Cattle Passion/Money

[dieselbeef]

No theories here. Its what happened.

I'm sure if you would of sold most of your herd at / near the peak you would of made out pretty well.

My point being, most of our herds are comprised of heifers we kept. Meaning the profit is in the asset. Like CB said, an asset is a liability until it's sold.

i'm not sure what your point is? Not to have any assets?

so after ya sold yer herd how do you make money..someone giving ya free cows to start over..or...

 

[Bigfoot]

No theories here. Its what happened.

I'm sure if you would of sold most of your herd at / near the peak you would of made out pretty well.

My point being, most of our herds are comprised of heifers we kept. Meaning the profit is in the asset. Like CB said, an asset is a liability until it's sold.

i'm not sure what your point is? Not to have any assets?

No, I'm not saying that all (nor being trite). Just saying, a lot of capital is tied up in the cow. Release the asset, and the expense goes away. I didn't want the new guy to think he can arbitrarily buy some cows, keep them a while, sell them, and make some money.

 

[RanchMan90]

Most people live in hope of discovering a small small change, like parting your hair on the other side that will make them rich. Big changes in financial circumstances require big changes in thinking and operations. ~ Tom Peters

 

[backhoeboogie]

This is actually my favorite subject on here, that always seems to reinvent itself. Most of the others I grow tired of. Some people are in the: 2 bags of mineral, 5 rolls of hay, and a pound of staples club. If that's what they think they are spending, they're making money hand over fist. I leave a couple of hundred dollars in town every time I go. Bottom line is, it all adds up.

The real money here is in paying their upkeep they pay the taxes.
After all expenses are paid they make about a 100 bucks profit per head.
If you really want to know start their own checkbook.

We keep talking about this year after year, but things don't change much !

Getting deep in the black one year is good. I just don't wanna be deep in the red.

The cows made land payments. The land built a lot of equity. I outsourced a whole bunch of cows and took their land and sold it. Uncle Sam was extremely proud of me.

 

[K5PWB]

https://www.youtube.com/watch?v=2nk8-MqnHlw

 

[hurleyjd]

The ideal asset is one that puts a check in the mail box every three months without any effort on your part. All other assets that you have to work your azz off are in my opinion non-performing assets.

 

[dieselbeef]

The ideal asset is one that puts a check in the mail box every three months without any effort on your part. All other assets that you have to work your azz off are in my opinion non-performing assets.

:clap: I like yer way of thinkin :tiphat:

 

[RanchMan90]

The ideal asset is one that puts a check in the mail box every three months without any effort on your part. All other assets that you have to work your azz off are in my opinion non-performing assets.

:clap: I like yer way of thinkin :tiphat:

Me too. Where do I sign up? :tiphat:

 

[Caustic Burno]

i bought my heard in '12 then sold 80% of them in '15. I made about 80k profit off of that move.

Lots of money to be made.

In theory, couldn't we all sell out, and generate revenue, and make some good money.

You are dead on according to the county my place has a very high dollar evaluation. That is the old saying land rich but dirt poor .
It is nothing but an liability unless liquidated.
The only true asset you have today is what is in your bank account.

 

[hurleyjd]

The ideal asset is one that puts a check in the mail box every three months without any effort on your part. All other assets that you have to work your azz off are in my opinion non-performing assets.

:clap: I like yer way of thinkin :tiphat:

I have bought and invested in stocks for the last twenty so years. Have Vanguard accounts for all. Roth which generates most of the dividends. I buy stock that everyone warns against, especially the big investment banks opinions. Pick a few that pays good dividends. I like Ford, AT&T, Philip Morris, ALTRIA GROUP INC, Duke, XCEL ENERGY INC to name a few. Some I have lost big in but the winners or more than the losers. Both my wife and I worked at some good companies put as much in the 401k as possible for the company match. Never checked any out. Also we have bought saving bonds only bonds we own and they are now maturing. I try to invest for dividends and pensions and such to generate at least $350 dollars a day. No effort on my to collect these each day. Now the farm eats up quite a bit of this money. I am to the place I need to liquidate all land, cows and equipment. Turn a good bit over to the kids to make their life easier.

 

[RanchMan90]

Can't beat that. I think you can have 2 out of 3 at the same time of cattle, passion, and money. But never all 3 at once :2cents:

 

[dieselbeef]

nice plan...ill do ok with my pension and retirement as well. got 15 more yrs to wrok too. itll be a good retiremet if im in good health. Gage will have it all if he wants it. if he don't..well he can liquidate it for cash and wont hafta worry about his retirement either...

 

[D2Cat]

The ideal asset is one that puts a check in the mail box every three months without any effort on your part. All other assets that you have to work your azz off are in my opinion non-performing assets.

The only way I know of to get something without any effort on the receiver's part is Welfare or something falling off the family tree!

 

[ddd75]

My point being, most of our herds are comprised of heifers we kept. Meaning the profit is in the asset. Like CB said, an asset is a liability until it's sold.

i'm not sure what your point is? Not to have any assets?

so after ya sold yer herd how do you make money..someone giving ya free cows to start over..or...

i kept 23 of the best cows in my herd. I kept all the heifers off them and now they are calving. I also bought more top quality cattle for about 70% less then what I sold mine for. I only have around 35 head brood right now plus all last years calves. but I also had to convert my new farm from crops to grass.

 

[talltimber]

'12 and '15's don't come around very often.

 

[RanchMan90]

To make a profit you must learn to move in opposition of the current market situation.

 

[TCRanch]

Can't beat that. I think you can have 2 out of 3 at the same time of cattle, passion, and money. But never all 3 at once :2cents:

Never say never. All 3 are quite possible, contingent on how many cattle and how much money is "enough". "Enough" is subjective.
:2cents:

 

[herofan]

I appreciate the responses. This is just another one of my behavioral psychologist threads. I like knowing what makes people tick, especially in comparison to me.

Personally, I don't think I'm "passionate" enough about any big-time venture to do it with little or no gain. I can understand somebody running a few head on 10 acres because they "enjoy" cattle, but I can't fathom breaking my back everyday with a big operation for no profit; I guess that just wouldn't make sense to how my brain functions.

I know that "work" has changed a lot with modern equipment. When I was a kid, I'm pretty sure my grandfather liked the farm and his cattle, but I never heard anyone refer to it as a "passion."

I had a great uncle who farmed, and I heard him say several times that people who say they like work aren't working too hard. Of course, he was comparing himself to the relatives who worked in an office and said they "loved their work."

 

[Jogeephus]

Watching pine trees grow is boring, and they have a poor flavor at best.

Ole Euell Gibbons said pine nuts were good to eat. :lol2:

 

[BK9954]

This is actually my favorite subject on here, that always seems to reinvent itself. Most of the others I grow tired of. Some people are in the: 2 bags of mineral, 5 rolls of hay, and a pound of staples club. If that's what they think they are spending, they're making money hand over fist. I leave a couple of hundred dollars in town every time I go. Bottom line is, it all adds up.

Isnt that the case, from weed killer, trailer parts, fence repair, heck gas going to and from town, vet, auction etc... adds up quick.... If it were just hay and mineral I would be great . When it becomes or feels like work I will probably get out of the business.... I could make a lot more money on my days off hauling junk with my trailer or doing landscaping on the side but cattle make me happy, brings good memories of my brother and grandfather who have already passed on but ran cattle as well, its like family.