Well y’all here we are again! 2017 just flew by, I mean I feel like just yesterday I was buying leftover Valentine’s candy and today I am buying leftover Halloween candy. Every year buying that candy and planning for turkey day reminds me – it’s time to remind all of you to start planning for next year. YES start already. Because – why not? Get ahead of that 8 ball homies. Here are a few things you can do to get on track.
Start updating your balance sheet with things you know have changed from last year, but won’t change much by year end.
Land values – Have you sold or purchased? Installed irrigation? Anything to increase or decrease value from last year.
Equipment values – Have you sold or purchased? Need to re-evaluate values from last year?
Land & Equipment debts – Go ahead and update the balances of all previous debts, delete paid off or sold items, and add any new items.
Prepaid items – Go ahead and put those in there so you won’t forget to add them later!
I’m pretty much telling you to go ahead and update your intermediate and long term assets and liabilities. Those probably won’t change much from now until renewal time unless you have a couple more payments due. Just put a note on ones left to pay so you will remember to update the balances later. If you go ahead and do this part of the balance sheet, all you will have left to do (when harvest is complete and 2017 dies) is to update your current assets, current liabilities, and any balances that were changed by payments you have made. Because, really isn’t the most aggravating part updating all those balances? To help you with your balance sheet you can find the AG balance sheet I created here.
Next thing you can do is take a peek to see how 2017 is going to end. Lay out everything you have left to pay (open accounts, annual payments, rent, insurance, etc..), what you expect to pay until YE (fuel, labor, living expenses, etc..), and all the income you expect to receive (crop – using what yield you think is best & price, custom work, etc..). Once you gathered all that information run a quick and dirty analysis to see if ends meet and how much wiggle room you have. You don’t have to do this, but for those who are anxious it helps bring some peace of mind. Also, if you see a problem you can go ahead and begin take steps to correct. To help with this you can find the end of harvest checklist I created here.
I hope this information helps y’all! As always feel free to contact me with questions. To get these updates/articles to your inbox (why not?) sign up here.
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