1. Wayne Pike – Instructor
2005 – A Year of Opportunity And an Annoying Reminder of our Need to Change and Grow
Wayne Pike – Instructor
April 2006

2. 3 Characteristics of Your Farm Business Management Instructors
We are exceedingly dedicated.
We are really good with numbers.

3. The Cruelest Tax-Inflation
“A persistent increase in the level of consumer prices or a persistent decline
in the purchasing power of money, caused by an increase in available currency
and credit beyond the proportion of available goods and services.”
It is here to eat our lunch.
If your business does not grow, you are on a fixed income. You are
slipping downstream against the current of change.
A cost of living increase based on the inflation rate (such as Social Security cost of living adjustments) is not getting ahead. That is why it is called a fixed income.
To get ahead we have to beat inflation.

4. Inflation Adjusted Family Living

9. Net Return Feels the Squeeze

13. Farm Earnings v. Everybody Else
USDA says:
2 million farmers
12 million other self-employed (plumbers, doctors, etc.)
94 million who work for others (FBM instructors, rodeo clowns, etc.)
Farmers earn more than those who work for others, but less than other self-employeds.
Farmers are wealthier than those who work for others and wealthier than half of other self-employeds.
Source:

14. Conclusion Growth comes in many forms:
Scale (more land, more livestock)
Profitability (improved margins)
More equity, less debt.
Working less, earning the same.
Earning the same with less investment.
Innovation – Adopting technologies.
Using other people’s ideas.