5030
Epic Contributor
- Joined
- Feb 21, 2003
- Messages
- 24,650
- Location
- SE Michigan in the middle of nowhere
- Tractor
- Kubota M9000 HDCC3 M9000 HDC
I can relate well. When I got into forage 30 years ago it was all open station with used (and beat equipment) that I was always fixing. After the first year of struggles I made up my mind that if I was going to do it as a business (I still do), I was going to buy and run top notch equipment so I sat down with my accountant and we (he) formulated a plan. Buy new, do quarterly payments, don't be concerned with interest rates because interest is a deduction and turn it every 5 years. I've stuck to that plan ever since with a couple exceptions, mainly tractors. I bought a New Kubota M9 with a cab in 2006 and a 105X in 2007. Didn't like the 105X, sold it last year but still have the M9 and this spring, bought another but an open station (for raking). I do not care for or want an emissions tractor so I run the Kubby's and they get well cared for. Far as implements, I turn them every 5 because one, they are fully depreciated , two, at 5 years they still bring a good buck (which is my down payment on new) and three because what my accountant wants.
I have to say I have not paid Uncle Sam in years either. My offsets always cover all liabilities. Do the same with my rental properties. Always make sure the 'improvements' offset the liabilities. I don't like paying the government anyway. All they do is pizz the money away. I'm much better at spending it.
I have to say I have not paid Uncle Sam in years either. My offsets always cover all liabilities. Do the same with my rental properties. Always make sure the 'improvements' offset the liabilities. I don't like paying the government anyway. All they do is pizz the money away. I'm much better at spending it.