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One-Participant 401(K) As A Tool For Farmers And Ranchers, Jessica Groskopf, Cory Walters, Doug Nelson

Center for Agricultural Profitability

According to USDA, only 40% of farm households participate in some type of retirement account. For self-employed farmers and ranchers without full-time employees, the opportunity to invest in a One-Participant 401(k) plan is a way to (1) save money for retirement, (2) reduce taxable income, and (3) provide the potential option to borrow from the plan. This series of articles will review these features.

What is a One-Participant 401(k)?

The One-Participant 401(k)is a qualified retirement plan designed specifically for business owners with no full-time employees other than the business owners and their spouses. Visit with your financial planner and tax …

One-Participant 401(K): Saving For Retirement And Reducing Taxes, Jessica Groskopf, Cory Walters, Doug Nelson

Center for Agricultural Profitability

The adage that farmers and ranchers are often asset-rich and cash poor does indeed appear to be true! According to the United States Department of Agriculture (USDA), just forty percent of farmers contribute to a retirement plan. And because many farmers and ranchers invest profits in their business rather than take a high salary, they show little income on their tax returns. This means they will have paid less into Social Security and their benefits will be lower when they retire. This can create cash flow challenges, especially for an older generation of farm and ranch families wanting to bring …

Finance For Farmers, P P. Eckersley

Journal of the Department of Agriculture, Western Australia, Series 4

Financing has always been an important part of farming. With more and more sources of farm finance, it has become more complicated.

This article outlines present sources of farm finance and suggests how a proposal for a loan should be presented.

The Machinery Crisis, W T. Brown

Journal of the Department of Agriculture, Western Australia, Series 4

The machinery crisis - I believe we have come through a crisis in farming efficiency. To maintain his income, the farmer has had to reduce his costs of production, or increase production per man. He has done this by climbing to a new plateau of efficiency, and he expanded or got out; he has substituted capital for labour.

In many cases this means bigger, more powerful machinery. This is not a simple or easy move and there are many potential ways to mske the wrong decision.

Department Expands Market Information Service, Department Of Agriculture, Western Australia

Journal of the Department of Agriculture, Western Australia, Series 4

Following recent expansion, the Department of Agriculture's Market Information Service now provides an impressive array of services, and more are on the way.

West Midlands Development : The Economics Of New Land Development, I J. Moncrieff

Journal of the Department of Agriculture, Western Australia, Series 4

THE economics of new land development cannot really be separated from the financial aspects.

However, financing development is such a personal business that for general advisory purposes the distinction must be made.

For this reason, the article which follows largely avoids the financial side and is devoted to a consideration of some of the economic factors involved in the development of new land in this area.

Sheep Programmes For Esperance Settlers With Limited Finance, R J. Doyle, G. D. Oliver

Journal of the Department of Agriculture, Western Australia, Series 4

FARMING in the Esperance region has now passed through the phase of experimentation into the phase of consolidation.

But not all new settlers are prosperous.

On occasions, a lifetime ambition to own and operate a farm has ended in failure because the settler has been forced through economic circumstances to give up his block.

Too often this follows the unequal struggle of trying to develop a block with too little capital.