Machinery Cost Estimates: Field Operations

1 United States Department of Agriculture Local Extension Councils Cooperating University of Illinois Extension provides equal opportunities in programs and employment. Department of Agricultural and Consumer Economics College of Agricultural, Consumer and Environmental Sciences University of Illinois at Urbana-Champaign Machinery COST ESTIMATES: Field Operations September 2021 TractorImp le me n tFuelFuelOperationTotal= Overhead+ Overhead+ & Lube+ LaborUs ePrimary tillage --------------------------------- $ per acre ------------------------------galCh is el p lo k rip p er (d is k, ch is el, ro llin g b k) ical t illag e, ro llin g b as u lch t iller (d is k, ch is el) et dis rip t illag (shanks only) econdary tillag eField cu lt iv at o finisher (disk, chisel, drag) performance -t ill p lan t d -t ill d careRotary praying and ammonia applicationSelf-p ro p u id Fert ilizer A p p licat o n Cost applies to soybean acres Mowing costs are $ per hourTable 1.

2 Per Acre Field Operation Costs. Machinery Cost Estimates: Field Operations United States Department of Agriculture Local Extension Councils Cooperating University of Illinois Extension provides equal opportunities in programs and employment. Table 1 shows estimated costs of performing agricultural Field Operations . These estimates are useful for determining custom rates and for analyzing Machinery costs on farms. Costs include overhead (depreciation, interest, insurance, housing and repairs), fuel and labor charges. Not included are allowances for profit. Charging custom rates at estimated costs should cover all costs, but will not generate a profit. Adding 5 to 15 percent to estimated costs is appropriate for setting custom rates. Cost Estimates Formulas published by the American Society of Agricultural Engineers are used to calculate costs.

3 All costs are based on buying new Machinery and owning Machinery for 10 years. Variables used in calculating costs are shown in Table 2. Costs in Table 1 are divided into four categories: Tractor overhead includes depreciation, interest, insurance, housing, and repair charges for the tractor used to pull the implement. Implement overhead includes depreciation, interest, insurance, housing, and repair charges for the implement. Fuel charges are based on diesel fuel priced at $ per gallon. lubrication cost is calculated as 10 percent of fuel cost. Labor costs are based on a $ per hour labor charge. Labor time is 10 percent more than hours for the tractor or self-propelled machine. Costs shown in Table 1 are estimated for a specific implement size generally associated with a 1,400 acre grain farm. Estimated costs for these and other sized implements are shown in Appendix Table 1.

4 Usually, but not always, total per acre costs decrease slightly as implement size increase. However, total costs for different sized implements do not differ greatly when acres covered are matched to the size of the implement. Use and Costs The majority of costs associated with Machinery are overhead, including costs for depreciation, interest, insurance, housing, and repair. On an annual basis, depreciation and interest are relatively constant no matter how many acres are covered. As acres increase, yearly depreciation and interest costs are spread over more acres for a given implement size. Therefore, costs per acre decline as acres of use increase for a given implement size. Appendix Table 1 lists acres used to calculate total costs per acre. On average, acreage decreases of 50 percent result in 80% increases in costs. Acreage increases of 50 percent result in cost decreases of 25 percent.

5 Fuel and labor costs per acre are constant regardless of acres covered. Prepared by: Dale Lattz and Gary Schnitkey, Department of Agricultural and Consumer Economics, University of Illinois. United States Department of Agriculture Local Extension Councils Cooperating University of Illinois Extension provides equal opportunities in programs and employment. Co s t s -------------------- Cos ts per Acre --------------------------TractorLis t -- Acres per --per TractorImp le me n tFuel Fu el Us eImp le me n t / s izeHPPriceHourYearHour Total= Overhead+ Overhead+ & Lube+ LaborPer Acre HP $ ac/hr ac/yr $/h r ------------------------ $ per acre -----------------------------g ft20547, ft22555, , ,134 , ,260 , ,470 , ,680 , ,848 , ,974 , ,310 , ,562 k Rip p er (d is k, ch is el, ro llin g b as ket )12 ft20550, Ft31064, Ft390101, Ft490117, ,134 Ripper (disk, disk, ripper, closing disk, rolling basket)

6 14 ft31079, ft39095, ft390103, ft490130, ,078 ft590152, ,176 ical t illag e, ro llin g b as ket25 ft 5 in260105, ,601 ft 3 in285126, ,906 ft 10 in390140, ,131 ft 6 in440177, ,741 ft 6 in590209, ,119 plow6 bottom17550, bottom20557, bottom 26080, bottom28589, u lch t iller (d is k, ch is el s h an ks )11 ft. 3 in .14022, ft. 9 in .17527, ft. 3 in .20531, ft. 9 in .24047, ft 3 in .26049, et dis k10 ft. 12030, , ft. 20535, Table 1. Costs for Different Sized is el p lo w United States Department of Agriculture Local Extension Councils Cooperating University of Illinois Extension provides equal opportunities in programs and employment. Co s t s -------------------- Cos ts per Acre --------------------------TractorLis t -- Acres per --per TractorImp le me n tFuel Fu el Us eImp le me n t / s izeHPPriceHourYearHour Total= Overhead+ Overhead+ & Lube+ LaborPer Acre HP $ ac/hr ac/yr $/h r ------------------------ $ per acre -----------------------------g rip Till12-ro w28588, , w440111, , w640147, , (shanks only)10 ft 6 in1757, ft 7 in2409, ft26014, ft 4 in31017, ft 8 in44020, finisher (disk, chisel, and drag)21 ft 9"22577, ft 9"24086, , ft 9"26099, , ft 9"285111, , ft 9"285117, , ft 3"310135, , ft 3"390159, , ft 3"490178, , ft 3"590191, , cu lt iv at o r29 ft.

7 6 in .24071, , ft. 6 in ,24072, , ft. 6 in .28575, , ft. 6 in .310104, , ft. 6 in .310108, , ft. 6 in .390115, , ft. 6 in .390120, , ft. 6 in .440126, , ft. 6 in .490128, , ft. 6 in .590148, , Table 1. Costs for Different Sized Implements, cont. United States Department of Agriculture Local Extension Councils Cooperating University of Illinois Extension provides equal opportunities in programs and employment. Co s t s -------------------- Cos ts per Acre --------------------------TractorLis t -- Acres per --per TractorImp le me n tFuel Fu el Us eImp le me n t / s izeHPPriceHourYearHour Total= Overhead+ Overhead+ & Lube+ LaborPer Acre HP $ ac/hr ac/yr $/h r ------------------------ $ per acre -----------------------------g disk23 ft. 7 in .17569,131 ft. 5 in .20576,591 ft.

8 3 in .22582,300 ft. 7 in .24094,099 ft. 8 in .285122,945 ft. 11 in .310151,283 Performance Disk17 ft 7 in .26093,275 ft 4 in .310100,173 ft 440139,844 ft490154,216 ft590165,714 seeding20 ,839 planter6-row12045,133 , w175123,718 w205157,182 w240240,945 w260430,825 w310463,887 planter (soybean acres only) 12-ro w s p lit20552,578 w s p lit22567,125 -t ill p lan t er (30" ro ws )8-row14070,181 w175138,598 w225177,022 w260270,705 d rill13 ,784 ,698 ,977 ,790 -t ill d rill10 ft11051,760 ft14059,666 ,974 Table 1.

9 Costs for Different Sized Implements, cont. United States Department of Agriculture Local Extension Councils Cooperating University of Illinois Extension provides equal opportunities in programs and employment. Co s t s -------------------- Cos ts per Acre --------------------------TractorLis t -- Acres per --per TractorImp le me n tFuel Fu el Us eImp le me n t / s izeHPPriceHourYearHour Total= Overhead+ Overhead+ & Lube+ LaborPer Acre HP $ ac/hr ac/yr $/h r ------------------------ $ per acre -----------------------------g seeder28 , , , , , hoe30 , , cultivator (30" rows)8-row14029, w15552, w22566, sprayer (High-crop ready)80 ft boom85283, , ft boom85413, , ft b o o m85415, , sprayer 120 ft b o o m85426, , Sprayer90 , , ammonia applicator27 ft. 6 in .17579, ft. 6 in .24099, , ft. 6 in.

10 285117, , ft. 6 in . 390122, , ft. 6 in .490135, , u id Fert ilizer A p p licat o r40 , , ft. 26082, , and ditch mowing15 ft14024, , Table 1. Costs for Different Sized Implements, cont.