Written by: Kyle Meyer, CPA This newsletter is meant to give you a brief overview of how insurance proceeds are treated in the tax law and give you some strategies to avoid unnecessary taxes. Crop Insurance Proceeds from crop insurance, as a result of crop damage or revenue protection, are considered taxable income. These are [...]
2020 Harvest Price Corn $3.99 Soybeans $10.55 Both corn and soybean harvest prices are higher than the Projected Price that was set last February. 2020 Projected Price Corn $3.88 Soybeans $9.17 Most farmers carry Revenue Protection and are guaranteed the higher of the Projected Price (spring price) or Harvest Price. 2020 claims [...]
Rain makes grain...variable yields and rainfall have been the hot topics as farmers harvest. Which fields got timely rain? How did that impact yields? Here is a chart that shows rainfall by location in June, July, and August. *Compared to 30 year average is from October 2019 - October 2020. *Data was captured by Climate. [...]
Enhanced Coverage Option (ECO) was released by RMA as a new crop insurance product for the 2021 season. What is ECO? ECO is an area-based crop insurance product that allows you to cover from 86% up to 90% or 95% of the county's expected crop value. How does ECO fit into my crop insurance plan? [...]
CFAP 2 payments are now available through December 11. Complete an application Here is the link to the application page - https://www.farmers.gov/cfap/apply I have applications in my office that can be completed and returned the FSA office. I can provide your total reported acres for 2020 and your 2020 APH. Payments Corn payments: 2020 Reported [...]
The Derecho Storm on 8/10/2020 caused widespread damage and left farmers with decisions to make on damaged crops. Let's talk about federal crop insurance. The first question is... can the crop be mechanically harvested? If normal harvesting methods and equipment can be used to harvest the crop, the crop would be considered harvestable. Normal harvesting [...]
Margin Protection is an attractive option to combine with your Revenue Protection policy. Most of you carry 80% or 85% Revenue Protection as your federal crop insurance. You could enhance or strengthen your coverage by combining the two. Here are a few reasons why. Diversify your risk management strategy Margin Protection's Project Price discovery [...]
Margin Protection is an area based crop insurance product with a coverage limit up to 95%. The policy works fairly similar to the federal crop insurance product, Revenue Protection, which many of you carry. First, you obtain an expected margin based on price, yield, and operating costs. Next you elect a coverage level, 70- 95% [...]
Check out my September newsletter! Articles Include: Potential for MPCI Revenue Claims in 2020 Grain Fire Calibration Tips Claim Potential on 95% Coverage Farm Bill Updates for 2019 Crop Harvest Reminders & Events Weather or Not, Cover that Crop - September 2020
We are excited to announce that Betsy Harms has chosen to join Phillips Stafford Insurance Group in our Ackley, Iowa office. Betsy has been an independent agent since 2010 serving her clients with their home, auto, farm, commercial, life, and health insurance needs. Her roots are in agriculture with a degree from Iowa State in [...]
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