Farm Bureau

Feb 25, 2025 | fb.org

More than 850,000 farms and ranches nationwide have a lower tax bill under the Section 199A qualified business income deduction provision and its expiration could cause the single largest tax increase for farm and ranch families in 2026.

Jan 27, 2025 | fb.org | Samantha Ayoub

In our marginal tax-rate system, a taxpayer does not pay one rate on all their income, but rather the total bracket liability immediately before their income amount and a portion of their top income in the maximum rate. For example, a moderate-size farm filing a married, joint tax return with an adjusted gross income of $117,000 would pay $18,000 in taxes in one year: 12% of $77,400 ($9,288) plus an additional 22% on the $39,600 above the threshold for the 22% tax bracket.

Jan 9, 2025 | fb.org | Samantha Ayoub

Samantha Ayoub Associate Economist In 2022, 39% of agricultural land was rented – a proportion that has remained relatively stable for over 50 years. When deciding how to acquire land, rising farm real estate values can be a valuable asset or an extra hit to growing production expenses. Farmers and ranchers who operate a mix of owned and rented land make up over half of agricultural land in production and are affected by both sides of land value spikes.

Nov 21, 2024 | fb.org | Samantha Ayoub

Eleven of the 15 regions will see an increase in wages larger than the national growth rate. The Southeast – South Carolina, Georgia and Alabama – and Florida can expect a 10% increase in 2025, over $1.40 more per hour. In comparison, nonfarm wages rose only 4% from October 2023 to 2024. Florida began raising its state minimum wage $1 per hour each year in 2020 until it reaches $15 per hour in 2026 which may be contributing to spikes in farm wages.

Nov 15, 2024 | fb.org | Samantha Ayoub

However, because of the growing complexity of H-2A rules and paperwork, there has been a rise in the use of farm labor contractors (FLC). These companies employ more workers, whom they apply for, pay and house, that are then sent to different farms to work. FLCs give farmers access to temporary guestworkers to alleviate labor shortages without having to navigate the H-2A process themselves.