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Dairy Enterprise Budget

Author: John Molenhuis - Business Analysis & Cost of Production Program Lead/OMAFRA
Brian Lang - Dairy Cattle Production Specialist/OMAFRA
Creation Date: 9 February 2005
Last Reviewed: May 2009
  • 65 cow herd, 67 kg. of quota held, 7,938 litres/cow shipped
  • 6,254 hL within quota, 17 hL over quota
  • expenses do not include unpaid owner/operator labour allowance
Revenue
Milk Revenue Within Quota
 Total $ Revised May 2009
Sample Revenue $/cow		 Revised
May 2009
Sample Revenue
$/hL		 Your Farm Budget

Value of Butterfat

6,254 hL x 3.91 kg/hL @ $10.05/kg
245,772
3,111
39.19
 

Value of Protein

6,254 hL x 3.31 kg/hL @ 7.69/kg
159,198
2,015
25.39
 
Value of Other Solids
6,254 hL x 5.74 kg/hL @ $1.63/kg
58,519
741
9.33
 
Gross Milk Income
463,490
5,867
73.91
 

Less Over Quota Charge
0
0
0
Less High SNF Ration Deduction
0
0
0
Total Milk Revenue net deductions
463,490
5,867
73.91

Revenue from Animals Sold
 # head Total $ Sample Revenue
$/cow 		Sample Revenue
$/hL		 Your Farm Budget
Bull Calves or Dairy Steers
 29
2,320
29
.37
 
Heifers for Beef
1
350
4
.06
 
Heifers for Breeding
2
2,400
30
.38
 
Cull Cows for Beef
20
9,500
120
1.51
 
Cows for Breeding Stock
3
4,800
61
.77
 
Other
 
0
0
0
  
Total Revenue from Livestock Sales
 
19,370
245
3.09
 
Total Expected Revenue (Milk Revenue + Livestock)
 
482,860
6,112
77.00
 

Expenses
Purchased Feed:
 # head Total $ Sample Revenue
$/cow 		Sample Revenue
$/hL		 Your Farm Budget
Hay
 
0
0
0
  
Grain
 
12,300
156
1.96
  
Protein Supplement
 
22,400
284
3.57
  
Salt & Mineral
 
7,200
91
1.15
  
Other
 
8,700
110
1.39
 

Homegrown Feed:
 # unit Total $ Sample Revenue
$/cow 		Sample Revenue
$/hL		 Your Farm Budget
Wheat
 0
 
  
Spring Grains
70
12,250
155
1.95
Corn
98
18,620
236
2.97
  
Other
2
330
4
0.05
  
Corn Silage
459
16,524
209
2.63
Hay
150
16,500
209
2.63
Haylage
655
36,025
456
5.74
Pasture
0
0
0
0
Other
0
0
0
0
Total Feed Cost
150,849
1,909
24.05

Livestock Purchases
 # head Total $ Sample Revenue
$/cow 		Sample Revenue
$/hL		 Your Farm Budget
#1
 
7,585 
96
1.21
 
#2
 
 
 
 
 
#3
 
 
 
 
 

Other Costs
 Total $ Sample Cost $/cow Sample Cost
$/hL		 Your Farm Budget
Hired Labour
44,700
566
7.13
 
Vet & Medicine
13,193
167
2.10
 
Breeding Fees
7,742
98
1.23
ODHIC
5,214
66
0.83
Breed Assocation Fees
1,100
14
0.18
Milk Marketing Expenses
6,274 hL @ $4.585
28,753
364
4.59
Livestock Marketing & Trucking
850
11
0.14
Stable & Milkhouse Supplies
8,925
113
1.42
Custom Work
4,890
62
0.78
Machinery & Equipment Rentals
0
0
0.00
Other Dairy Expenses
7,400
94
1.18
Fuel
4,345
55
0.69
Mach. Repair & Maint.
4,819
61
0.77
Bldg. Repair & Maint.
8,532
108
1.36
Rent
790
10
0.13
General Variable Costs (including utilities, professional fees, vehicle expenses, etc.)
14,536
184
2.32
Interest on Operating Capital
3,711
47
0.59
Total Variable Expenses
317,934
4,024
50.70

Fixed Costs
 Total $ Sample Cost $/cow Sample Cost
$/hL		 Your Farm Budget
Depreciation
20,277
263
3.31
 
Interest on Term Loans
27,255
345
4.35
 
Long-term Leases
790
10
0.13
 
General Fixed Costs (including property taxes, fire and liability insurance, etc.)
9,243
117
1.47
 
Total Fixed Costs
58,065
735
9.26
 
Total Expenses
375,999
4,759
59.96
  
Gross Margin (Revenue - Variable Costs)
164,926
2088
26.30
  

 

The user of this worksheet assumes all responsibility

 

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