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Discussion Starter #1
We're one of the fortunate few who finished before the snow and have had a few calls asking if we would be interested in doing some custom work?
I started putting some numbers down and they get scary high very quickly!
Local dealers are charging $250/ hr for Deere 70 series machines and $300/hr for S series. Was figuring $30/hr for labour, $55/hr for fuel for combines, $150/hr for 485hp tractor, cart and driver..
That puts us around $820/hr for two 9870's operators and a cart/ tractor!
Are these numbers unreasonable? I don't want to come across as predatory for guys who are behind the eight ball but in the same token conditions from here on out may not be the best and I can't afford to beat up our iron for nothing. I have a couple close neighbours that we have worked back and forth together with for years, generations really and money never changes hands that I owe a couple days to but not sure what to do about the other custom calls??
 

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We're one of the fortunate few who finished before the snow and have had a few calls asking if we would be interested in doing some custom work?
I started putting some numbers down and they get scary high very quickly!
Local dealers are charging $250/ hr for Deere 70 series machines and $300/hr for S series. Was figuring $30/hr for labour, $55/hr for fuel for combines, $150/hr for 485hp tractor, cart and driver..
That puts us around $820/hr for two 9870's operators and a cart/ tractor!
Are these numbers unreasonable? I don't want to come across as predatory for guys who are behind the eight ball but in the same token conditions from here on out may not be the best and I can't afford to beat up our iron for nothing. I have a couple close neighbours that we have worked back and forth together with for years, generations really and money never changes hands that I owe a couple days to but not sure what to do about the other custom calls??
Feel the same way. If I knew I would get the same amount of hours back it wouldn't be a problem. But where do you draw the line. All the dealers care about are the hours when you trade now. Made lots of deals just by texting and maybe one actual conversation afterwards. Atleast when you are texting there is proof of what was agreed to. Back to the original topic though, where do most of you draw the line with neighbourly help when there is nothing in return, a day, two or three days? Depreciation costs can add up very quickly if you take a couple combines and semis over. I was thinking $20 an acre plus fuel. That would be for a 680 and 670 and probably one semi for sure. Not wanting to get rich but enough to cover machinery costs and labour.
 

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I think with the conditions it would be better to charge by the hour rather than by the acre. With the mud and down crop cutting will not be that easy.
 

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Discussion Starter #6
I can't see doing much more than 25ac/hr in these conditions in all reality. At those acres and my hourly estimate we would need $33/acre! Sure seems like a lot if if was paying it but just don't see the point in losing on it and at that it's really only covering dealer depreciation numbers and my costs. Might be making a few bucks on the tractor and cart??
The more I think about it the less appealing it's getting and I hate to say it if this forcast for the weekend plays out it might not be an issue anymore. :(
 

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I can't see doing much more than 25ac/hr in these conditions in all reality. At those acres and my hourly estimate we would need $33/acre! Sure seems like a lot if if was paying it but just don't see the point in losing on it and at that it's really only covering dealer depreciation numbers and my costs. Might be making a few bucks on the tractor and cart??
The more I think about it the less appealing it's getting and I hate to say it if this forcast for the weekend plays out it might not be an issue anymore. :(
I would pay that. My only neighbor that's done is already in Mexico!! I would prefer the charge be by the acre though, the stuff I have left is on the otherside of the cpr mainline, it's a gaurantee the trucker gets 2 - 1/2hr train delays.
 

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I can't believe none of you believe the going rate would be ball park 50$. Don't be a chicken, that's your bottom line period

I still can't believe this 30 some dollars an acre keeps popping up, that's been gone for nearly 20 years

And for anyone to think 25 acres and hour this time of year.... Pipe dream, days are short and the weather it tuff
 

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$820/hr for the equipment and labor you're providing is not too much. The current conditions will definitely take that much life out of your equipment!
I agree with SWF that $50USD with support equipment is not out of line.
Also agree if you have neighbors you work back and forth with for generations you are morally obligated!!!
 

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With the type of conditions we will encounter if we start up again this fall would be to charge by the threshing hour $225-300/hour for a class 8 or 9 depending on the age of the machine plus fuel, no wages and maybe a few brew:smiley-drinking-bee if we finish. Would not be opposed to trade hours next fall with a neighbor you trust and will be still farming next year to give them a chance to work it off next year. I wish there was a way to transfer insurance on combines to whoever you are working for.
 

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If there are any available, have the neighbour rent the combine from the dealer and offer to run it for $30/hr OR offer to run his while he sleeps so he can run around the clock, assuming the conditions allow that. Swallow a good sized rock or hook something you didn't know was in the field and you will wish you left your combine in the shed. Combines being a high wear item with lots of moving parts HAVE to earn a decent return for every thrashing hour IMO. IMO, charge a rate that makes sense to you as a the owner of the combine (If you use your own) and covers you for the wear and tear with the understanding that, should the roles be reversed in the future, you will pay him the same rate to help you.
 

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As far as I'm concerned, the day of helping out a neighbor just to be neighborly are over. The cost of equipment etc are just too high to do things just because you always have. If you put a rock through your machine while helping him, would he be willing to help pay for repairs? I doubt it. If you're doing in hopes that if/when he sells, he will give you a deal, that likely won't happen either.
 

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Conditions are getting poor for any combine (I hope not ) .
Rate per acre plus rate per hour seems fair to me ,that way nobody get hurt is if your doing 10 acre/hr or 20 acre/ hr .
Leave combine in shed if a decision to ,but next year he might help you .
.002 cents
 

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We still help each other if someone is in trouble. We use the custom rate guide if it's any more than a day. We use the guide for all the work we do back and forth if someone asks for help. Keeps it fair. I love running the combine and it gets me out of house work. Sorry, i'm going to help the neighbor! :)
 

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Helped a neighbor this fall after he lost one of his kids, with two combines-- made me feel good about it -- got all his beans done in two days as it would hve taken him a week . Don't want anything in return but am shure that he will help next year as we are good neighbors but kind of wondered -- ( what if I sucked in a rock ) who would pay the insurance deductible ? But still the feeling of helping someone out outdid the worry about insurance deductibles .
 

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Considering that we were quoted $500/ sep hour on two year old trades this year, I'd say custom rates should be $50/acre and up. Right now it makes no sense to operate machinery that depreciates this fast. If I can line up a custom guy for around 35/acre with no trucks/cart we will consider it and sell these stupid things. Crazy equipment world in Canada at the moment.
 

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Had one of these difficult combining jobs presented in November. Dealer had a used CX 8090 there at $300/hr(no operator, fuel, etc) so went with $330/hr(with operator, no fuel, etc) - combine running hrs, not necessarily separator hrs - for CX8080. There no way that would go on per acre basis due to conditions - getting less than 10a/hr done. I think that if person wanted to combine all parts of the Winter that it possible to would need another phone line even at these rates. Pretty sure I do not want another phone line and it not the depreciation that scares me.
 

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The 2017 Sask Rate guide is at 35.76 CDN per acre. Any grain transport would be in addition. The guide seems to come out every 2 years or so. Not sure how we would be able to value work back and forth any other way. It is only designed for farmers helping farmers. Not meant for a custom operator. Whether we pay the bill or carry it over for work reciprocated it helps put a value to the work. I hate to think that we have come so far that we can't help each other. It's a struggle.

http://publications.gov.sk.ca/documents/20/85808-Farm Machinery Custom Rate and Rental Guide.pdf
 
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