent of family businesses have named a successor. Our team understands the complex and challenging decisions with completing a plan for succession of a family farm,” Farris said.

There are many things to consider, such as the goals of the farm, descriptions of how the animals, machinery, building site, land, etc. will be transferred to the new farm owner. There’s also figuring out rates of compensation and benefits for both parties, such as time off and vacations. Another important part of the transition planning is developing an action plan in case of a death, divorce, or a life-threatening injury. Many little details go into a farm transition.

The Center for Rural Help offers young and beginning farmers help in breaking into the farming industry to combat the retiring population. An online program named Agtransitions helps farmers and ranchers develop a plan to transition their business to the next generation.

The farm transfer includes many steps and may take many years, but programs like Planning For The Future, and online help makes the process a little easier. 

The Commercial-News in Danville, Illinois, contributed to this story.