A large portion of the Australian farming community are farms that have been handed down through the generations and are often operated by siblings. Siblings who have been raised on the farm and who may also have children who will one day take over the operations, whilst others will venture off in different directions.

In many instances, the farm makes up the majority of the family assets.  So let’s ponder a couple of scenarios.

• Two brothers operating a family farm who are both married and have young children. What happens to the farm if one of the brothers was to die? This raises a multitude of questions:
  • Does the deceased’s wife continue in the farming business?
  • Does the deceased’s wife continue to live on the farm?
  • What happens if one of the deceased’s children wishes to become a farmer?
  • Can the farm be split?
  • How many families can the farm financially support?

• The family farm is operated by father and son. Two daughters are both married and live away from the farm. The father dies.
  • How is the estate equalised?
  • How do you ensure there is no sibling infighting or legal action over the entitlements to the family farm?

The farm is a significant asset and as mentioned has likely been handed down through family generations. However, an early death can bring this long history undone. That is, unless there is proper planning and strategies put in place.

Why not have a chat to one of our specialist advisers about your circumstances and how we can help you.