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Showing posts from October, 2020

What is a Fair Farm Rental Agreement?

Download the 2020 Southern Land Rent Meeting Handout Download the 2020 Northwest Land Rent Meeting Handout Download the 2020 Central Land Rent Meeting Handout View recordings of the webinars *November 16, 2020 update - All land rent meetings will be held online* Landlords, farmers, and agri-business professionals should make plans to attend one of the informative meetings being held across Minnesota and online. These free meetings are being provided by the University of Minnesota Extension. Farm land rental rates are the largest input cost the farmer has.  Determining a fair farm rent agreement is a challenge in today’s economy. Negotiating a fair rental agreement that satisfies the land owner and the farmer is a challenge. Ag Business Management Extension educators David Bau, Nathan Hulinsky, and Amber Roberts will provide several ways, including factsheets and worksheets to determine a fair farm land rental rate for both parties. Topics covered at the meetings will include local hist

PPP Forgiveness Application for Loans Under $50,000 Now Shorter

 by Megan Roberts, Extension educator Effective October 8, 2020, Paycheck Protection Program (PPP) borrowers receiving forgivable loans of $50,000 or less can use a streamlined forgiveness application. Borrowers have 10 months after the end of the covered period to submit for forgiveness. Based on the timing of the first PPP loans, no PPP borrower has an eminent forgiveness application deadline in 2020. Further, this is the third major change to the forgiveness applications for PPP loans, and given the history of changes, borrowers should be aware this might not be the last update this year to the program. 3508S For borrowers $50,000 or under, you may now use the 3508S or lender equivalent (i.e. the short form). You will not need to submit calculations on your 3508S forgiveness application, but you do still need to initial that you’ve “accurately calculated the forgiveness amount requested” and met all the stipulations for forgiveness. The stipulations include, for example, that

Outlook for the 2020 Crops

WORTHINGTON, Minn (9-15-2020). The fall crop harvest is quickly approaching with corn silage harvest completed on many farms, next comes the soybean and corn harvest. With the recent dry weather, many farmers are hoping to have little to no drying costs for corn. The dryer weather conditions in August took the top off yields, but it still looks like an excellent crop. So, what is the outlook for this year’s crops? Until recently, corn prices were at or below $3.00 and soybean prices were at or below $8.00. But with recent good exports, purchases from China and a shrinking crop from earlier USDA predictions, corn and soybeans prices have rallied to above $3.15 and soybeans above $9.30. With projected average production costs in 2020 of $743 per for corn and $483 per acre for soybeans, how does this compare to projected income? Using high yields of 250 bushels per acre on corn and 60 bushels for soybeans at current prices, gross income would be $787.50 for corn and $558, which would both