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Machinery & Facilities

Farm Machinery Costs and Custom Rates

This article compares machinery costs per acre for a case farm to custom rates associated with a field cultivation operation and a self-propelled sprayer operation.

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2017 Indiana Farm Custom Rates

The rates reported in this publication were compiled from questionnaires received from farmers, farm owners, farm custom operators, and professional farm managers in Indiana.

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Transferring Farm Machinery Through a Lease Agreement

There are numerous methods to transfer the ownership of farm machinery. Lease agreements often lower the cash flow requirements of the younger generation.

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Accelerated Depreciation and Machinery Purchases

This article discussed items that need to be considered in addition to tax management strategies when evaluating the decision to purchase machinery and equipment.

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Benchmarking Machinery Investment and Cost

The continued increase in size of tractors, combines, and other machinery has enabled farms to operate more acres and reduce labor use per acre. However, this increase in machinery size also makes it increasingly important to evaluate the efficient use of machinery.

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Buying (Selling) Inputs in the Current Business Climate

Grain farmers are facing significantly lower prices and incomes in 2015 compared to previous years which have resulted in intense pressure to lower costs by aggressive negotiation on land rents and purchased inputs. Much of this negotiation has focused on price–farmers are asking/expecting price reductions, but suppliers of fertilizer seed and chemicals in particular are hesitant to adjust prices down.

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Becoming a “Best in Class” Farm

Corn Belt agriculture is in the midst of transitioning from one of the most profitable periods on record to what could be an extended period of tight margins for most corn and soybean operations. Now that the 2015 planting season is drawing to a close, you should take time to reevaluate your farming operation and consider how you can make sure your farm is strategically positioned to be a “best in class” operation in the years ahead. Doing so will help ensure that your farm will thrive, not just survive, in an era of tight operating margins.

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Comparison of Drying Systems

Use Iowa State University’s spreadsheet decision tool to compare total drying cost per bushel based on the type of drying system and price inputs.

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Estimating the Cost for Drying Corn

The cost of drying corn grain will depend on the type and size of drying system utilized, the amount of moisture to be removed, the weather conditions during the drying period, and the current per unit costs for electricity and drying fuel.

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Farm Building Rental Rate Survey

Farm buildings and livestock facilities often outlast their owner’s need for them, but can still provide usable service. Farm operators and livestock producers may be able to make use of certain types of farm buildings but are not in a position to invest in new facilities.

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