We rent trucks, tractors, and hire crews for harvest. It may be different with grapes but the cost of a set of doubles and a semi tractor that really would not be used any other time of the year makes sense. Remember, the rental cost can be written off more fully than other costs. There are many tractor sale places that will rent here in Northern CA. We do have our own bins that we pick into. Those are hard to come by. Custom picking by crew or harvester is an option. Many of the machine pickers are too costly to have sitting around all year.
The same goes for my cattle. It is better to hire out the haul than to maintain a truck and trailer, especially when I add in my time driving. Even sending a few head to the yard, there are plenty of guys that will haul. Again, it can be written off.
If you feel a need to own equipment, consider starting a paper company that handles the equipment and rents it to your farm business. When you do work for others it makes things clearer on paper and allows for a ton of write offs on both sides. This is one of the reason all the big cattle companies are land and cattle. Each part of the business has its specialty and benefits.
We have dozers for road work that get used a couple of times a year. I pushed the numbers and it definitely pays to rent or hire out. If had sold the dozers years ago, that money would have covered road maintenance for 10 years. Now CA is set to declare nearly every diesel piece of equipment illegal due to new environmental laws. It is anybody's guess when your new tractor will no longer be deemed clean.
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Today's Featured Article - A Lifetime of Farm Machinery - by Joe Michaels. I am a mechanical engineer by profession, specializing in powerplant work. I worked as a machinist and engine erector, with time spent overseas. I have always had a love for machinery, and an appreciation for farming and farm machinery. I was born and raised in Brooklyn, New York. Not a place one would associate with farms or farm machinery. I credit my parents for instilling a lot of good values, a respect for learning, a knowledge of various skills and a little knowledge of farming in me, amo
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