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Your cattle dollars???? and a tick warning

DejaVu

Well-known member
It's Sunday morning. It's quiet. A special day. God's blessings to all.

Yesterday, after feeding the Spring herd, the fall herd, the weaned calves, the bulls, the dogs, etc. I was thinking about the upcoming sale of my calves, who are eating me out of house and home which it a good thing as opposed to them being sick. I've got a ballpark idea of what they will bring and what my expenses are. It's a little scary. My question is: What percent of the income generated by your cow herd goes directly back into the herd? I'm talking about mineral, vaccinations, feed. Anything that would not pro-rate out over a longer period of time. Do you think about it? I know management varies and that is a big factor. But, do you (on an individual basis) return 50%? 70%? 80%? No dollar amounts, just a percentage, is all I'm interested in.

Also, I had a really poor doing calf. I discovered he had ticks. We've had a foot of snow, it's been -21 (wind chill) and this guy had ticks.
 

Clarencen

Well-known member
Well, I don't really know. Last October some neighbors were over. We were watching some heifer calves being sold at the Valentine Sale on the computer. They wern't to bad 500 to 520 lbs, They broght somewhere between $91 and $92 cwt. Someone said that it costs more then that to raise them. So would you be far off to say 100%. There are times when the ranchers only profit is that he maintains his assets in his cow herd.
 

cowboyup

Well-known member
I would say on the three herds I manage that is probably close to 60% without the payment to the bank on the initial cost of the cows.
 

Aaron

Well-known member
Some years are better than others. Largely all depends on what improvements to infrastructure need to be made in a given year. If your down to the basics and are not investing in new tools to lighten the load, I will say about 55 to 60% goes back in. This was a poor year and I made many improvements (fencing) and other purchases (bulls/feeders), so I will say closer to the 80% mark. Only hobbyists with off-farm income run 100% or more.
 

Clarencen

Well-known member
Cattle prices and input costs do not run in parallel lines. When you look at input costs and prices this fall I think that was fairly evident. To just use a top of my head figure, I would say in the area where I live, on an average, about 70% of our returns is spent in production.

Now if we use last years prices, 2008, and if cattle is your only source of income it would take 300 cows to just get above what is considered poverty level. Our bankers tell us we need an income after taxes much higher then that.
 
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