Agribusiness Blog

Agribusiness Blog

Farm CPA Today
  • Peasant and business man talking on wheat field during harvesting

    Be Careful With LDPs

    Several wheat growing areas of the US are now seeing the option to receive Loan Deficiency Payments (LDP) in lieu of doing a loan with the Commodity Credit Corporation.  These payments represent the spread between the current loan rate per bushel and the lower of the 30 day Posted County Price (PCP) or the alternative […]

    More

  • Woman using loptop on patio

    AICPA Farm Tax Webinar Rebroadcast

    For those of you that were unable to attend the AICPA Ag Conference in Denver this year, there is a rebroadcast of the Agricultural Income and Estate tax seminar that Roger McEowen and myself presented on day one.

    More

  • Advisor-With-Seniors-Table

    Details Matter!

    As stress builds in the farm sector, care must be taken if the farmer is considering filing for Chapter 12 bankruptcy. This type of bankruptcy was specifically put into law to help farmers reorganize their debts and continue farming.

    More

  • Aerial-Pine-Trees

    Farmland Investment Up North

    As a business, owning your farmland may not be the best solution. As long as you control the asset, it may make more sense for someone else to own it.

    More

  • Farmer-with-Pen-and-Notepad-in-Field

    The 25 Year Trend in Crop Input Costs

    Farm Doc Daily released a report today on how crop input costs have not dropped much in the last couple of years. The report presented a chart showing the total costs for high-productivity farms in Central Illinois from 1990 to 2015 for Seed, Pesticide, Fertilizer and Cash Rents. As you can guess, the lowest cost year for the crop inputs (seed, fertilizer and pesticide) was 1990 at slightly less than $100. It took until 2005 for these costs to exceed $150 per acre.

    More

  • Ongoing Need for Farm Financing is Pressuring Farmers

    The Federal Reserve Bank of Kansas City released their second quarter Agricultural Finance Databook  and as expected, the need for operating loans for farmers over a continued period of time is weighing on farmers.  Here is my analysis regarding the charts and information provided in the databook. Chart 1 shows the percentage change in Number […]

    More

  • How to Pay Your Children

    The Tax Court released a case earlier this week (Embroidery Express LLC TC Memo 2016-136) that provides very good advice on how to pay your children (or how not to pay them).  As we have previously indicated, one of the best deductions for farmers is to pay their children under age 18 (for sole proprietors […]

    More

  • 2016 Global Fraud Study Results

    The 2016 Report to the Nations has been published by the Association of Certified Fraud Examiners and can be accessed in full here: 2016 Global Fraud Study. Here are some highlights directly from the report I thought may be of interest to the followers of this blog: The median loss for all cases in our […]

    More

  • Why Farming Is Great

    Last week, my wife and I attended the annual Farm Financial Standards Council meeting in beautiful Ranchester, Wyoming (just north of Sheridan).  The meeting was hosted by the Padlock Ranch and they did a great job of providing a meeting site and dinner and lunch.  I even got to rope a calf (it was a […]

    More

  • Managerial Accounting Performance Standards

    One of sessions after lunch dealt with managerial accounting for a large agricultural operation (almonds, cattle, potatoes, etc.). One item that was brought up is that any accounting system for any farming operation no matter the size should meet certain performance standards as follows: Timeliness – perfect financial information in an untimely manner does not […]

    More

Subscribe to Our Mailing List

* indicates required