Ever wondered about the potential earnings from your cattle farm, perhaps aiming for profits exceeding $50,000 annually? Understanding the financial intricacies is key, and exploring robust tools like a comprehensive cattle farm management financial model can illuminate your path to maximizing returns.
Strategies to Increase Profit Margin
Enhancing a business's profit margin is crucial for sustained growth and financial health. Implementing strategic adjustments across operations, pricing, and cost management can significantly improve profitability. The following table outlines key strategies and their potential impact on owner income.
| Strategy | Description | Impact |
|---|---|---|
| Optimize Pricing Strategies | Review and adjust product/service prices based on market value, competitor analysis, and perceived customer value. | Potential increase of 5-15% on owner income. |
| Reduce Cost of Goods Sold (COGS) | Negotiate better terms with suppliers, source alternative materials, or improve production efficiency. | Potential increase of 3-10% on owner income. |
| Increase Sales Volume | Implement targeted marketing campaigns, expand distribution channels, or introduce new product lines. | Potential increase of 2-8% on owner income (depending on margin per unit). |
| Improve Operational Efficiency | Streamline workflows, automate repetitive tasks, and reduce waste in processes. | Potential increase of 2-7% on owner income. |
| Enhance Customer Retention | Focus on customer loyalty programs, superior customer service, and personalized experiences. | Potential increase of 3-9% on owner income through repeat business. |
| Diversify Revenue Streams | Introduce complementary products, services, or subscription models. | Potential increase of 4-12% on owner income by broadening income sources. |
| Control Overhead Expenses | Scrutinize fixed costs such as rent, utilities, and administrative salaries for potential reductions. | Potential increase of 1-5% on owner income. |
How Much Cattle Farm Owners Typically Make?
The income a cattle farm owner earns can vary widely. Factors like the size of the farm, how efficiently it's managed, and current market prices all play a big role. For smaller cattle farms, owners might see an average annual income in the range of $30,000 to $60,000. However, larger operations that are managed very well can potentially bring in personal earnings exceeding $100,000 annually.
Looking at broader agricultural data, the U.S. Department of Agriculture (USDA) projected the average net farm income across all farm types, including cattle operations, to be around $116,040 for 2023. It’s important to note this figure represents the overall income for the farm business, not necessarily the personal salary taken home by the owner, and it covers all types of farms, not just cattle.
Factors Affecting Cattle Farm Owner's Net Income
- Type of Operation: Cow-calf, stocker, or feedlot operations have different income potentials and cost structures.
- Herd Size: The number of cattle directly impacts potential revenue. For example, understanding how much profit per head of cattle can an owner make is crucial. A cow-calf operation with 200 head might target a profit of $200-$400 per cow, significantly contributing to the rancher earnings.
- Management Efficiency: Controlling farm management expenses and optimizing herd health and reproduction are key to maximizing profitability.
For many family cattle farms, relying solely on livestock sales income can be challenging. A USDA report from 2022 indicated that a significant 86% of farm households reported off-farm income, averaging $93,485. This highlights that supplementary income from outside the farm is common, often helping to stabilize finances and improve overall household earnings.
Understanding the economics of a cattle feeding operation or a cow-calf business requires careful financial planning. Detailed analysis, such as a break-even analysis for a cattle farming business, can reveal critical insights into profitability. Learning how to calculate cattle farm income and expenses is fundamental to maximizing income from a beef cattle farm. For more on managing these aspects, resources like those found at financialmodel.net/blogs/profitability/cattle-farm-management offer valuable guidance.
Are Cattle Farm Profitable?
Yes, cattle farms can be profitable ventures, particularly when owners implement efficient management practices, align operations with market demands, and diligently control expenses. This strategic approach allows many cattle farming businesses to achieve financial success.
Factors Influencing Cattle Farm Profitability
The profitability of a beef cattle farm is subject to significant fluctuations. Key determinants include fluctuating cattle market prices, the cost of feed, and the impact of weather events. For instance, periods characterized by strong beef demand and lower input costs often result in robust profitability. Conversely, market downturns or increased feed expenses can considerably squeeze profit margins, illustrating the inherent challenges in consistently achieving high income in cattle farming.
Break-Even Analysis for Cattle Farming
Understanding the break-even point is crucial for cattle business profitability, as it varies widely based on operational specifics. For a cow-calf operation, the break-even price per pound for a calf can range significantly, often from $150 to $250 per pound, depending on regional costs and management efficiency. This figure directly impacts potential earnings and the overall financial health of the ranch.
Strategies for Long-Term Cattle Farm Success
- Genetics: Investing in high-quality genetics can improve herd health, reproductive rates, and the market value of offspring, directly contributing to higher ranching financial returns.
- Pasture Management: Effective pasture management optimizes grazing, reduces feed costs, and enhances animal health, leading to better productivity and profitability.
- Direct-to-Consumer Sales: Selling directly to consumers or through local markets can bypass traditional intermediaries, potentially capturing a larger share of the retail price and enhancing overall ranching financial returns beyond commodity markets.
- Cost Control: Vigilant monitoring and management of farm management expenses, such as feed, veterinary care, and equipment maintenance, are essential for maintaining healthy profit margins.
Maximizing Income from a Beef Cattle Farm
Maximizing income from a beef cattle farm often involves multiple revenue streams and careful financial planning. Owners might focus on optimizing livestock sales income by understanding market cycles and selling at opportune times. Additionally, exploring niche markets, such as grass-fed beef production, can open avenues for premium pricing and sustainable income from a pasture-raised cattle farm.
What Is Cattle Farm Average Profit Margin?
The profit margin for a cattle farm owner can fluctuate significantly, typically falling between 5% and 20% of gross revenue. This range is heavily influenced by the specific operational model, current cattle market prices, and how effectively farm management expenses are controlled. Understanding these variables is key to estimating potential livestock farm revenue.
For cow-calf operations, a common business model, net returns per cow can vary widely. In profitable years, an owner might see returns exceeding $300-$400 per cow. However, in less favorable conditions, these operations can even result in a loss, highlighting the variability in how much profit per head of cattle an owner can make and its direct impact on the overall ranching financial returns.
Feedlot operations, focused on finishing cattle for market, often work with tighter margins. These businesses might see profits of 2% to 5% per head. Success in this segment relies on achieving high volume sales and optimizing feed conversion efficiency to generate substantial livestock sales income. Understanding the economics of a cattle feeding operation is crucial here.
Conversely, models like grass-fed beef production or pasture-raised cattle farming can command higher profit margins, sometimes exceeding 25%. This is often due to premium pricing consumers are willing to pay for ethically raised, high-quality beef, combined with lower supplemental feed costs. This contributes to a more sustainable income from a pasture-raised cattle farm.
Factors Influencing Cattle Farm Profitability
- Operational Model: Cow-calf, stocker, or feedlot operations have different cost structures and revenue potentials.
- Market Prices: Fluctuations in live cattle prices and feeder cattle prices directly impact sales income.
- Cost Management: Controlling expenses like feed, labor, veterinary care, and land leases is critical for maximizing beef cattle farm profit.
- Efficiency: Factors like conception rates, weaning weights, and feed conversion ratios affect overall farm management expenses.
- Premium Markets: Accessing niche markets such as organic, grass-fed, or specific breed programs can increase profit margins.
For instance, a small beef cattle operation might aim for a net profit margin of 10%. If such a farm generates $200,000 in gross revenue from livestock sales income, a 10% profit margin would mean approximately $20,000 in net income for the owner after accounting for all farm management expenses. This illustrates how cattle business profitability is directly tied to revenue and cost control.
Exploring detailed cost structures and financial planning, such as those discussed in guides on cattle farm management, can provide a clearer picture for aspiring entrepreneurs. For example, understanding startup costs and potential income is vital; many resources suggest that achieving a good income often requires a significant number of head, with some suggesting 100-200 head as a starting point for a full-time living, depending on efficiency and market conditions.
What Factors Determine The Profitability Of A Cattle Farm?
The income potential for a cattle farm owner, such as those at American Heartland Beef, hinges on several interconnected factors. Understanding these elements is crucial for estimating potential earnings and ensuring a sustainable business model. Key determinants include herd health, the efficiency of feed conversion, the timing of market sales, the management of farm expenses, and the prevailing cattle market prices for both inputs and finished products. For instance, a healthy herd with efficient feed conversion can significantly reduce costs per pound of gain, directly impacting the profit per head of cattle.
Herd Health and Feed Efficiency Impact Cattle Rancher Earnings
Maintaining excellent herd health is paramount for maximizing cattle rancher earnings. Healthy animals grow faster and are less prone to costly diseases, reducing veterinary bills. Feed efficiency, often measured by the feed-to-gain ratio, directly impacts operational costs. For example, a feed conversion ratio of 6:1 means it takes 6 pounds of feed to produce 1 pound of weight gain. Improving this ratio, perhaps through better feed formulation or genetics, can substantially lower the cost of production, thereby increasing the beef cattle farm profit.
Genetic Selection and Breed Differences Affect Profit Per Head
The choice of cattle breed significantly influences how much profit per head of cattle an owner can make. Different breeds possess varying growth rates, carcass yields, and market suitability. For example, some continental breeds might offer faster growth and higher lean meat yields, while British breeds might be favored for marbling and tenderness. A study by the University of Nebraska–Lincoln's Institute of Agriculture and Natural Resources indicates that carcass traits, influenced by genetics, can lead to price premiums, directly affecting the livestock sales income and overall agricultural business income.
Land Management and Forage Quality Reduce Operational Costs
Effective land management and maintaining high-quality pastures are critical for reducing operational costs and boosting beef cattle farm profit. High-quality forages, such as well-managed grass pastures, can supply a significant portion of a cattle's nutritional needs, lessening the reliance on expensive supplemental feeds like grain or hay. For instance, a pasture-based system can reduce feed costs by 30-50% compared to an all-grain system. This directly impacts the ranching financial returns by lowering the cost of goods sold.
Financial Management and Capital Access for Cattle Business Profitability
- Access to Capital: Securing adequate startup capital is essential for covering initial investments in land, livestock, equipment, and infrastructure. For a small cattle farm, startup costs can range from $100,000 to over $1 million, depending on scale and land acquisition.
- Financial Management: Efficient financial management, including detailed record-keeping for farm management expenses and understanding cash flow, is vital for navigating market fluctuations.
- Market Timing: Selling cattle when market prices are favorable can significantly increase the cattle farm owner income. For example, selling finished steers during periods of high demand, such as before holidays, can yield a higher profit per head.
- Cost Control: Monitoring and controlling expenses like feed, veterinary care, labor, and marketing is key to maximizing the net income from a beef cattle operation.
Understanding these factors helps aspiring entrepreneurs like those at American Heartland Beef to build a robust business plan, projecting realistic income and managing risks. For example, a cow-calf operation aiming to produce 100 calves annually might see its profitability heavily influenced by the weaning weight of those calves (influenced by genetics and forage quality) and the market price per hundredweight ($/cwt) at sale time. In 2023, fed cattle prices often fluctuated between $150-$180/cwt, demonstrating the significant impact market volatility can have on livestock farm revenue.
How Many Cattle Do You Need To Make A Good Income?
The number of cattle required to generate a substantial income from a cattle farm varies significantly. Factors such as your desired income level, the efficiency of your farm operations, and prevailing cattle market prices play crucial roles. Generally, a commercial cattle farm aiming to provide a comfortable living, like the envisioned American Heartland Beef, might require a herd of 100 to 200 breeding cows in a cow-calf operation. For operations focused on finishing cattle, such as a feedlot, the numbers could range into the hundreds or even thousands to achieve a comparable income.
Consider a scenario where the average net profit per cow is $200. To achieve an annual income of $50,000 from beef cattle farming, a farmer would need approximately 250 cows. This calculation highlights the scale necessary for a significant cattle farm owner income. It's also important to distinguish whether the cattle farm is intended as a primary income source or a supplemental venture. A small operation might achieve high profitability per head but may not yield a full-time income without additional revenue streams or specialized market sales, impacting the overall livestock farm revenue.
Startup costs and the potential income from a cattle business heavily influence the initial herd size. Acquiring the necessary land, infrastructure, and a starting herd for, say, 100-200 head represents a substantial investment. Understanding these initial capital requirements is key to determining how long it takes for a cattle farm to become profitable. For instance, initial setup costs can range widely, but investing in robust farm management practices from the outset is crucial for long-term cattle business profitability.
Factors Influencing Herd Size for Income
- Desired Annual Income: Higher income goals necessitate a larger herd or more efficient operations.
- Profit Per Head: This is influenced by feed costs, veterinary care, and calf survival rates. For example, a 2021 study indicated that profit per cow could range from $150 to $500 depending on management and market conditions.
- Operational Efficiency: Streamlined processes in feeding, breeding, and marketing directly impact the bottom line and thus the number of cattle needed.
- Market Prices: Fluctuations in cattle market prices can significantly alter revenue per animal, affecting overall ranching financial returns.
- Farm Type: Cow-calf operations typically require fewer animals than backgrounding or feedlot operations to achieve similar gross revenue, though net profit per head can differ.
The question of how much profit per head of cattle an owner can make is central. While gross revenue from livestock sales income is one aspect, net profit margins are what truly matter for cattle rancher earnings. Typical profit margins for a cattle ranch can vary, but a successful operation might aim for a net profit of 5% to 15% of gross revenue. Achieving the higher end of this range often depends on meticulous farm management expenses and strategic market positioning for premium products, such as those offered by American Heartland Beef.
How Can A Cattle Farm Owner Increase Their Revenue?
A cattle farm owner can significantly boost their income by diversifying revenue streams beyond traditional sales. Exploring options like direct-to-consumer sales of premium grass-fed beef or developing value-added products, such as specialty jerky or pre-marinated cuts, can capture a larger share of the consumer dollar. For instance, a farm like 'American Heartland Beef' might establish an online store or participate in farmers' markets to connect directly with customers.
Implementing robust genetic improvement programs is crucial for enhancing herd quality and, consequently, profitability. Focusing on traits like faster growth rates, improved feed conversion efficiency, and superior carcass quality can lead to higher market prices per animal. This direct impact on the value of each head of cattle directly influences the overall cattle business profitability and the potential earnings for a cattle rancher.
Optimizing grazing management and pasture productivity offers another avenue to increase a cattle farm owner's net income. Efficiently managed pastures reduce reliance on costly supplementary feed, which typically represents the largest of the farm management expenses. By maximizing the nutritional output from the land, the cost of production decreases, thereby improving the beef cattle farm profit margins.
Strategies for Maximizing Livestock Farm Revenue
- Diversify Sales Channels: Offer direct-to-consumer sales of grass-fed beef or develop value-added products, moving beyond traditional auction sales to increase livestock sales income.
- Enhance Herd Genetics: Implement programs to improve growth rates and carcass quality, leading to higher prices per animal and improving how much profit per head of cattle an owner can make.
- Optimize Pasture Management: Improve grazing efficiency to lower feed costs, which are a major farm management expense, thereby boosting overall cattle business profitability.
- Target Niche Markets: Explore premium pricing for organic, certified humane, or specific breed beef, which can significantly contribute to higher cattle farm owner income and typical profit margins for a cattle ranch.
Exploring niche markets can unlock premium pricing opportunities, thereby increasing cattle farm owner income. Focusing on segments such as organic beef, certified humane practices, or specific heritage breeds allows producers to command higher prices than commodity markets. This strategy directly addresses the question of maximizing income from a beef cattle farm by differentiating the product and appealing to consumers willing to pay more for specific attributes.
What Are The Biggest Risks To A Cattle Farm'S Income?
Understanding the major risks is crucial for anyone considering a cattle farm business, like American Heartland Beef. These factors can significantly impact a cattle farm owner's income and the overall beef cattle farm profit. Key challenges include fluctuating market prices for cattle, unpredictable weather, potential disease outbreaks, and the rising cost of essential farm management expenses.
One of the most significant threats to a cattle rancher's earnings is the volatility of cattle market prices. These prices are influenced by global demand, supply levels, and even consumer sentiment. For instance, an economic downturn can reduce consumer demand for beef, directly impacting livestock sales income and reducing the potential earnings from a cow-calf operation. This fluctuation highlights the critical need for robust financial projections for a new cattle farming business to navigate these market swings.
Adverse weather conditions pose another substantial risk to a cattle farm's income. Extreme heat, drought, or severe storms can drastically affect forage and feed availability, which are foundational to livestock health and growth. When pastures suffer, ranchers often face increased farm management expenses due to the need to purchase supplemental feed. This directly impacts the profitability of a beef cattle farm and the ranching financial returns.
Disease outbreaks represent a severe threat to a cattle farm's profitability. Conditions like Bovine Respiratory Disease (BRD) or highly contagious diseases such as Foot-and-Mouth Disease can lead to significant livestock losses. These events not only reduce the number of animals available for sale, thereby lowering livestock sales income, but also incur substantial veterinary expenses. Such outbreaks can severely impact agricultural business income and jeopardize the long-term profitability of a family cattle farm.
Rising farm management expenses, particularly for feed and labor, can significantly squeeze beef cattle farm profit margins. Even in periods of favorable cattle market prices, increased operational costs can make it challenging to achieve a positive return on investment. Managing these expenses effectively is vital for maintaining a sustainable income from a pasture-raised cattle farm and ensuring the overall cattle business profitability.
Key Risks Affecting Cattle Farm Income
- Volatile Cattle Market Prices: Fluctuations in demand and supply directly impact livestock sales income. For example, a 10% drop in market price can significantly reduce a rancher's earnings.
- Adverse Weather Conditions: Droughts or floods can devastate forage and feed availability, increasing the need for costly supplemental feed and impacting herd health.
- Disease Outbreaks: Losses from diseases like BRD can result in significant livestock loss and increased veterinary bills, directly reducing beef cattle farm profit.
- Fluctuating Input Costs: Rising prices for feed, fuel, and labor increase farm management expenses, squeezing profit margins and affecting the cattle farm owner's salary.
- Economic Downturns: Reduced consumer spending can lower demand for beef, leading to lower cattle market prices and affecting the potential earnings from a cow-calf operation.
How Can Cattle Farm Improve Feed Efficiency For Higher Profit?
Improving feed efficiency is a cornerstone for increasing a cattle farm owner's income. It directly impacts how much profit per head of cattle can an owner make by reducing the cost of production. For 'American Heartland Beef,' optimizing feed means lower farm management expenses and better livestock sales income. This focus helps ensure sustainable income from a pasture-raised cattle farm.
One key strategy involves implementing strategic pasture rotation and soil health practices. This approach maximizes forage quality and quantity. By doing so, it significantly reduces reliance on expensive purchased feeds. Healthy pastures can provide more nutrients, leading to better weight gain with less supplemental feed. This directly lowers overall costs and boosts ranching financial returns.
Strategies to Boost Feed Efficiency
- Pasture Management: Implement rotational grazing to ensure cattle consume high-quality forage, reducing the need for costly supplements.
- Genetic Selection: Invest in cattle breeds known for superior feed conversion ratios. These animals require less feed to gain weight, enhancing cattle business profitability.
- Ration Balancing: Utilize precise ration balancing based on animal age, breed, and growth stage. Accurate feeding prevents waste and ensures optimal nutrient uptake, contributing to higher livestock farm revenue.
- Feed Additives: Explore feed additives or supplements that improve nutrient absorption and digestibility. These can lead to faster weight gain and a better feed-to-gain ratio.
Utilizing specific feed additives or supplements can also make a significant difference. These products are designed to enhance nutrient absorption and growth rates. By improving the feed conversion ratio, cattle gain weight faster using less feed. This directly increases the potential profit per head of cattle, a crucial factor for a cattle farm owner's net income.
Investing in cattle genetic lines known for superior feed efficiency is another smart move. These animals inherently require less feed for each pound of weight gained. This genetic advantage directly improves overall cattle business profitability and enhances ranching financial returns. It's a long-term strategy that pays dividends by reducing operational costs and increasing the efficiency of livestock sales income.
Regular feed testing and precise ration balancing are vital for maintaining optimal feed efficiency. This ensures cattle receive the exact nutrients they need without overfeeding or underfeeding. Such precision helps control feed costs, a major farm management expense, and contributes directly to higher livestock farm revenue. Understanding the economics of a cattle feeding operation through careful cost management is key to maximizing cattle rancher earnings.
How Can Cattle Farm Optimize Herd Health For Better Earnings?
Optimizing herd health is a direct pathway to increasing cattle farm owner income and overall beef cattle farm profit. Healthy animals convert feed more efficiently, grow faster, and are less susceptible to costly diseases. This translates into higher quality livestock for sale, leading to better livestock sales income and improved ranching financial returns. For 'American Heartland Beef', focusing on proactive health measures means fewer losses and a stronger bottom line, contributing significantly to cattle business profitability.
A cornerstone of profitable cattle farming is establishing a robust health management system. This includes implementing a comprehensive vaccination schedule tailored to the specific risks in your region and the age of your cattle. Equally important is a diligent parasite control program, both internal and external. Minimizing disease incidence directly reduces veterinary treatment costs and labor, safeguarding the average annual income for a small cattle farm owner. For instance, a single severe internal parasite infestation can stunt growth by 10-15%, directly impacting potential earnings.
Key Herd Health Strategies for Increased Cattle Rancher Earnings
- Vaccination and Parasite Control: Establish and adhere to a veterinarian-recommended program. This reduces sickness, lowering treatment expenses and improving weight gain, which directly boosts livestock sales income.
- Biosecurity Measures: Implement strict protocols to prevent disease introduction. This includes quarantine for new animals and controlling access to the farm. Reduced disease spread protects the herd, minimizing mortality rates and enhancing beef cattle farm profit. A study by Oklahoma State University Extension noted that robust biosecurity can reduce disease-related losses by up to 50%.
- Nutrition and Water: Ensure access to high-quality feed and clean, fresh water at all times. Proper nutrition supports strong immune systems, making cattle less prone to illness and improving feed conversion ratios. This leads to better animal performance and increased agricultural business income.
- Veterinary Care: Maintain regular consultations with a veterinarian and promptly treat any sick animals. Early intervention prevents minor health issues from becoming major, costly crises, which is crucial for stable financial projections for a new cattle farming business.
Providing optimal nutrition and ensuring constant access to clean water are fundamental practices that significantly impact cattle rancher earnings. Well-nourished cattle, with strong immune systems, are less likely to contract illnesses. This resilience not only reduces the need for expensive treatments but also enhances growth rates and overall animal performance. Better performance means animals reach market weight faster and in better condition, commanding higher prices and increasing livestock sales income. For a business like 'American Heartland Beef', this focus on foundational care directly supports its mission of delivering high-quality beef.
Regular veterinary consultations are essential for maintaining herd health and maximizing cattle business profitability. Prompt treatment of sick animals is critical; addressing issues early can prevent them from escalating into widespread, costly outbreaks that devastate herd health and financial stability. This proactive approach is vital for any operation, especially when considering startup costs and potential income for a cattle farm. By catching and treating ailments swiftly, owners safeguard their herd's productivity, ensuring more predictable ranching financial returns and supporting the long-term viability of the venture.
How Can Cattle Farm Enhance Marketing And Sales For Increased Revenue?
To boost a cattle farm owner's income, focusing on marketing and sales strategies is crucial. Developing a distinct brand identity, perhaps centered on ethical raising practices or superior quality beef, can attract customers willing to pay more. For instance, a farm emphasizing 'pasture-raised' or 'grass-fed' might command a higher price per pound compared to conventionally raised beef. This differentiation directly impacts beef cattle farm profit by capturing a premium market segment.
Exploring direct-to-consumer (DTC) sales channels significantly increases livestock sales income. By selling directly through farmers' markets, an online farm store, or a Community Supported Agriculture (CSA) model, owners bypass traditional intermediaries. This elimination of middlemen means a larger portion of the final sale price stays with the farmer, enhancing rancher earnings. For example, selling a pound of beef directly to a consumer at $8-$12 per pound versus selling it to a wholesaler for $3-$5 per pound shows the potential profit margin increase.
Building Local Partnerships for Higher Cattle Market Prices
- Establish relationships with local restaurants, butcher shops, and specialty grocery stores that value locally sourced, high-quality beef. These partners often seek unique products and may pay higher cattle market prices for consistent supply.
- Offer exclusive products or cuts to these partners, creating a sense of partnership and ensuring a steady demand for your livestock sales income. This can lead to predictable revenue streams and better farm management expenses planning.
- Highlight farm-to-table connections in your marketing efforts, leveraging the appeal of local food systems to attract customers to these retail partners, indirectly boosting your farm's reputation and sales.
Digital marketing and social media are powerful tools for expanding reach and driving sales for any livestock farm revenue stream. Sharing the story of your cattle farm, showcasing sustainable practices, and connecting authentically with potential customers online can build a loyal following. Platforms like Instagram, Facebook, and even TikTok can be used to highlight the quality of your beef, the care taken in raising your cattle, and the farm's unique selling proposition. This direct engagement can translate into increased inquiries and sales, ultimately boosting the cattle farm owner's salary and overall cattle business profitability.