Selling all of the cows.

[hurleyjd]

Thinking about selling all of the cows maybe about $125000 and equipment possible worth around $85000. Some remote land that is not used any more because I just cannot get to it because of age. It probable would bring about $300000 investing in Exxon that has a 4.4% dividend. Good move or not. Feed man, fertilizer man and equipment man gets all of the calve sales each year and then some. This would maybe produce a dividend worth around $22000 minus income taxes of $2200 for a net of about $20000 more or less. Mud worries would be over with. Might sell some standing grass for hay. Keep in mind I am 77 and still in pretty good health.

 

[Rafter S]

But then what would you do for entertainment? Seriously, I can see where at 77 you'd be thinking about the advantages of cutting back. I assume you don't have any children (or grandchildren) that would be interested in taking over, or at least helping out?

 

[jehosofat]

Sounds like a good plan, hate to see anyone get out, but I see your point.

 

[1982vett]

After weighing tax implications.....I wouldn’t dump it all into one stock. Although Exxon isn’t likely to implode any time soon, when at the roulett table you spread it around instead of putting it all on 00. The vanguard group has some good low cost mutual funds and etfs that would give you good returns and provide income to spend. That’s the way I would go if I were to sell out.

 

[Bigfoot]

My dad is 78, and making a similar move. Shocked me actually, because he has talked about for about 3 years. He is selling some land, and all of his cows. He's going to background a few through the summer. He just can't work in winter conditions anymore. Broke my heart a little, to see him cut back.

 

[shaz]

Wouldn't buy Exxon. Exxon was too slow to the fracturing party and don't put all your cabbage in one stock or fund for that matter.

There are some tax exempt ETFs that invest in municipal bonds for instance. I would take a stock like Southern Company over Exxon.

 

[Hunter]

Not a bad idea but I wouldn't go all in on one stock. What happens when company has a really rough patch and stock price tanks and they lower the dividend which causes the stock to go even lower?

Vanguard has a dividend growth fund....VDIGX....I am in it and it has done okay over the years.
I also jumped into a couple TRowePrice account that have done decent. TRBCX and PRSVX

But at 77 do you want to be in riskier funds? That is a rhetorical question that only you can answer.

Edit: Just saw that Morningstar has a low risk rating on that Vandguard fund.

 

[Farm Fence Solutions]

Put the cash under your mattress, and spend $20k a year until you're 100. No risk, and it'd be fun to roll around in half a million singles once a week.

 

[greybeard]

xom is definitely a buy right now, but may get better in coming weeks.

SO is a bargain too, but I'd be concerned about it's cost over runs and the fact that it is always just one nuclear accident away from bankruptcy.
(I do very much support nuke energy, but realistically it brings with it some huge financial risks)

 

[ddd75]

I would talk to a qualified financial planner I know of a very good one if interested

 

[Farm Fence Solutions]

xom is definitely a buy right now, but may get better in coming weeks.

SO is a bargain too, but I'd be concerned about it's cost over runs and the fact that it is always just one nuclear accident away from bankruptcy.
(I do very much support nuke energy, but realistically it brings with it some huge financial risks)

We've got a fair bit(by my standards)of Duke Energy, and have considered adding some more while it's down. What are your thoughts?

 

[Bright Raven]

Don't make lifestyle changes based primarily on money! Make them on your goals, objectives and what you want to achieve.

I am 10 years your junior. I plan to be out of Cattle before I reach 74. Why? I have other aspirations.

 

[TennesseeTuxedo]

Don't make lifestyle changes based primarily on money! Make them on your goals, objectives and what you want to achieve.

I am 10 years your junior. I plan to be out of Cattle before I reach 74. Why? I have other aspirations.

Then get started now, none of us are promised a tomorrow.

 

[Bright Raven]

Don't make lifestyle changes based primarily on money! Make them on your goals, objectives and what you want to achieve.

I am 10 years your junior. I plan to be out of Cattle before I reach 74. Why? I have other aspirations.

Then get started now, none of us are promised a tomorrow.

Not promised but one would be in sad straits if they occupied their today with thoughts there will be no tomorrow. BR.

 

[hurleyjd]

I have a pretty diverse portfolio now that generates $6762 a month plus a pretty good retirement pension. Every financial planner I have had in the past lost me money. They sell what they are involved in. I do have a some in VWNEX. I have bought into some stock that I lost all of the value thinking it would come around. One REIT that has been a loser but still is projected to pay a dividend of about $11000 a year. One of the Presidents best friend is the CEO there. Gut told me to sell about a year ago but I held on for the dividend but sure lost a lot of capital.

 

[TennesseeTuxedo]

Don't make lifestyle changes based primarily on money! Make them on your goals, objectives and what you want to achieve.

I am 10 years your junior. I plan to be out of Cattle before I reach 74. Why? I have other aspirations.

Then get started now, none of us are promised a tomorrow.

Not promised but one would be in sad straits if they occupied their today with thoughts there will be no tomorrow. BR.

Take nothing for granted Grasshopper.

 

[hurleyjd]

I have a pretty diverse portfolio now that generates $6762 a month plus a pretty good retirement pension. Every financial planner I have had in the past lost me money. They sell what they are involved in. I do have a some in VWNEX. I have bought into some stock that I lost all of the value thinking it would come around. One REIT that has been a loser but still is projected to pay a dividend of about $11000 a year. One of the Presidents best friend is the CEO there. Gut told me to sell about a year ago but I held on for the dividend but sure lost a lot of capital.

 

[backhoeboogie]

But then what would you do for entertainment?

Chickens. Fast turn around. You can make designer chicks in way less time. People are going crazy over chicks. The kind of people who spend $2500 at the vet when FiFi breaks a leg.

Hurley I sold the farm, three other places, 81 cows, two bulls, and about 50 calves. I bit the bullet and paid a potload of capital gains. I thought I would miss it. I have one steer that will go to the processors soon and a calf that will be KOBE beef next year. That's my plan. Just raise my own freezer beef.

We're running three incubators at the house. There is not much risk with chickens. We're enjoying it. Old friends still need a hand with cows from time to time which keeps my hands in the cookie jar. Eldest daughter is running 4 herds of her own now. She's bigger than I ever was. She's running purebreds and commercial too.

I've still got the place over in Harrison County I inherited, we have the house and a few acres south of town rented out. We've still got all our equipment stored on that little 17 acre place where our house is. That 125 horse tractor and 16 foot disc could disc my little pastures in no time. That's what I can't part with. My equipment. I need to give most of that up.

No regrets. yet

 

[slick4591]

But then what would you do for entertainment?

Chickens. Fast turn around. You can make designer chicks in way less time. People are going crazy over chicks. The kind of people who spend $2500 at the vet when FiFi breaks a leg.

Yep. I'm here to tell ya. My chick price this year is $12 to $15 each straight run. I have orders already.

 

[greybeard]

xom is definitely a buy right now, but may get better in coming weeks.

SO is a bargain too, but I'd be concerned about it's cost over runs and the fact that it is always just one nuclear accident away from bankruptcy.
(I do very much support nuke energy, but realistically it brings with it some huge financial risks)

We've got a fair bit(by my standards)of Duke Energy, and have considered adding some more while it's down. What are your thoughts?

I really don't know much about Duke and would have to research them to really give any kind of opinion.
I know they have a Houston office HQ but I believe their actual operations are mostly elsewhere.