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tractor and drill depreciation
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mennoboy
Posted 6/7/2008 16:16 (#392481)
Subject: tractor and drill depreciation


Rivers, MB
Just doing some figuring for a custom seeding rate. Helped out a friend. What do you guys figure a CIH 9370's depreciation is. Is $50/hr in the ball park. Use it 350 hrs/year. $17500/year. Sounds high. Haven't traded to something new in a looooong time so am feeling a little out of touch with what it would cost to trade. How about a 50' Morris drill. I'm thinking about $2.00/ac depreciation. Seeding about 4000 ac/year with it. 10 years of that and $80 000 to trade to a new one of similar width and air cart size. Am i even close? Repairs and fuel are easier to keep track of and calculate. You guys that are in dryland non-row crop farming. What is the custom rate for seeding? We provided one truck and one man to run drill. Farmer supplied the other truck to haul the starter fertilizer. NH3 was applied in a separate pass by farmer.

We were at $12/ac a few years ago and with the price of fuel, my thinking it should be around $15/ac where we provide the fuel.

Any thoughts? Am I out to lunch! Let me know.
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