12-13-2012 09:14 PM
12-13-2012 09:40 PM
I'm pulling all income into 2012 and updating some equipment that I've been wanting to do for awhile now. Canceled fertilizer order for wheat top dressing because if we don't receive any rain soon I won't have a crop to top dress. If we do get rain I'll reorder products at that time and just eat the early pay discount that was lost.
12-13-2012 09:47 PM
12-13-2012 09:55 PM
Not a problem for me. I'm facing $200+ hay, hungry cows, amazingly high fuel bills for irrigation, and a short crop.
This year will not be a 'loss' for me, by any means, I had planned for the worst, but to give some insight on how tough things have been in West Central Nebraska, my purchases and improvements this year, include $1800 in cattle pen repairs, and $9000 in total capital expenditures, and I have no need to 'shield' income. High feed and fuel prices are doing that quite well for me. About the only thing I can say, is that right now, we are planning to sell a bunch of cows after the first of the year, but that is not 'income' from selling calves, as is normal, but rather 'sell some breeding cows, before they all starve' selling. I think in the past, when you were forced to sell because of drought, you could defer that income against the expense of buying replacements, when it started raining again.