Download a printable version of the activity
How this helps you:
If you generate income and expenses from your woodland, this will help you with income tax reporting. It also will alert you to property tax programs for managed forest land, help you predict financial returns from forestry investments, and get started with estate planning.
Financial Analysis of Woodland Investments
- Read the section on Financial Analysis of Woodland Investments (PDF, pages 186 – 191).
- If you are managing your land with the intent to make a profit, then conducting a financial analysis of significant woodland investments (e.g., major tree planting or road building) is a good idea.
Follow the recommended Steps in a Financial Analysis (PDF, pages 187 – 191):
- Identify your objectives, potential projects, and level of involvement.
- Determine the schedule of activities for each project.
- Attach dollar values to each project activity.
- Discount values to the present.
- Make a decision.