memanpa
Well-known member
does greenhorn remind you of any one?????????
does me!!!!
does me!!!!
Bama":3ajncjer said:Reality is if we did everthing that the studies show, feed companys recommend, medical practices recommended, bought all the new gadgets, called a vet at ever sniffle, planted all the "best" grasses, fertilized to the max, paid top dollar for a herd, and tried everthing new that came out we would have to pay more than we make off cattle. Thats why we are hard pressed to jump on any new bandwagon. We know what works best on our perticular operation. Yea, several of us beat the average $100 dollar profit on each calf but a lot of people make less. Them thar ar tha cold hard facts.
plbcattle":kddns2zp said:here we go again. i am going to try to spell this out as simple as i can for some.
if you buy land,100 head of cattle,tractor,truck,equipment. you go throughout the year paying the note and putting a little back for yourself. you sell your weaned calves as most cow men do. you think at the end of the year that boy I didn't make much moneyBUT here's what most people don't take into consideration:
you land,cattle appreciate in value
your equipment depreciates
you write off the loss on the equipment, which saves money you have to give to uncle sam.
in the meantime your cattle should be on there 2nd calf by now and you note which contains all your land,cattle equipment has been paid down some. in time your cows,truck,tractor,equipment has been paid for.
if you took those paid for cows,trucks,equipment and sold it by the time it is paid for with the way land has appreciated you sell it for more than you paid for it.
I look at a cow as an investment, where else can your investment make it's complete worth every year. by this I mean you pay $1000 for a bred heifer, you sell her weaned calf every year for $600-$750.(minus your per head expense) where else can you do that. I don't want to hear the argument that gas is over 2.00 per gallon and fertilizer is more expensive. cattle prices are at an all time high and far offset these higher operating cost.
I sell my bulls for $2000-$4000
bred heifers for at least $2000
pairs or 3n1's for $$2750 and up
granted these are registered animals that I paid more for them but it is relative to the prices I sell my animals for.
if my accountant came to me at the end of the year,after we sold 100 animals and said we only made $12000 he would need a new client and be recovering from a country ass whoopin
plbcattle":3dtfl2rd said:HUGH
you lost me on that one
Craig-TX":1pcjydt4 said:The sad fact is that, in today's land and cattle markets, in spite of low rates, cattle will not pay for land. Even if 100% of your overhead and expenses are already being absorbed by other operations or income – in other words, if the entire gross from your calf crop goes against the land payments – the cattle still won't pay for the land. Not around here anyway. If you get a great buy on land and very favorable terms you can get close, but you're still going to have to feed the new operation. If it would, I would be buying all the land I could get my hands on.
Don't trick yourself into believing otherwise. Like my granddad used to say, any fool can make a million overnight with a sharp pencil.
The days are gone when you could buy a place and make it pay for itself and pay you a living at the same time. The standard of living we have come to expect, coupled with many other factors in agribusiness, not to mention government and taxation, have killed that dream.
If your land and improvements are paid for, and you have enough of it, and not much other debt, and can find satisfaction without a fancy standard of living, it might be a different story. Depends on lots of things.
Craig-TX":uoyimhi8 said:If your land and improvements are paid for, and you have enough of it, and not much other debt, and can find satisfaction without a fancy standard of living, it might be a different story. Depends on lots of things.
I'm lost. What are you using for money to make those note payments and putting a little back with until the calves are born and ready to sell?plbcattle":39tc0pva said:if you buy land,100 head of cattle,tractor,truck,equipment. you go throughout the year paying the note and putting a little back for yourself. you sell your weaned calves as most cow men do.