Old farmers don’t die; they just go to seed

Who is the oldest active farmer you know? Do you know any situations where the older generation has retained control so long that the upcoming generation has never had a chance to become much more than an employee?

Some farmers are still going strong as they approach 80. Others have had enough of the stress and risk and are happy to exit at 50 or 55.

It’s interesting to visit with folks having retirement auctions. These aren’t usually in-person events anymore, but if you buy something you get to visit when you pick up your purchase. In most cases, these are farms not be passed to the next generation.

One retiring farmer told me about his wife become very ill and that was the deciding factor for packing it in. Another had a breaking point during harvest. He was tired of trying to keep everything running and just wanted to quit. For yet another producer, he accidentally let his Class 1A driver’s licence lapse and not being able to drive the semi was going to be a major problem.

I don’t know where the time has gone, but I’m only a couple years away from 70. I’m still relatively healthy, but some of the physical tasks aren’t as easy as they used to be. How many years of reasonable health do I have left? How long before I can’t farm or the will to farm fades? No one can cheat Father Time forever.

Like a lot of people my age, I struggle with the latest technology. My equipment is far from new, but with every equipment upgrade comes a learning curve. Younger members of farm teams are the ones most likely to accept the challenge of the computer software that’s increasingly central to newer machines.

Farmers who quit cold turkey don’t usually have family members to continue the farm. Those with a transition plan to the next generation tend to retire gradually. They still want to be involved and there are tasks they like to do, but decision making is increasingly in the hands of the “kids.”

Old farmers aren’t typically comfortable talking about or even acknowledging their feelings, but emotions can be a big part of the retirement hurdle. If you’ve been a farmer all of your adult life and that’s what has consumed your time and energy, who are you when you retire?

Suddenly, there’s no purpose and your commonality with friends, neighbours and relations is dramatically altered. Some are happy to have the freedom to engage in other adventures, whether that be travel or just spending more time with grandchildren, but many find it hard to turn the page in their life story.

People in the financial world try to inject a sense of urgency into farm transition with statistics pointing to over $50 billion in farm assets that are likely to change hands in the next few years. As well, supposedly 88 per cent of farms have no formal, written succession plan.

Statistics about the ageing farm population are often quoted. However, for as long as I can remember, the average age of farmers has been around 55. This isn’t a new development.

What has changed is the value of farms, particularly the value of land. Non-farming children see the value of their parent’s assets. Farming children want to keep the farm viable. Families don’t always get along at the best of times. Succession planning can worsen family rifts and/or create new ones.

Complicated tax rules necessitate advice from accountants and lawyers. The prospect of a huge tax bill can be a show stopper, delaying or derailing succession plans. Inaction can be the easiest path leaving the younger generation in limbo.

So, there a lot of reasons why farmers often keep going well past normal retirement age.