15 going of this article
they would have to get paid out of it then I assume ?
Are they going for sale ?
cows ,machinery etc all been sold on 15 janurary on farm …..stock will make big money but there’s very good breeding within the herd …will be a lot of interest
Thats the info on it
just out of interest whats tax rate will have to be paid on the cows? it looks a nice sum. is there a relief for an arrangement like that ending?
While it may have come earlier than expected they would always have been planning for this.i take it that the owners made an offer and they decided the return in dairy isn't going to be there to either take another setup or purchase or maybe the right opportunity is not available at the minute but that's unlikely to be the reason considering they the let the lease go early.i hope they got a return on their work but it's just a business decision,it s not a bad news story I think but maybe there's more to it
Youll get the amount their valued at on your accounts tax-free, once its not in a business structure but their will be tax on any amount over that I'd say at the normal income tax rate
It is an example that milking cows is not as lucrative as made out ,IMO if one had a nice farm in one block with a solid tillage or beef enterprise it would be a poor management decision to change over to dairy !!
For arguementsake, let's say they had 300-400k in savings and where looking at borrowing another million of the bank, the repayments figures over 20 years are eye-watering a 300 cow herd would do well to meet them let alone 100 cows, with the kicker been another 8 ha of the grazing block was on another lease with a different land owner
Add in the two rented blocks, if the herd was in band two doing circa 6400 litres a year, in our around 16 cent a litre would be needed to just cover the above, before the issue re having to pay tax on the principal repayments out of profits...
The cost per cow now of converting to dairying on a greenfield site is north of 7k a cow and if a lad went bells and whistles you'd be past 10k a cow in a flash, worrying thing about dairying is the escalation in costs the past 3 years has meant that a break-even milk price for anyone borrowed and renting land etc is 40 plus cent and over the 45 cent in alot of cases
Getting into dairy is a 15-20 year project. It's the most profitable enterprise but entry costs are huge now for a converting farm. Have sold stock to a lot to new entrants and they all seem to be getting on well and very happy they switched. Most would have been in before huge spike in building costs
On the average farm size it's the only show in town if you want to farm full time. That's a personal decision some people are happy to farm and work I did it here for 18 months after college and hated it. Always felt I wasn't doing either job right.
Milk 130 cows here and we have a great living at it, when you look at everything with all the personal stuff that goes through the farm it's comparable to an 80-90k job off farm.
Thanks for that. I often heard his name being mentioned by new entrants.
I always thought it was the biggest lesson missed in alot of the discussion about greenfield,the return is not in it to justify the big capital requirements to get going.alot of dairy farms and the infrastructure requirements are being sustained on massive family labour input,off farm income or prior wealth.
But it can all be produced for circa 22 cent a litre of 🤣
Agreed and it's never mentioned. Costs to go dairying now with the labour involved is crazy there's such a gulf now between working for a multinational/state job or even self employed. And dairying/full time farming it's actually mind bending. (I see a huge change in Work life balance the last 6 years )
@Siamsa Sessions How did you get on with the ration trough after. This man is recommending a continuous trough.
I haven’t put anything in yet and waiting on 3 different crowds to come back to me on the individual troughs. I’ll be phoning them all again on Thursday morning.
I’ll watch that video in the meantime. My fear with a continuous trough is that you’d need individual neck gates to hold them properly in place. But I’ll give our friend in the north a fair hearing on it.
he has bailing to control the cows
Once milked in a 26 unit patlour with continuous trough,adjustable breast rail and a zig zag rump rail. Used to swing out the breast rail in spring when heifers were fresh, then give them some space once they settled.
Was a breeze in comparison to the 12 unit with managers i milk in now. Heart is broke in spring with cows pushing up.
We have straight front and back and continuous troughs but we do have an adjustable breast rail.dont have any major problems.milking technique is more important than extras in my opinion.stuff like pulling ration in a particular way and minimising steps and walking,exit and entry and getting your herringbone parlour to operate like a rotary are key for effient miking
happy new year to everyone on this forum and all the best for 2025 …..this is a very good place to thrash out stuff …..we may not all agree on things but opinions are respected ….most of the time anyway 🤣🤣
Just didn't wait to be a January calf.
Happy new year and all the best for 2025
Same to you and yours mj and many of them to you and all on the forum. looking forward to arguing with the most of this year 😀 😄
TB breakdown here gave us the kick in the hole needed to go back to finish of collage luckily got accepted back in...
Whatever about the workside of it, not having a stable income year to year and the phone hopping in tight years with lads roaring for money really wears you down, it's not worth the hassle anymore
Fair play Jay. Best of luck with college, full time or part time
Hopefully have 3rd year passed out their now had to go back in Septmember to do 4 modules i hadnt completed , will be back then next September full-time for fourth year
fair play to ya going back to college… id freak out at the thought of that all over again… what college and what are you studying?
Ucd, food and agri-business management, will try and do their level 9 course in ag extension and innovation, all going well
Fair play to you Jay. I went back to collage last year fully online springboard course. I was working full time, farming part time along with the course it was heavy going, finished it the end of June. To be honest I'm only just recovered now.
Glad to have done it and now have an engineering degree to go with my experience.
Whats your plan for the cows spring 12 months when you are at collage full-time?
