3 Financial Priorities for Farmers in February
02 February 2023, US: With so many tasks requiring your constant attention as a farmer running a demanding business, it’s easy to put operational to-dos on the back-burner… but these tasks can often be some of the most important and time-sensitive.
Here are a few financial priorities to keep top of mind this month:
1. Finish Your Taxes
If you didn’t submit your taxes by the initial January 17, 2023 deadline, you have until March 1, 2023 to get your paperwork finalized and submitted.
If you earn your income from a farming business, you may be able to avoid making any estimated tax payments by filing and paying your entire tax due on or before March 1, according to the IRS.
This rule generally applies if farming income was at least two-thirds of your total gross income in either the current or the preceding tax year. Those who choose not to file by March 1 should have made an estimated tax payment by January 15 in order to avoid an estimated tax penalty, the IRS also explains.
For more detailed tax information, visit the IRS website or USDA website.
[READ: 7 Ways to Potentially Reduce Tax Liability for Your Ag Operation]
2. Select Your MPCI Coverage Before the Deadline
Multi Peril Crop Insurance (MPCI) coverage is available for more than 100 different crops (though not all crops are covered in every region) to protect farmers against crop losses due to natural events.
Key insurance dates vary by crop and region of the United States. The important deadlines are:
- Sales Closing Date (SCD)
- Acreage Reporting Date (ARD)
- Premium Billing Date
For crops planted in the spring (including corn, soybeans, cotton, grain sorghum, rice, spring wheat and spring barley), the SCD is generally March 15 with an ARD of July 15.
If you haven’t gotten a second opinion on your crop insurance coverage in the last few years, now is the time to see how a personalized approach to insurance could make a difference in your operation. To ensure you meet the appropriate deadlines for the crop you are growing for your specific state and county, contact an FBN® insurance agent.
[READ: When Are Multi Peril Crop Insurance (MPCI) Deadlines?]
3. Complete Your Input Purchases
While it can be tempting to put off buying inputs until later, you can support your bottom line and put yourself in a good position to manage pressures in your fields this season by purchasing crop protection products this winter. Sitting down now to consider your needs — and build your strategy to address them — can help inform your ag chemical purchase decisions and eliminate waste this season.
Think about the overall effectiveness of your weed, insect and disease control strategies last year. Will you use some of the same chemistries this year? If you have a clear picture of your management strategy for the upcoming season, don’t miss out on pricing discounts available now.
Get it done and get ahead on your crop plan for the upcoming season with FBN Direct®. Right now, AgSaver™ Glyphosate 53.8%, Willowood Glufosinate 280SL, Willowood Glypho 6 and other key ag chem products are available at special prices for a limited time only*.
Plus, you can also finance your crop inputs and livestock products with the 2023 Crop Input Financing Program from FBN Finance. Now through August 31, 2023, you may be able to get a 6.5% interest rate on qualifying financed purchases of seed, crop protection, adjuvants, crop nutrition, livestock feed and animal health products.
If you’re new to FBN or have not recently ordered from FBN Direct, take advantage of the New Customer Financing Program. You could get 0% financing for 30 days from the date of your first qualifying purchase, plus the ability to lock in 0% interest through August 31, 2023 by spending a minimum $20,000 on all product categories or $5,000 on livestock products within 30 days of your first purchase. (Terms and conditions apply; see program information for details.)
[VIEW: The FBN 2023 Crop Protection Guide]
Also Read: Union Budget 2023 must consider reduction in GST rates on Agrochemicals: R G Agarwal, Chairman of Dhanuka Group
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