Items: Management & Finance
Family Living Expenses on Kentucky Farms
By Steve Isaacs | Extension Professor
Published on Oct. 28, 2021
There is likely no single item in a farm business cash flow with more uncertainty and more variability than “family living expense.” Farm income and expense items are measured pretty accurately because they will be needed for tax reporting and for borrowing eligibility…two pretty good reasons.
Bookkeeping Tips for Multi-entity Operations
By Suzy Martin | KFBM Area Extension Specialist
Published on Oct. 28, 2021
There are multiple reasons a farming operation might separate its business into multiple entities. It might be for transition and estate purposes, liability reasons, tax issues, etc. Ideally, these kinds of decisions involve input from everyone that is part of the “team.” Meaning owners, the attorney, tax advisor, management, lender, heirs, et
Characteristics of Higher Profit Farms
By Lauren Omer Turley | KFBM Area Extension Specialist
Published on Aug. 31, 2021
In today’s farming culture, the goal of most producers is to be at the top of the profitability curve in order to stay competitive. A period of lower commodity prices led to tight margins and producers had to work on being as efficient as possible to maximize returns.
2021 Land Values
By Steve Isaacs | Extension Professor
Published on Aug. 16, 2021
Average Kentucky farm real estate values were $4,000/acre as reported in the annual Land Values Summary released by USDA on August 6. This was 2.0% higher than 2020 and the first-time average values have reached $4,000.
It May be a Good Time to Sell Your Mature Hardwood Timber
Published on Jul. 29, 2021
If you have purchased a sheet of plywood or a 2 X 4 stud from your local lumber yard or box store recently you very likely have noticed that wood product prices have skyrocketed. The demand for wood has been on the increase and the prices for timber and lumber have risen along with the products.
The Importance of Including Non-Cash Expenses
By Michael Forsythe | KFBM Area Extension Specialist
Published on Jul. 27, 2021
When farmers are evaluating their farm profitability, many times, they will only include their cash expenses and they will ignore a very important component of their true profitability. It is very important to include non-cash expenses when determining farm profitability. In this article, we will look at some of these non-cash expenses and why
“There’s an App for That”
By Jordan Shockley | Associate Extension Professor
Published on Jul. 27, 2021
Have you ever pulled your smartphone out and thought, “I sure wish there was an app for that”? Well, you are not alone. The development of new mobile apps for just about anything is fast-paced. Why? According to comScore, 89% of all mobile minutes are mobile app minutes. The top two categories for mobile app users are social media and news/
Agriculture Exemption Number Now Required for Tax Exemption on Farm Purchases
By Jerry Pierce | KFBM Program Coordinator
Published on Jul. 19, 2021
A new Kentucky law requires that farmers apply for an Agriculture Exemption Number to make qualified purchases for the farm exempt from sales tax.
Does the IRS Consider my Farming Operation a Hobby Farm?
By Tarrah Hardin | KFBM Area Extension Specialist
Published on Jun. 29, 2021
Many producers that have both farm and non-farm income, may question if the IRS considers their farming activities to be a “business” or a “hobby”. This is a very important distinction to both the farmer and the IRS due to the IRS treatment of business income versus “hobby” income.
Estate Transfer under the Proposed American Families Plan
By Jerry Pierce | KFBM Program Coordinator
Published on Jun. 29, 2021
On May 28th the Biden Administration released a general explanation of its proposed tax changes.