Friday, February 27, 2015

Free Estate Planning Classes in the Golden Triangle!

Estate Planning Classes
in the Golden Triangle Area

Marsha A. Goetting, Ph.D., CFP, CFCS
Extension Family Economics Specialist
P.O. Box 172800
Bozeman, MT 59717-2800
phone: (406) 994-5695 fax: (406) 994-4838
E-mail: 
goetting@montana.edu 
Marsha A. Goetting is a Professor and Extension Family Economics Specialist at Montana State University in Bozeman.
She has presented over 800 workshops reaching over 25,000 Montanans with financial and estate planning information. She has also authored over 75 MontGuides and bulletins and has received national, regional, and state awards for her financial management and estate planning programs.


An Extension Directory can be found here.

March 9, 2015 - Teton County 

Transferring Your Farm or Ranch to the Next Generation
·         Stage Stop Inn
1005 Main Ave N
Choteau, MT 59422
·         Noon-1:30 p.m.
·         FreeRegister by contacting MSU Extension in Teton County 466-2491 or click here to email to register!

Individual or Family Financial Consultations (30 minutes each)
·         Stage Stop Inn
·         2:00-2:30 p.m., 2:30-3:00 p.m., 3:00-3:30 p.m., 3:30-4:00 p.m., 4:00-4:30 p.m., 4:30-5:00 p.m.

Estate Planning
Think You Know Who Receives Your Property When You Pass Away?  Think Again …
·         Stage Stop Inn
1005 Main Ave N
Choteau, MT 59422
·         6:30 p.m.-8:30 p.m.
·         FreeRegister by contacting MSU Extension in Teton County 466-2491

March 10, 2015 – Choteau
Individual or Family Financial Consultations (30 minutes each)
·         Stage Stop Inn
·         8:00-8:30 a.m., 8:30-9:00 a.m., 9:00-9:30 a.m., 9:30-10:00 a.m., 10:00-10:30 a.m.

March 10, 2015 - Toole County

Estate Planning
·         Sunburst Library
Sunburst, MT
·         1:30—3:30 p.m.

·         Comfort Inn of Shelby
455 McKinley
Shelby, MT
·         6:30 p.m.

March 11, 2015 - Liberty County

Estate Planning
Steps everyone can take to simplify estate planning and gift giving
·         Sweetgrass Lodge
511 1st St. W.
Chester, MT 59522
·         6:00 p.m.

March 12, 2015 – Blackfeet 

Estate Planning
Why everyone needs a will..what happens if you don’t have one”
·         Blackfeet Tribal Conference Room
Browning, MT 59417
·         1:00-3:00 p.m.
·         Contact the Blackfeet Extension Office for more information at 338-2650

March 12, 2015 – Glacier County

Estate Planning
·         Glacier County Courthouse Annex
Cut Bank, MT  59427
·         6:30 to 8:30 p.m.
·         Free—Please pre-register for material at 873-2239 or click here to register via email

March 13, 2015 – Blaine County

Estate Planning
·         Montana Seed Show
Harlem High School
Harlem, MT
·         10:00 a.m. - Noon

* Marsha Goetting will also be presenting on Credit Card Smarts to the 6th graders at the Chinook Meadowlark Elementary that afternoon.

Tuesday, February 24, 2015

Transferring Your Farm or Ranch to the Next Generation

I follow a blog written by Katie Bangs, and while I’ve never met her, I feel like I know her.  I know her husband, as I used to be his babysitter.  Katie and her husband, Jeff, are back helping run the family farm in the north Joplin country where I was raised. I very much enjoy her blog, Prairie Ponderings:  The Fullness of an Open Land, as the blog is rich with agriculture and pictures of a landscape I love. 

Her recent post on her designated “Thankful Thursday” was about gratitude in the workplace.  Here is an excerpt:

“On a farm, our coworkers are often our family. Sometimes being around family 100% of the time is more difficult than being around coworkers who aren't related to us. Why? It is so easy to take for granted that our family members know that we love and appreciate them for who they are, let alone the hard work they may be putting in on the farm. We forget to actually verbalize our appreciation and thanks for family members’ contributions because they already know we love them, right? … Recently, Jeff and I were invited by his parents to attend their annual meeting with their accountant and their lawyer. We were asked to attend because we are continuing the ongoing discussion of transition. What will the future look like as the parents transition away from farming full time and Jeff and I take over? There are a lot of financial and legal considerations to ensuring the transition process runs smoothly.

We all spent quite a bit of time discussing options and weighing pros and cons, both legal and financial. I'll readily admit that some of the jargon was over my head, but what really struck me was the overall atmosphere of the meeting was one of mutual respect and gratitude for one another. I felt lucky to be in a family where it is possible to sit down at a table as four people involved in a family land transition, with everyone feeling like their voice could be heard. No arguments occurred, and everything really went very smoothly. This is not always the case in family farm transition talks. Even the lawyer and accountant admitted by the time our meeting was over that the whole thing went very smoothly and they had both been in meetings like this that had gone much, much worse.”

Katie’s post had me thinking about all the complexities of transferring a farm or ranch to the next generation.  She is definitely right that not all families handle matters calmly and thoughtfully.  For some, different family dynamics and structures add to the complexity of transferring an ag operation, especially when more than one adult child wants to be part of the family business.  Dividing a farm or ranch in a way that seems equitable is certainly not as easy as dividing savings accounts or life insurance proceeds.

There are also the complications of control and decision-making.  It can be a unique challenge to have your mom and dad be the bosses in your workplace, especially if you’ve worked the place every day for the last several decades.  In addition to the relational considerations of the day-to-day operations of a family farm, there are the legal and tax consequences related to a potential transfer.  Add to the mix generational differences, throw in some family baggage and you have potential for a family implosion.  Unfortunately, many people expect so much unpleasantness that they avoid the subject all together, which seems like poor business planning.  Most businesses are constantly looking to their future and planning for the sustained success of a business.

Whether you anticipate a smooth or bumpy transition on your farm or ranch, it is definitely worthwhile to spend a bit of time learning, planning and communicating about an eventual transfer.  To help you get started, we are pleased to have Dr. Marsha Goetting, MSU Family Economics Specialist, in Teton County on Monday, March 9 presenting classes and taking appointments at the Stage Stop Inn.  She’ll present, “Transferring YourFarm or Ranch to the Next Generation” from noon-1:30 p.m. An evening program, “Think You Know Who Receives Your Property When You Pass Away?  Think Again …” will be presented from 6:30-8:30 p.m.  Register for the free classes by contacting MSU Extension in Teton County at 466-2491.  Each session will be different and filled with information useful to families regardless of their ages or financial circumstances.

In addition to the two classes, Goetting will be taking appointments with families or individuals to discuss financial and estate planning.  Goetting has a wide breadth of knowledge in many areas of financial planning, from basic budgeting to charitable distribution of multi-million dollar estates.  Each appointment will be 30 minutes in length, filled on a first-registered basis.  Goetting’s primary goal with these sessions is to learn about people’s situations and educate them about options and resources.  No legal advice will be given.  The sessions are also provided free of charge.  Six one half hour sessions are available on Monday, March 9, staring at 2 p.m.   An additional five sessions are available Tuesday, March 10 starting at 8 a.m.
For all the dedication most farmers and ranchers have to growing and maintaining their operations, it just makes sense to invest some time in planning for the future – not only of the farm, but of the families who live there.  It also couldn’t hurt to follow Katie’s advice and let the people you work with know that you appreciate them – from the person on night shift calving, to the person who makes sure there is grub for the crew to the one fueling the tractor for seeding.  Sowing little expressions of gratitude can reap a bountiful harvest. 





Tuesday, February 17, 2015

Will You Be My Friend Forever?

Since we’ve been talking about Valentine’s, I’ve been thinking about mine.  I remember when my husband proposed to me.  In his typical fashion, it was meticulously planned, exceptionally romantic and highly rehearsed.  I wonder how many of you believe me.  Actually, it went like this:  He was about to go meet some of his buddies, but had stopped by my house.  He kept playing with something in his pocket.  I noticed the fidgeting and said, “What are you doing?”  He pulled out a ring box and shoved it toward me, and then said he was late and had to leave.  Still makes me smile, and laugh.  I was a little shocked, so when we talked about it later, he said the sweetest thing to me.  “I just want you to be my friend forever.”  I’m glad I married him, but I realize not all friends get married.

Some couples choose to forego marriage for their own reasons, but may be a couple for years.  Often we think of these people as “common law” spouses.  However, “common law marriage” has special considerations with estate planning, which is why Marsha Goetting, MSU Extension Family Economic Specialist has just released the new MontGuide, MontanaCommon Law Marriage and Estate Planning.   A common law marriage is one formed without a license and solemnization by clergy, judge or public official with powers to perform marriages.

Often, we hear that people are common law married if they have lived together a certain number of years, but that is not true.  Most of the time, a person wouldn’t have to prove whether they were common law married or not, but when settling an estate they may have to “prove” they are indeed the “spouse” to receive certain benefits or property.  The first point of proof is that both people were competent to enter a marriage.  Of course, some limitations and exclusions apply, such as not being related to each other and not being married to someone else.  The situation must be mutual.  The two people must express their intent to be married to each other (whether any form or ceremony existed or there are any witnesses).  The Affidavit of Common Law Marriage form found on the Montana State Law Library website.  Also, if they want to declare themselves married, they can file a Declaration of Marriage without Solemnization to officially record the marriage.  In Teton County, the Clerk of Court has samples of the declaration and the filing fee is $53.  (Quite a bit less than a wedding!)

he mutual consent can also be implied by the conduct of the two people.  The last way to confirm a common law marriage is by cohabitation and public repute.  While living together is one element considered by the courts, it is not the determining factor.  There is a list of ways that courts determine whether a couple has represented themselves publicly as married.  Just a few ways include completing forms or documents with a signature line for “spouse,” filing joint taxes or exchanging rings.  If a couple wants to document a common law marriage, they can do so by completing an

You might wonder why verifying a common law marriage matters.  In cases of settling an estate, it can matter a great deal.  We will consider just one example provided in the MontGuide:  John and Mary had lived together for 15 years.  When John died, he had a $2 million ranch.  Let’s say John had the land titled in his name only.  He wrote a will leaving the ranch to his children.  In Montana, a person cannot completely disinherit a spouse.  If Mary proves a common law marriage, she could be entitled to up to half of John’s estate. 

Couples who decide to live together need to understand the ramifications of their decisions.  If they don’t want to be considered married, they should be careful not to represent themselves in such a way that could be legally considered as married.  There are legal implications with how estates are settled involving marriages.  Common law marriages have estate consequences for the couple and any family members. 


As with all situations, people should review their estate planning goals and make sure their contractual arrangements and wills match with their intentions.  As one way to review, you  may want to attend one of several of Goetting’s classes around the Golden Triangle area starting March 9 in Teton County.  Watch for details next week on topics and locations.  When it comes to estates and finances, it seems to me that things tend to work out best when they are planned and well thought out.  Although, every once in a while something less than meticulously planned will work, too.  But maybe you’d better ask my husband about that.   

Tuesday, February 10, 2015

What WILL you give your Valentine?

Last week, we talked about your Valentine’s plans.  I suggested taking care of those you love is a good plan this month – and not only with a box of chocolates or a greeting card.  One way to take care of those you love is to review your estate plans.  If you don’t have a will, learn the Montana laws of intestate succession.  If you do have a will, review and update it this month.  In either case, one of the truly important aspects to understand is that contractual arrangements take priority over wills. 



When people die, their property gets transferred to those still living.  There are three methods by which this happens:  contractual arrangements, written wills or Montana intestate succession laws.  Contractual arrangements take priority over wills.  Marsha Goetting, MSU ExtensionFamily Financial Specialist tells of a time she was teaching an estate planning class.  A rancher came up to her following the class to discuss his situation.  His first wife had passed away and he had remarried.  He and his grown son were running the ranch.  It was his son’s livelihood (not to mention way of life).  In his will, he designated that the ranch would go to his son.  However, all the land was titled in joint tenancy with of survivorship with his second wife.  Guess what?  If he had died, the second wife would have gotten the ranch because of the joint tenancy contract.  Not the son who’d been working on it for 20 years.
 
Contractual arrangements you may want to review this month include life insurance and annuity policies; retirement accounts; employee benefit plans; revocable and irrevocable trusts; payable on death (POD) designations on checking/savings accounts, certificates of deposit, savings bonds; and transfer on death (TOD) designations for stocks, bonds and mutual fund accounts.  Make sure that your intentions for how, and to whom, you want to leave money and property match with how you have your accounts and property titled.  How your will is written will be secondary to these contractual arrangements.

If you have minor children (under age 18) who are named as beneficiaries, Montana law has special provisions for how assets can pass to them.  A conservator will need to be appointed to manage money or property until the minor reaches the age of majority.  A trust could be established with provisions, or assets could be transferred to a custodial account with an appointed custodian to manage the assets, until the child reaches age 21 or older.  You can read about more details and circumstances in the MontGuide, Designating Beneficiaries through Contractual Arrangements. 

As you review your situation, you may develop some questions.  Fortunately, Goetting will be in Teton County on March 9 sharing her expertise with a class on estate and financial planning, Think You Know Who Receives Your Property When you Pass Away?  Think again... The class will be held at the Stage Stop Inn from 6:30-8:30 p.m.  To register for the free class, contact the MSU Extension Office in Teton County.  As well, Goetting will be available to teach a few other classes or hold individual consultations (no legal advice given). Goetting is skilled in many areas of financial and estate planning.  Instead of my deciding what to have her teach, I’d like to hear from you.  Let us know this week if you have topics that are of interest. 


For Valentine’s, in addition to the cards and chocolate, set aside some time to take care of those you love by reviewing your contracts, your will, or Montana laws to make sure your intentions are in order – and, mark your calendars for March 9 for the estate planning class.  Also, since it is Valentine’s Day, think about writing a love letter to leave with you your will, funeral file or estate plans.  It would be nice for your beneficiaries to not only to have your assets, but a reminder of your undying affection for them.

Tuesday, February 3, 2015

Dedicated to the Ones You Love ...

In our home, Valentine’s Day is an important celebration.  Not so much for the sake of Valentine’s Day itself, but because it is my sweetheart’s birthday.  Have you thought about what you will give the ones you love for Valentine’s?  You could choose the typical flowers, perfume or cologne, a nice meal; but, what if you chose to get your affairs in order instead?  So often, we go through the busy-ness of life, and put off the really important tasks, like updating a will or double-checking beneficiaries on policies or checking how contractual arrangements are titled. 


This month, we will be talking about tasks necessary to protect and provide for the ones you love.  It can be the sweetest thing you can do for the loves of your life.  Let’s start with wills.  Do you have one?  If not, you should know the laws of intestate succession, which are the rules the state of Montana uses to distribute your property, if you haven’t created a will.  In the Montguide, Dying Without a Will in Montana: Who Receives Your Property, Marsha Goetting writes, “Although Montanan’s are quite conscientious about their property while they are alive, 70 percent of these same thoughtful people make no provisions for its management and distribution after their deaths.”  Even though the laws make sense for many people, they might not make sense for you.  If you’d like to use an interactive tool to see how your property would be distributed, visit www.montana.edu/dyingwithoutawill.


Just as an example, in my own situation, with a husband and two children between us, if I die, all goes to my spouse.  Nothing would go to my surviving parent, my mom.  Without a will, I would have to trust (and I do) that my husband would make good decisions regarding our finances, property and our children.  While our situation is fairly straight forward, there are numerous scenarios that exist in families. For instance, do you know if step children will be treated in the same way as biological children, if you die without a will?  If you have no children or no spouse, do you know what will happen to your property without a will?  If not, it is time to find out.  One thing we know for sure is that we all have an expiration date.  The only problem is that it isn’t marked on the outside of our cartons.  You might as well plan for it now, so your affairs are in order when it happens.  It is a great thing to do this month for the people you love  


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