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Contributor

advice from the older farmers

Bought an older JD tractor for my row crop operation.  Has low hours and is in good condition and gets inspected regularly.  It is my primary tractor.  Thing is Dad asked to use this winter I agreed.  Problem is put on over 200hrs for his feeding operation. I Didn't think it was going to run about every day  Way more than I thought.  Bought it with intention of putting on roughly 200hrs per year myself.  Dad has offered to pay filters and paid for a minor repair this winter.   What about long term repairs tires motor ect or a possible breakdown this spring when I really need it.  As you can imagine this could be a real soar spot for family.  Appears now he may thinking this is long term.  Also wasn't planning on this.  How do I handle this without causing a family tiff.  I have only been farming about ten years.  I made this purchase of an older tractor to keep costs down as to free up capitol for other things instead of spending the big money for a new tractor.  Tractor has 200hp and duals and front wheel assist.  Don't want a worn ought tractor that fast.  Please advise  

32 Replies
Advisor

Re: advice from the older farmers

Let's answer your question with a question:  What do you have benefit/use of that belongs to him at no cost to you?

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Advisor

Re: advice from the older farmers

  Why does he need a tractor that big for feeding?   What was he using before?

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Contributor

Re: advice from the older farmers

He bought a  bale processor that hauls several bales at a time and takes them to livestock in field.  A few miles away.  Has snowed lot this winter.  Not sure if u could get bales loaded in slick conditions. Let alone get around in cornstalks with deep snow.  Appears to me a a 2 wd tractor would just spin out.

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Advisor

Re: advice from the older farmers

  Touchy subject.  Say "hey dad you're putting a lot of hours on this"   Good luck.

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Advisor

Re: advice from the older farmers

was wondering the same thing as kay

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Senior Advisor

Re: advice from the older farmers

Next winter, take it to the dealer for some work that never seems to get done.  Smiley Happy

How much is his 200 hours a year in the big scheme of things?  How long is Dad going to farm?

Is your tractor covered by your Dad's or your insurance when he is operating it on his jobs?

 

According to the ISU Machine Rental survey, the rental rate of a tractor is $0.16-$0.30/hp/hour, average is $0.22/hp/hour.  In your case, that is $44/hour.  It doesn't say if that is 2WD or 4WD or how new it is.  Your dad's bill would be $8800 for rent if all these numbers are close.

http://www.extension.iastate.edu/publications/fm1698.pdf

 

However, maybe there is a more accurate rental rate for your location and you tractor.  Let's say it's cut in half - that's still $4400/year over the long haul.  Becareful that he doesn't send you a 1099.  Smiley Happy  You'd have to pay income tax on it.  Smiley Happy

 

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Advisor

Re: advice from the older farmers

We just see so often on here the older generation that has helped the younger one with land, lowered rent, equipment use, shared labor, etc.  Then, the younger want to know what it is owed for a little return favor...that is why I asked. 

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Contributor

Re: advice from the older farmers

Do not rent any land from Dad.  Rent from other family members and other non relatives.  Started out in fsa direct lending.  What a pain.  But got the money to start.  Than graduated to a guarantee loan and know stand on my own two feet for several years.  First year used his tractor and planter and rented a farm that had pasture and let him have that for use of his tractor and planter.  rented a combine and hired the hauling done.  now have my own equipment.  In the beginning also held down fulltime job to make ends meet.  Became a very good wire welder those years.

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Advisor

Re: advice from the older farmers

 
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