PARKER, Colo. (RFD News) — Contributions to Trump Accounts are officially open, giving families a new way to save for children and grandchildren under 18.
Farm CPA Paul Neiffer joined us on Thursday’s Market Day Report to discuss how the accounts work and what they could mean for farm families.
Neiffer said families can contribute up to $5,000 per year without the child needing earned income, while employers can contribute up to $2,500 tax-free to the employee.
He also discussed the $1,000 federal contribution available for children born during the program’s specified years and an additional $250 from the Dell Foundation for qualifying areas.
Beyond saving for children, planning for the future can also mean deciding what happens to the family farm.
Analyst Mike Downey with UnCommon Farms says succession planning can feel overwhelming because producers may believe they have only one opportunity to get it right.
“There’s the adage out there that farmers, ranchers have 40 chances. There’s a book written 40 Chances. A lot of cases, I’m sitting across the table from people that have been farming for 50, 60 years; they’ve had 50 or 60 chances to get better every year at planting a crop or raising their livestock. I think there’s a perception or a fear that when it comes to succession planning, planning for the future, we just have one shot, one chance to get something right that we don’t have any practice at.”
Downey says succession plans can change as family needs and circumstances shift, allowing producers to start with a few concrete steps rather than figuring everything out at once.
