University of Maryland Extension

Farm Stress Management Articles

Valuing On-Farm Heir’s Sweat Equity Is Complicated: Agreements Can Fairly Compensate On-Farm Heirs             Determining the value of sweat equity can be both challenging and controversial for farm families. Sweat equity arises as an issue when an on-farm heir receives payment at below market rate, and the farm business grows in size due to an on-farm heir’s below-market labors. Land in the farm may also appreciate in value due to the work of the on-farm heir.
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