Finance for Farmers and Ranchers

This webpage is a source for all things farm accounting. Many producers rush out to buy powerful software packages to start their record-keeping journey. The issue with that is often that producer has purchased a tool without the knowledge to wield it. Does purchasing a $1,500 welder make you good at welding if you don’t have the proper knowledge about things like materials and the steps for different kinds of jobs? Even with fancy tools, if you are lacking a complete understanding of how to use them, you can put yourself in less-than-ideal situations.

The same holds true with accounting and record-keeping, especially when software is involved.If you don’t understand the “what” and “why” of record-keeping, you will often find poor indicators for decision-making.

On this webpage, you will find resources that help you with every level of knowledge, including:

• Basics: t-accounts, debits vs. credits, and types of financial statements
• Intermediate: closing entries, financial ratios, and revenue recognition
• Managerial:: profit centers, costing, and inventory
• Taxes & Policy: federal tax updates, grants, and reporting standards

Don’t be afraid to go back to basics when needed. Especially in farming and ranching, there is a need to have a grasp on many disciplines. Attempting to be an expert at everything would be a tall order. So, use what you need, review what you forget, and ask questions/make recommendations to spur new content.