Is Ag Stability Dead! Our Accountant thinks it is.

[Guest]

Agri stability work good for me. Accountant charge less than 200 and he works for me and himself. It was explained a couple years ago what some poeples problem was but lot of poeple don't want to learn on here .

I missed the tutorial , can you elaborate?

sumdum , I hear you on the accounting . many have said it's easy to do . I guess our biggest reason we're out is because we have good crop ins and always take $200/ac hail ins . as well we sell leafcutter bees every year so I don't think we have much of a chance . but having said that I sure didn't feel very good after the 42 " rain we got, and that we weren't in it . I don't think we would of qualified even with that , though .

[mbratrud]

Farmaholic,

Do you not have to carry crop insurance for agristability? Otherwise the deduct what you would have got with 70% coverage for each crop. They may have changed that when the gutted the program after 2012 but that's the way it used to be.

We have gone to straight crop insurance for that reason. Agrisabilty will never kick in for us because we will always make to much on crop insurance.

[stonepicker]

We have exactly same recipe as you sf3, scic@80%,hail ins @$200. Were going to get back in last year after floods but acct wanted $10k for the 3 yrs and actually scic treated us good so to hell with ag stability

Your getting ripped off, get a new accountant! Agristability is so cheap why would you not wanna be in it.

[crusher]

From Alberta:
AgInvest - yes
AgStability - No
Crop Insurance-yes, with hail rider
Since they've kept records, we are at about 60% recovery of crop insurance premium, mostly through hail

[15444]

AgriInvest is the only one that makes sense to stay in, although just got notice that Royal Bank is going to start collecting fees from AgriInvest accounts because farmers have too much money and banks are poor. Quit AgriStability in 2012. Don't like pointless paperwork of any kind.

Even managed to eliminate StatsCan from my life by letting unknown phone numbers go to answering machine(to verify it's StatsCan), saving number to phone and blocking it and burning any mail from them. I don't even know if they exist anymore. Life is so much simpler.

[farmaholic]

Mbratrud, I honestly can't answer that question with any certainty. I think they used to threaten that was the case at one time. We only ever collected from AgStab once in 2004 when there was a hard August frost. And I don't remember if they reduced our payout by what I would have received had we been in Crop Insurance.
If that's the case why don't they make you take both or either Crop Ins and AgStab before you can receive AgInvest money?
But you bring up a good point so I will do some digging and find out if that may be the cais (case....hehehe).
If we only received AgStab benefits once in the last 12 years you have to wonder how much we would have received from Crop Ins along the way as well....maybe a token amount here and there?

Now I have this huge account were we put all the premiums we would have paid into crop insurance and don't know what to do with it! And we are selling some of our Ghetto land for $750/ac....interested BP? ;-)

[mbratrud]

Mbratrud, I honestly can't answer that question with any certainty. I think they used to threaten that was the case at one time. We only ever collected from AgStab once in 2004 when there was a hard August frost. And I don't remember if they reduced our payout by what I would have received had we been in Crop Insurance.
If that's the case why don't they make you take both or either Crop Ins and AgStab before you can receive AgInvest money?
But you bring up a good point so I will do some digging and find out if that may be the cais (case....hehehe).
If we only received AgStab benefits once in the last 12 years you have to wonder how much we would have received from Crop Ins along the way as well....maybe a token amount here and there?

Now I have this huge account were we put all the premiums we would have paid into crop insurance and don't know what to do with it! And we are selling some of our Ghetto land for $750/ac....interested BP? ;-)

Not disagreeing with your strategy, I'd love to self insure. Just can't afford the risk at this stage of our farm.

I always point that out to people who say they are in Agristabily and not in crop insurance.

[Hamloc]

Apparently Crusher and I have the same outlook. I am a slow learner though as I just quit Agristability last year.

[farmaholic]

Mbratrud. I did some looking and couldn't find where it said Ag Stab payments would be reduced by the amount you would have collected had you also been in crop insurance. But it did show that crop insurance procedes are classified as eligible income in gross margin calculations but I don't think Ag Stab procedes are. So in effect your reference margin would erode if you could have been receiving crop insurance payments.

DYODD. but a good question mbratrud

Richard5....are you by and can you verify. You seem to be a bit of a guru at this stuff, I don't want to mislead.

[bucket]

2015 was a bad year and yet I received nothing....2016 had the quality issues but not likely going to receive anything.....


Sure I am still farming but I am not receiving 10 percent of a 372 million dollar bailout like the executives of bombardier....and I would like to think over my career I have contributed to the country.

[vvalk]

Mbratrud. I did some looking and couldn't find where it said Ag Stab payments would be reduced by the amount you would have collected had you also been in crop insurance. But it did show that crop insurance procedes are classified as eligible income in gross margin calculations but I don't think Ag Stab procedes are. So in effect your reference margin would erode if you could have been receiving crop insurance payments.

DYODD. but a good question mbratrud

Richard5....are you by and can you verify. You seem to be a bit of a guru at this stuff, I don't want to mislead.

If you don't have crop insurance they will factor what you would have got at 70% and add to your income.

[Eeyore]

I've applied to many banks and credit unions trying to get refinanced to keep rolling and not once did anyone raise my crop insurance coverage or my agstability reference margin, seems funny how these should be our guaranteed bottom line yet they don't even ask about them.
If you are triggering a payment from last years shit show it must have been bad and who can afford to get another crop in after a wreck last year. It'll be to late if you trigger anything.
Its no wonder capital input is even looked at

[bucket]

Ever see a banker tap on the sides of bins?


Most just say they have "x" amount of storage and it's assumed it's full.

[Sodbuster]

If you don't have crop insurance they will factor what you would have got at 70% and add to your income.

That's what I was also told a few years ago. I dropped AgriStability 4 years ago and raised my crop ins to 80%, at least now I have something that is little bit predictable. Ritz completely gutted this program so it would never pay out.

[farmaholic]

I asked some questions at SCIC. They told me the "adjustment" for not being in crop insurance only happens when you fall into Ag Stab negative margin territory. So if you had a claim above negative margin territory they do not adjust the AgStab payout by the amount you would have received if you had been in crop insurance. They explained the adjustment is kind of made up at 70% of what the average area(RMs) farmers crop insurance #'s/claims would have been at the same time.

I hope this makes sense but am still open to opinion/clarification or if this is how other people see it.

Once again, DYODD.

Thanks for the response vvalk.