|Farm Records Book For Management|
|Farm Records Book|
The intent of this “Farm Records Book for Management” is to assist you in collecting and organizing your farm's data.
Collecting your farm's data is a preemptive necessity to analyze your farm's financial performance, and therefore improve management decisions;
and to comply with the Internal Revenue Service while decreasing your tax liability.
|Extension Bulletin E-1144|
By making good decisions for your farm, we hope that your business will succeed, therefore improving your own life and the lives of those around
you and building a strong agricultural industry in Michigan.
|Prepared by Florencia Colella||Revised October 11th, 2023|
We suggest that you:
1. Keep the income and expense accounts current as the year progresses. Estimate and adjust your tax liabilty before the end of the year.
2. Close the accounting year by summarizing the income and expenses and file taxes with a knowledgeable farm tax specialist.
3. Take inventory of assets and liabilities to prepare an end-of-year Net Worth Statement.
4. Identify the strengths and weaknesses of your farm business by comparing your performance to your historical performance, to your goals,
and to the performance of other farm businesses. Find business analysis reports for various types of farms at www.finbin.umn.edu or
www.canr.msu.edu/telfarm/business-analysis-summaries. Sections 9 and 10 of this book will guide you as you develop your own farm analysis.
5. Maintain or expand the strong enterprises or profit centers of your farm business and improve or eliminate the weak areas. Your MSU Extension
|MSU is an affirmative-action, equal-opportunity employer, committed to achieving excellence through a diverse workforce and inclusive culture that encourages all people to reach their full potential. Michigan State University Extension programs and materials are open to all without regard to race, color, national origin, gender, gender identity, religion, age, height, weight, disability, political beliefs, sexual orientation, marital status, family status or veteran status. Issued in furtherance of MSU Extension work, acts of May 8 and June 30, 1914, in cooperation with the U.S. Department of Agriculture. Quentin Tyler, Director, MSU Extension, East Lansing, MI 48824. This information is for educational purposes only. Reference to commercial products or trade names does not imply endorsement by MSU Extension or bias against those not mentioned.|
agent can help tailor your financial information so you can analyze the farm as a whole or by enterprise.
6. Get assistance and additional evaluation on your financial situation from an objective resource person; e.g., MSU Extension, a paid consultant,
and other sources including your creditor.
7. Use your own farm records as a basis when budgeting and planning credit needs.
1. Farm expenditures
4. Cash flow statement
A. Cash farm expenses
A. Detailed cash flow statement
FARM ID NO.
B. Cash flow summary
B. Labor record
5. Farm taxes
6. Other taxes
C. Purchases of business property
A. For Form 1040
B. For Schedule 1 – Additional Income and Adjustments to Income
II. Hints for calculating depreciation
C. For Schedule A – Itemized Deductions
D. Loan transactions
D. For Schedule SE – Self-employment tax
I. Short-term Loans
E. For Michigan Income Tax
II. Intermediate-term Loans
III. Long-term Loans
A. Crop production
2. Farm income
B. Livestock production
A. Cash Farm receipts
8. Net worth statement
A. Detailed statement
B. Sales of business property
B. Summarized statement
C. Hints for making inventory estimations
Total Acres Owned:
3. Personal deductions and adjustments to income
A. Itemized deductions
9. Income statement
B. Adjustments to income
Acres Rented: (Your Share Only)
10. Financial measurements
Land Rental Arrangement (cash, crop share, etc.) - Description
Find this book online at http://bit.ly/farmrecordsbook
Use it in Google sheets by going to "File" and "Make a Copy". Use it in Excel by going to "File" and then "Download". Once in Excel, press the
ctrl key and while keeping it pressed, click on all the sheets at the bottom. Then click on the corner square left of the A column heading and above
the first row. Then right click on one of the columns and change the column width to 2.8. Do the same on any row, and change the row height to
You may also print this at home using normal Letter paper by going to "File" and "Print". If the print preview doesn't look quite right, try clicking
"Next" and going to the second print preview. If that looks good you should be all set to print.
Total Acres Rented:
Suggestions? Questions? Call or message Florencia Colella at 231-224-6439 or firstname.lastname@example.org.
Thank you to the Good Food Fund and Keina Megginson for their work on making this book accessible to more Michigan producers.