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What i have started doing is charging by the cutweight per day on both cows and heifers “these include daily care, who is contacting the veterinarian if needed, expenses, the fencing situation, water and forage quality, and overall forage production.” I usually don't take cattle in on gain anymore because there always seemed to be some chronics and poor doers that would kill a guys average.
To decide on a fair grazing rate, all parties need to understand the costs they’ll incur for entering into the grazing arrangement The difference between the two is how much work you have to put in, how expensive the feed is, size of cows, and how many cows. For landowners, costs could relate to the value of the land or crop that will be grazed, or to infrastructure that will be needed, such as fencing or watering.
For the cow and heifer herds, there are replacement animals and breeding fees to consider
What can i do with the numbers There are two common ways to determine payment rates charged by the grazier Flat rates, or incentive pay One of the most common strategies for determining payments for contract grazing is to charge a flat rate per animal per day
Rates charged per day vary over a range of prices. Use this option when you know how long you want to graze your pasture, and you would like to know how many cattle your pasture can support for your desired grazing period (figure 1). The way i like to set up custom grazing contracts is this The owner pays me per head per day for my labor
This is the income i get to keep on the custom grazing deal, and put toward my overheads.
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