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Out of the haymaking business
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<blockquote data-quote="TColt" data-source="post: 1156614" data-attributes="member: 22268"><p>For someone who makes money strictly on cattle, not selling hay or harvesting crops...</p><p>At what point does tractor payments, repairs, etc end up costing more than hiring out the work?</p><p></p><p>I know very successful cow men on both sides of the spectrum, however I know more successful ranchers who are strictly cow men and rely on everything else from other people. When hard times come, they don't have the payments and repairs that the other guys have and in this business, no matter how hard you work, hard times will come. </p><p></p><p>Lets say I want to plant 100 acres of wheat and graze it out (because I only want to run cattle, not harvest wheat or hay). I can run cattle on that wheat for at least six months (probably longer). Lets say it costs $150/acre to have someone till, plant, and fertilize which comes to $1500 for the year. The wheat cuts almost all hay costs out of the equation (if not all) and summer grass is really coming on by the time the cattle are off the wheat. What are the typical payments for a tractor and implements/ year?</p><p></p><p>I understand that this is a relatively small example, but y'all get the idea. I think without the cost of the equipment and repairs, someone could afford to run more cattle/land, and in return make more money.</p></blockquote><p></p>
[QUOTE="TColt, post: 1156614, member: 22268"] For someone who makes money strictly on cattle, not selling hay or harvesting crops... At what point does tractor payments, repairs, etc end up costing more than hiring out the work? I know very successful cow men on both sides of the spectrum, however I know more successful ranchers who are strictly cow men and rely on everything else from other people. When hard times come, they don't have the payments and repairs that the other guys have and in this business, no matter how hard you work, hard times will come. Lets say I want to plant 100 acres of wheat and graze it out (because I only want to run cattle, not harvest wheat or hay). I can run cattle on that wheat for at least six months (probably longer). Lets say it costs $150/acre to have someone till, plant, and fertilize which comes to $1500 for the year. The wheat cuts almost all hay costs out of the equation (if not all) and summer grass is really coming on by the time the cattle are off the wheat. What are the typical payments for a tractor and implements/ year? I understand that this is a relatively small example, but y'all get the idea. I think without the cost of the equipment and repairs, someone could afford to run more cattle/land, and in return make more money. [/QUOTE]
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