Part 1, Section 12: Farm Management: Enterprise Budgets
Farm Management: Enterprise Budgets
SAMPLE BUDGETS
Grass Hay Budgets
- Receipts: For the sample budgets, a yield of 1.5 tons of hay per acre is assumed in the year of establishment. In the production years, a yield of 2 tons of hay and 2 tons of haylage is used for orchardgrass and 3 tons of hay for timothy. Orchardgrass hay is valued at $180 per ton, orchardgrass haylage at $80 per ton, and timothy hay at $220 per ton.
- Variable costs: The establishment budget assumes conventional tillage and a seeding rate of 12 pounds per acre. Labor is charged at $12.50 per hour for operator labor and $10 per hour for other labor. Off-road diesel fuel is budgeted at $4.20 per gallon. Fertilizer applied is 30-30-90 for establishment and 45-70-210 for orchardgrass production and 100-60-180 for timothy production (you should adjust your costs to account for any manure applications in your own budgets). An application of 2 tons per acre of lime is assumed in the establishment budget.
The herbicide program consists of one annual application of 2,4-D amine in all three budgets. No insecticide costs are included in the grass hay budgets. The pesticides used for developing cost estimates are for example purposes only; see Part 2.6: Forages Pest Management for a complete listing of recommended materials.