Is Cattle Farming solely your income ?

[Bigfoot]

I think it would be difficult to make a living off of cattle. I have 3 small children. Between them, and my household expenses, it takes a small fortune. I know we could live on less. I do three different things for a living. I plan on retiring in about 6 1/2 years. Looking forward to that.

 

[cow pollinater]

Cattle aren't my only income and never will be but there IS enough there that we'd be okay(not good but okay) if they were. The first year would be rough but after that we'd be okay.
I have two big problems with relying on one source of income. For one, your livelihood is dependent on cattle prices and they may or may not reflect your cost of living, and #2 is diversity is good for the mind as well as the pocketbook. When you get burned out on THIS, you shift focus to THAT and it keeps you motivated. Right now just about anything agricultural is making a bunch of money but there are a lot of years where diversity really smooths out the rough spots.

 

[kenny thomas]

I work 4 day weeks at my job and cattle farm 7 days a week. I go through a lot of money each year but about all the cattle do is pay for my toys. Guess I have too many toys. :cowboy:

 

[sim.-ang.king]

If you consider raising corn for my cattle to eat, and the "extra" sold for profit, than yes I do live solely off of my cattle. :lol:

 

[Aaron]

For 16 years, the dairy and beef cattle were our sole source of income. Mom got a job in '90 and will retire in a couple of years.

We got out of the dairy (cream shipping) in '93 and expanded the beef cows. Can it be done? Yes. Is it difficult? Yes. Every vehicle we bought back then was 'pre-owned' and we ran it into the ground. They are all still sitting out in the field. There was no internet, cell phones or satellite TV. Garden was huge and meals were very basic. Dining out was never an option. Travel was kept to a bare minimum. Education was the big goal that savings were put into and all 5 of the kids went to university.

Today, the beef herd is about 80% (pension and odd-jobs have to be factored in) of my father's and myself income. Mom has the off-farm job, because she enjoys (as well as we) having the finer things in life. A new addition to the house in '93, new vehicles, satellite TV, hi-speed internet and the ability to travel where we want, when we want.

Can the cows pay the basic bills and put food on the table? Yes. Will they keep us up with the Jones'? No. But if your handy with a wrench and don't get 'iron fever', a bigger herd will put more money in your pocket as you spread your capital expenses over a greater number of animals. Cash costs are a given and even though they go up, sometimes they go down and shopping around always pays. Blind loyalty to a one business outlet for supplies is bad business. I tune so many producers out who complain about the price of oil or twine or equipment, yadda, yadda, yadda, because if you turn the conversation around and suggest where the deals are, their feathers get all ruffled because they wouldn't be supporting their local businessman or the certain brand/company they have a unhealthy infatuation with.

Of course, in the big picture, it has to be kept in mind that I live in the land of $100-300/acre land prices. We could never be full-time ranchers in most places that people here live.

 

[cow pollinater]

Of course, in the big picture, it has to be kept in mind that I live in the land of $100-300/acre land prices. We could never be full-time ranchers in most places that people here live.

Dead on. It kind of turns my stomach when I drive around down here in the valley and see places that really should be planted to a permanent planting or even a year to year crop but they have ten acres with a cow or two, a horse, a cowboy hat, and a dream. They love it so much that they just can't see why a cow isn't the perfect thing to grow on land that costs $30,000 per acre.
In order to make a living out of it, you have to buy the ground for what it is really worth.

 

[John SD]

When I was a kid Dad was diversified into a little bit of everything. Beef, milked a few cows and sold cream, raised and sold butcher pigs, sheep, and kept 500 laying hens each year. Did a little bit of small grain farming for our own feed purposes, and put up lots of hay.

By the time I took over when I got out of high school we had quit chickens and milking cows. I stayed with hogs and some farming for a few years. Got another place, increased the cow herd , stayed steady on sheep, but quit hogs.

Started having my own health problems. Got rid of the sheep and was cattle only for the last 10 yrs.

Guess you could say I'm semi-retired now at age 50. I sold the home place but still live here. Kept the other place. Take in 65 pairs for summer there and still have 200 acres of hay ground to put up.

Only other jobs I've ever had were part time fencing and veterinary helper in my younger years. No income from anything other than the ranch in the last 20 years. Hoping some of my stock and mutual fund investments pay off a few years down the road.

 

[skyhightree1]

Of course, in the big picture, it has to be kept in mind that I live in the land of $100-300/acre land prices. We could never be full-time ranchers in most places that people here live.

Dead on. It kind of turns my stomach when I drive around down here in the valley and see places that really should be planted to a permanent planting or even a year to year crop but they have ten acres with a cow or two, a horse, a cowboy hat, and a dream. They love it so much that they just can't see why a cow isn't the perfect thing to grow on land that costs $30,000 per acre.
In order to make a living out of it, you have to buy the ground for what it is really worth.

That wouldn't bother me what someone does with something they pay for... what would bother me is if my land prices in my area were $30,000 an acre

 

[highgrit]

I would like to see that here Skyhigh.

 

[skyhightree1]

High what is land going for there?

 

[Kathie in Thorp]

Is this a trick question? Heck NOOOOO!

 

[LazyARanch]

My husband has a trucking company, keeps him and the oldest son busy. I work full-time at my 911 job, the cows are a part-time thing with us. Don't know that we'd ever be able to live off them alone as comfortably as we do now. Especially since I get benefits (health insurance, dental, and retirement) at the 911 center. Sometimes after a long crazy day at work tho.... I GREATLY prefer the company of cattle!

 

[Till-Hill]

I'd say mine is yes. Dairy herdsman by day. Custom AI 100-300 every summer. Run my 30+ and boss' 15-30 stock cows "after hours". Sell some Simmental bulls and some club calves. Help work other people's cattle in fall and few little odd jobs. But now that I'm married wife pays house bills and I get to make sure farming is paying the rest!

 

[Richardin52]

We also have 5 large unheated green houses and a commercial kitchen on the farm where we process most of what we grow. (my wife and son's wife do the kitchen thing)

Down the road about 600 feet in the woods we have a four unit apartment house and a duplex we rent that was built in our spare time using wood cut off the farm. I also work 2 days a week as a building inspector for a couple small towns, my son who is also on the farm works off farm 2 days a week also.

We don't really need to work off farm but it's nice to break things up a little. I'm going to be 61 this year so am thinking of starting to slow down.

 

[HDRider]

Yup-- worked good while we were younger
Not so good any more

Can you go into more details about what changed? What made it good and what made it go to "not so good"?

 

[TexasBred]

I'd say mine is yes. Dairy herdsman by day. Custom AI 100-300 every summer. Run my 30+ and boss' 15-30 stock cows "after hours". Sell some Simmental bulls and some club calves. Help work other people's cattle in fall and few little odd jobs. But now that I'm married wife pays house bills and I get to make sure farming is paying the rest!

Mine is similar except my farm operation makes sure my wife has bills to pay. :nod:

 

[Howdyjabo]

Mostly rising health care/insurance costs.

It caused alot of stress between me and my husband. Two people trying to do too much seven days a week and living and working together is just too much.

Getting older and slowing down isn't great either.

Plus over the years we have damaged our bodies and we are paying for it now(making us even slower ).

The constant stress and money worries have taken a toll on my nerves(I keep the books). Coming close to loosing the place several times keeps you on guard all the time.

Our plan was to work hard and build something to hand down to generations- its beginning to look like we will be using it up to sustain us till we die and the way its going there won't be much left to hand down.

We started with nothing and it was really a source of pride that we were making a go of it. Whats the saying-- Pride commeth before the fall.

If I had a do over, I would let hubby farm and I would get a job. It was too hard. for the long term payout.

You need to find a golden niche or go into farming with something thriving handed to you when you are young. Or one person farms the other has a job. Or you work till you retire and then farm.

 

[HDRider]

Thanks Howdy. I hope things work out well.

 

[inyati13]

I really don't believe anyone who fairly looks at all the expenses and risks, i.e. a complete feasibility assessment, which means looking at the value of your labor which has to be valued at something even if a WalMart Greeter, could possibly conclude that growing beef as a commercial producer is profitable from a risk reward standpoint. I might exclude some of the elite operations who sell semen, embryos, world class stock, like say Charlie Boyd who I go by everyday on the way to my peanut gallery operation. Just look at the capital you have in the infrastructure and equipment. The land investment, etc. A hay roller is $20,000, a disc mower is $8,000, etc. A good cattlehandling facility is $10,000. If you were to have a finacial advisor perform an Economics 101 evalution of beginning a Commercial Beef Operation, I promise you the conclusion would be very disappointing. There would simply be too much capital at risk for the return. Every beef grower I know here in Kentucky has cattle as part of their lifestyle. It is a lifestyle they chose to live. Most lose money on an income tax basis which does not even value their labor. They don't value their labor and they already have the farm. But in the circle I move in here which means herds that average 20 mature cows, the economics of raising beef is a joke. The capital, the return on your labor and the cost to get a calf worth anywhere from $600 to $900 each just does not... well, as the coon hunter said, that dog don't hunt!!!

 

[Caustic Burno]

I really don't believe anyone who fairly looks at all the expenses and risks, i.e. a complete feasibility assessment, which means looking at the value of your labor which has to be valued at something even if a WalMart Greeter, could possibly conclude that growing beef as a commercial producer is profitable from a risk reward standpoint. I might exclude some of the elite operations who sell semen, embryos, world class stock, like say Charlie Boyd who I go by everyday on the way to my peanut gallery operation. Just look at the capital you have in the infrastructure and equipment. The land investment, etc. A hay roller is $20,000, a disc mower is $8,000, etc. A good cattlehandling facility is $10,000. If you were to have a finacial advisor perform an Economics 101 evalution of beginning a Commercial Beef Operation, I promise you the conclusion would be very disappointing. There would simply be too much capital at risk for the return. Every beef grower I know here in Kentucky has cattle as part of their lifestyle. It is a lifestyle they chose to live. Most lose money on an income tax basis which does not even value their labor. They don't value their labor and they already have the farm. But in the circle I move in here which means herds that average 20 mature cows, the economics of raising beef is a joke. The capital, the return on your labor and the cost to get a calf worth anywhere from $600 to $900 each just does not... well, as the coon hunter said, that dog don't hunt!!!

Very well put.