For folks who maybe have smaller farms & on a tight budget or financially conscious..... Here's some side tips on some things to look at to increase cash flow or offset a lot of the conservation costs folks do put into the land.... I do get asked these questions a lot & got asked today so I thought I'd post here. Fella who asked me owns maybe 40 or so acres & makes under $50k a year & the ground does not spit out much income. Here's a few ideas.... Others can also chime in..... LIST THAT COMES TO MIND.....
1) Get into FSA & NRCS office... Look into any REAP & EQUIP programs.... Timber stand improvement, edge feathering, etc. The cost share programs are actually so vast it's impossible to list them all. Everything from cost share on terraces, ponds, conservation cover (trees or grasses), etc. ALSO- talk to Private Lands Biologist for your county/area for programs or cost share opportunities.
2) Conservation Stewardship Plan (CSP)..... Doing conservation practices most of you would want to do. Through NRCS office. Fed program. Could be "no till planting & leaving waterways", planting little section of trees, planting a patch of pollinator plants, etc. No brainer!!!! Pays u yearly rate to do things u likely want to do anyways.
3) Can do some TSI & also find guys who will come in BEFORE or AFTER to take your junk trees that need to go. I actually just did this thanks to a member on here. Get the cost share for Timber stand improvement.... In theory a guy could put an "X" on all trees being culled... Firewood cutter uses a vertical grapple & blade (no damage to crop trees!) & pays by the load- for YOUR JUNK! Say, 100-200/acre depending on lots of variables.
4) The obvious is logging but this is a far deeper subject & I don't often see farms that need to START with a log sale. It happens but not 1st course 90% of the time. Most that need a "log sale" - I see and suggest trying to do pallet logs 1st. Or the URGENT saw logs of walnut & oak (or walnuts falling in creek). Long subject on being careful on a walnut or oak sale... & doing TSI after.... But yes, lots of options there.
5) The timber management properly done long term can increase timber sale PER ACRE (done on 15-20 year basis) 5 to 10x over the long run. "Wooded IRA". Start now. *if this is a goal (and hopefully it is because it can be very lucrative/rewarding.... Cows out of timber is CRITICAL!!!!
6) Not much for mineral rights, gas, etc on land here. KS is a different story. Lime rock quarry is a chance but your land is a goner if you go down that route
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7) Hay.... If you are really pinching pennys.... see if someone around you would bale your clover or alfalfa if you have any decent amounts. Usually need a good bit but worth checking into... Usually on shares & need to keep up with P&K & lime.
8) Fruit or specialty crop production. Would come from a "passion". Apples, pears, grapes, chestnuts, etc... Longer term investment.... 5-10 years but that's not too bad in reality. Would have to have a love & passion for it.
9) Building soil with extra manure & no till farming.... If you BUILD the soil, you will build a future of higher yields & higher rental rates. The investment pays off well if done right. Minor on smaller farm but still worth mentioning.
10) If you have equipment, doing some projects for neighbors.
11) Check with organizations like pheasants forever, NWTF, etc for seed, conservation project funds, etc.
12) file a schedule F with your accountant. Write offs could include: mileage to/from, machinery, interest, taxes, land expenses, tools, etc etc. accountant familiar with farm accounting can assist with this.
That's 12 off top of my head. What others you guys think of? Love seeing young or new landowners improving farms/land. Lot of guys who spent years saving for their "Dream"..... & Dreams do take $. Personally, I applaud those putting their $ into investments like this. It can create risk & most do it out of a love & passion for land & conservation. 99% of the farms I see folks buy in these scenarios... the land is left far better than they found it. Love seeing the hard working guy save up and buy his little slice of a dream. Any help or feedback for any this may apply to or apply to SOMEDAY appreciated.....
1) Get into FSA & NRCS office... Look into any REAP & EQUIP programs.... Timber stand improvement, edge feathering, etc. The cost share programs are actually so vast it's impossible to list them all. Everything from cost share on terraces, ponds, conservation cover (trees or grasses), etc. ALSO- talk to Private Lands Biologist for your county/area for programs or cost share opportunities.
2) Conservation Stewardship Plan (CSP)..... Doing conservation practices most of you would want to do. Through NRCS office. Fed program. Could be "no till planting & leaving waterways", planting little section of trees, planting a patch of pollinator plants, etc. No brainer!!!! Pays u yearly rate to do things u likely want to do anyways.
3) Can do some TSI & also find guys who will come in BEFORE or AFTER to take your junk trees that need to go. I actually just did this thanks to a member on here. Get the cost share for Timber stand improvement.... In theory a guy could put an "X" on all trees being culled... Firewood cutter uses a vertical grapple & blade (no damage to crop trees!) & pays by the load- for YOUR JUNK! Say, 100-200/acre depending on lots of variables.
4) The obvious is logging but this is a far deeper subject & I don't often see farms that need to START with a log sale. It happens but not 1st course 90% of the time. Most that need a "log sale" - I see and suggest trying to do pallet logs 1st. Or the URGENT saw logs of walnut & oak (or walnuts falling in creek). Long subject on being careful on a walnut or oak sale... & doing TSI after.... But yes, lots of options there.
5) The timber management properly done long term can increase timber sale PER ACRE (done on 15-20 year basis) 5 to 10x over the long run. "Wooded IRA". Start now. *if this is a goal (and hopefully it is because it can be very lucrative/rewarding.... Cows out of timber is CRITICAL!!!!
6) Not much for mineral rights, gas, etc on land here. KS is a different story. Lime rock quarry is a chance but your land is a goner if you go down that route
.7) Hay.... If you are really pinching pennys.... see if someone around you would bale your clover or alfalfa if you have any decent amounts. Usually need a good bit but worth checking into... Usually on shares & need to keep up with P&K & lime.
8) Fruit or specialty crop production. Would come from a "passion". Apples, pears, grapes, chestnuts, etc... Longer term investment.... 5-10 years but that's not too bad in reality. Would have to have a love & passion for it.
9) Building soil with extra manure & no till farming.... If you BUILD the soil, you will build a future of higher yields & higher rental rates. The investment pays off well if done right. Minor on smaller farm but still worth mentioning.
10) If you have equipment, doing some projects for neighbors.
11) Check with organizations like pheasants forever, NWTF, etc for seed, conservation project funds, etc.
12) file a schedule F with your accountant. Write offs could include: mileage to/from, machinery, interest, taxes, land expenses, tools, etc etc. accountant familiar with farm accounting can assist with this.
That's 12 off top of my head. What others you guys think of? Love seeing young or new landowners improving farms/land. Lot of guys who spent years saving for their "Dream"..... & Dreams do take $. Personally, I applaud those putting their $ into investments like this. It can create risk & most do it out of a love & passion for land & conservation. 99% of the farms I see folks buy in these scenarios... the land is left far better than they found it. Love seeing the hard working guy save up and buy his little slice of a dream. Any help or feedback for any this may apply to or apply to SOMEDAY appreciated.....
