The First 30 Days After a Farmer Dies: What Minnesota Farm Families Need to Know

When a farmer dies, the estate plan shifts from preparation to administration. The documents are signed. The intentions are clear. But now the practical questions begin: Who has authority to act? How do we access accounts? What needs to happen immediately?

For Minnesota farm families, the first 30 days are critical. Decisions made during this window affect probate, estate taxes, farm operations, and long-term family relationships. Unlike a typical estate, a farm estate often includes operating entities, farmland, equipment, grain inventories, and ongoing business obligations. The operation does not pause.

Authority Changes Immediately at Death

One of the most common misunderstandings involves the power of attorney. Many families assume it can continue after death. It cannot.

Under Minnesota law, a power of attorney automatically terminates the moment a person dies. From that point forward, authority must come from a different source:

• A trustee, if assets are held in trust
• A personal representative (executor) under a will
• A surviving joint owner
• A named beneficiary or payable-on-death (POD) designation

While the same individual may serve in multiple roles, each role carries different legal authority. Understanding which “hat” someone is wearing is essential to moving forward correctly.

Bank Accounts and Cash Flow

Cash flow is immediate and practical. Farms still need to pay employees, suppliers, operating loans, and input costs.

If an account is jointly owned, the surviving joint owner generally continues operating it without interruption. If there is a valid POD or beneficiary designation, the funds can usually transfer outside probate with a death certificate and required paperwork.

However, if there is no joint owner and no beneficiary designation, the account will be frozen.

In limited cases, a small estate affidavit may allow access but only if total probate assets are under $75,000 and at least 30 days have passed since death. If the estate exceeds that amount, probate will be required. When probate is necessary, filing promptly is usually the best course of action so the personal representative can obtain legal authority to administer the asset.

Understanding the Will and Trust Structure

Many farm families utilize trust-based estate plans. In those situations, the will is often structured as a “pour-over will.” This means that if any assets must go through probate, the personal representative gathers them and transfers them into the trust.

Once assets are inside the trust, the trustee can:

• Open a trust checking account
• Pay final bills and administrative expenses
• Address estate and fiduciary taxes
• Carry out the distribution plan

Even with a well designed trust, the early administrative steps matter.

Gathering Financial Information Early

The first 30 days are the ideal time to collect date-of-death financial statements. This includes bank accounts, investment accounts, loan balances, operating lines, and business entity financials.

Even though an estate tax return may not be due for nine months, accurate reporting begins with early organization. Gathering documentation immediately reduces stress later and provides flexibility for planning decisions.

Ordering Farm Appraisals

Farm estates frequently require professional appraisals of farmland, buildings, equipment, or business interests. Ordering appraisals early provides clarity about the estate’s value and potential tax exposure.

This information can influence important decisions, including deductions, elections, and trust funding strategies. Waiting too long can delay planning and limit options.

Coordinating the Professional Team

Farm estate administration often requires a coordinated team. Not only will you need an experienced farm estate attorney, but you may also need:

• A CPA for final income tax and fiduciary filings
• An appraiser
• Financial advisors

There may be a final individual income tax return, as well as fiduciary income tax returns for the estate or trust. Even families who handled their own taxes during life often benefit from professional guidance after death.

Communicating with Beneficiaries

Transparency matters. In Minnesota, beneficiaries generally have 120 days to object to a trust after receiving proper notice. Providing notice protects the estate plan and creates a clear timeline.

While some families prefer to keep estate details private, early communication can prevent misunderstandings and reduce the likelihood of disputes.

Why Farm Estates Require Special Attention

Farm estates are different from traditional estates. They involve high value assets, limited liquidity, and ongoing business operations. They may also involve both on farm heirs and off farm heirs, creating additional complexity.

Balancing operational continuity, tax efficiency, and family harmony requires careful planning especially in the first 30 days.

Moving Forward with Clarity

The first month after a farmer dies is about establishing authority, securing access to assets, organizing financial information, and setting the estate on a steady course. Early action and experienced guidance can make a meaningful difference in both the financial outcome and the preservation of family relationships.

For more than 50 years, Wagner Oehler, Ltd. has worked with Minnesota farm families to protect their land, their legacy, and the next generation. The right guidance in those first 30 days helps ensure that a lifetime of work continues with stability and purpose.

Take the Next Step

To learn more about estate planning, keep an eye on our Events page located at: https://www.wagnerlegalmn.com/events/

If you’re ready to start being proactive about your estate plan and want guidance tailored to your family, assets, and goals, contact Wagner Oehler, Ltd. to get started.

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