By Robert Klein
The Nebraska Crop Budgets have been updated for 2018 costs and conditions, and include five new budgets relative to corn-soybean rotations. In total, there are 78 crop production budgets for 15 crops, as well as information on crop budgeting procedures, machinery operation and ownership costs, material and service prices, and a crop budget production cost summary.
Crop production budgets are grouped by crop and provided in two formats: PDF and an editable Excel that allows you to customize the budget to reflect your operation.
These budgets were developed and edited by Extension’s Robert Klein, western Nebraska crops specialist; Roger Wilson, farm management and enterprise budget analyst (retired); and Jessica Groskopf and Jim Jansen, ag economics educators. Contributing to the budgets in their specialty areas were entomologist Robert Wright; plant pathologists Tamra Jackson-Ziems, Loren Giesler and Stephen Wegulo; engineer Paul Jasa; and James Schild, educator in Scotts Bluff and Morrill counties.
These budgets usually reflect the low one-third in cost per unit of production. For most producers this is a good basis to use for comparison and identify areas where they might be able to lower costs.
For example, if machinery costs are much higher compared to the budgets, you may want to examine ways to reduce the expense by doing custom work, or selling some machinery and hiring custom work for that operation.
These budget projections were created using assumptions thought to be valid for many producers in Nebraska; however, each farming operation is unique. A video on the budget website helps viewers customize a budget for their operation.
In addition to the advantages of having customizable budgets, there is also a caveat: The danger of releasing a tool that can subsequently be modified is that there is no way to verify whether alterations were made or unrealistic data was entered. Users of this tool are responsible for independently verifying all results prior to relying on them.
The 2018 crop budgets are available at cropwatch.unl.edu/budgets.
Klein is a Nebraska Extension western Nebraska crops specialist. This report comes from UNL CropWatch.