Why do people have cattle if its so unprofitable?

[Philip-TX]

I once saw a sign:

"Behind every successful rancher is a wife that works in town."

[Dale Moser]

So how much they make then? The guy in post 3 made $250 each.

Hahaha


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[Burnadell]

Tax break


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Tax benefits

Can y'all explain these comments please? People are in the cattle business for the tax breaks? They actually are in the business to lose money so they can get tax benefits?

[Dale Moser]

I wonder how this would have gone 4 years ago...

I feel for the small rancher, but trust that I’m doin my part boys!!! I’m eatin them sun itches as fast as I can!


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[sneaky freak]

I was drug into it. We work 365 days a year. No Christmas, birthday, MLK Jr day... Easter... 365. 3am- 10pm minimum. Land paid for and equipment. And we take money out of savings to pay bills.

I make less per pound of milk today than we did in the early 80’s.... land then was $400 an acre and a new truck was $16k

I can’t imagine the day when my dad leaves this world, but when he does there will never be another head of livestock in my ownership. It’s not a living it’s a hardship. I won’t leave my dad hanging out to dry he’s done too much for me but there’s a reason the state prison system stopped farming... it’s cruel unprofitable punishment (most of our original herd came from the prison sell out)

Just out of curiosity what would be the need to be working with cattle at 3 in the morning until 10 at night? I have plenty of friends and family in the business some part time some full time. I'm not saying from time to time they might not have to take care of some things in the middle of the night but a 365 schedule from 3am until 10pm sounds unreal. Also being in the cattle business is somewhat of a passion, there has to be for the amount of work involved. I couldnt imagine hating something as much as it sounds like you do to " just make a living at it"

[sneaky freak]

Just reread your post, I'm assuming your in the dairy business, I could see how your day starts at 3 if so

[barnett77859]

Cattle have been good to me and my family it all comes down to management. you can lose money in any business if you cant figure out what works and how to spend
the money that make you the most profit. If you are trying to be a big rig over spending on equipment and trucks it can be a long shot. remember hard work
less spending better management and better planning cattle can be a good source
of income

[Radar]

Can y'all explain these comments please? People are in the cattle business for the tax breaks? They actually are in the business to lose money so they can get tax benefits?

I have been told the same thing from customers, for some reason ranchers, farmers, and self employed have these mysterious tax breaks that save thousands of dollars every year. I aint never figured out where I can write off a dollar and it makes me money.

[N.DaWoods]

Nostalgia. My brother runs cows because he likes to pretend to be a cowboy. It's good for him as a retired guy to have something he needs to take care of. Ag exemption helps but so does access to farming lines of credit. Just my opinion.

[GA Bowhunter]

Not doubting his worth, but 25K an acre for farm land seems like bad business to me.

Yep. It's a hobby for him I guess. He has a 15,000 acre place(that's huge for GA) in south GA somewhere and another big place about 10 miles from here in the next county.

He is buying up the most expensive "farm" land in the county. It's the same land we buy to develop neighborhoods.

He did build a muscle car museum and a replica of an old gas station. Good looking place but I've never been inside.

[miket]

I was drug into it. We work 365 days a year. No Christmas, birthday, MLK Jr day... Easter... 365. 3am- 10pm minimum. Land paid for and equipment. And we take money out of savings to pay bills.

I make less per pound of milk today than we did in the early 80’s.... land then was $400 an acre and a new truck was $16k

I can’t imagine the day when my dad leaves this world, but when he does there will never be another head of livestock in my ownership. It’s not a living it’s a hardship. I won’t leave my dad hanging out to dry he’s done too much for me but there’s a reason the state prison system stopped farming... it’s cruel unprofitable punishment (most of our original herd came from the prison sell out)

I understand, but with the land and infrastructure in place, a cow/calf ( beef ) operation is even out of the question? Seems like that is 1/10th of the work of a dairy operation. Be like a permanent vacation for you.

[IvoryRoot]

I sold my cows because it got to be just a PITA. My buddy however, bought a brand new 70k JD tractor and took out a home equity loan to pursue his new business. When asked my opinion I told him he is insane. All of this is on leased land that is being slowly bought away.

[Low Fence]

I understand, but with the land and infrastructure in place, a cow/calf ( beef ) operation is even out of the question? Seems like that is 1/10th of the work of a dairy operation. Be like a permanent vacation for you.

No doubt less work, operating on same amount of land... but I don’t own enough land to be full blown “cow/calf”

Just the dairy is 169 acres. In milk cows, dry cows, calves ... there’s 200-215 head there now and if set up for it could handle 500

Cow calf... 25-30 head.... that’s beer money not a living

[skinsfan]

Money can be made in hobby ranching. We have 6 mama cows, one bull that we share with neighbor, and 80 acres of good grass that keeps them fed. We spend very little, no fees other than a bag of range cubes once a week to keep them half tame and vaccinations. The grass will grow either way and we live there so i don’t figure many other expenses. We have six calves a year and haul em all at once in my company truck and horse trailer. Not getting rich but making a few bucks and keeping the taxes down.

[steve morton]

90% of cattle operations have less than 25 head. Nickel and Dime operations keep up with most of the demand for beef. The world's population is still hungry for good protein and as long as the lines are still backed up at McDonald's, cattle will be profitable to some extent or another.