Preserving Our Heritage - Farmland Retention
SMIF's Preserving Our Heritage program provides a means of giving that preserves one of the greatest natural assets of southern Minnesota: farmland. SMIF retains the gifted land as an asset, allowing it to continue to be farmed. And your land provides a lasting legacy for the community and region.
- Farmland retention represents an opportunity for rural philanthropy
- Farmland retention is a tool for landowners, especially those without an heir, as a way to continue supporting the charities near and dear to them
- Keeps land locally-owned and functional as farmland, providing a lasting legacy to the community and region
- $7 billion in wealth is set to transfer in SMIF’s 20-county region by 2030, much of this in the form of land.
- Estimated current value of farmland in south central and southeastern Minnesota is $50 billion.
- The average age of farmers in our region is 55 years and climbing.
- For every six farmers 65 or older, there is only one under 35 years old in line to replace them (2012 USDA Ag Census).
- You are able to make a long-lasting impact on rural Minnesota.
Choose to benefit the region, your local community or a cause you care about
- Regional benefit: Put a donation toward SMIF's general endowment, Youth Trust Fund, or Entrepreneur Fund to benefit the 20-county region of southern Minnesota.
- Community benefit: If your community has a local community foundation managed by SMIF, land assets can benefit those local charitable purposes.
- Pick a cause: Set up a Donor Advised Fund to allocate resources to your different interests and values, whether a portion to your place of worship, alma mater, or community fund.
How it Works: You Decide
- Retain as farmland: Have SMIF manage farmland after passing; annual rental income will fulfill charitable wishes of the donor.
- Sell land: Allocate all or portion of assets earned to SMIF's endowment, local community foundation, or Donor Advised Fund.
- Donate now: Keep farming or renting and retain rental income for life. Donor receives immediate tax deduction on charitable portion of the gift.
- Include in estate plan: Land is bequeathed to SMIF after passing.
Hear Tim Penny discuss the program on the Brownfield Ag Network with Mark Dorenkamp.
Read Tim Penny's op-ed about capturing philanthropic wealth in rural communities.
Read Tim Penny's op-ed about preserving our farming heritage and investing in the future.