Any Yellowstone fans?

[trbii]

I talked with a cattle man at the barber shop yesterday about shipping cattle south for the winter. He said this is a common practice. He said rich oil, gas men sink money into cattle just as another investment. Somewhere to throw big profit earnings. If they lose money on the cattle one year, oh well, have to claim a loss on the taxes. Less capital gains to be taxed for? That hadn’t occurred to me, having so much money, profits, that you engineer a way to claim a loss. A mega millionaires’ problem.

 

[Gadsden]

I talked with a cattle man at the barber shop yesterday about shipping cattle south for the winter. He said this is a common practice. He said rich oil, gas men sink money into cattle just as another investment. Somewhere to throw big profit earnings. If they lose money on the cattle one year, oh well, have to claim a loss on the taxes. Less capital gains to be taxed for? That hadn’t occurred to me, having so much money, profits, that you engineer a way to claim a loss. A mega millionaires’ problem.

Must be nice huh? It's definitely a 'problem' I'll never experience.. Oh well, no complaints, we've got everything we need.

 

[turkeyrun]

I grew up in Midland, Texas. My Dad was Commissioner of Baseball for Little League and Pony / Colt.
The Pony City Champions were asking for $1000 (1971) to go to San Angelo for State Tournament.
Dad told them, the league could pay their entry fee, but the did not have money for anything else.

One of the Board members was a CPA. He said, give him a couple of days.

He calls Dad and asked if he could come by the office.

Dad goes by and is handed a check for $2500. A local rancher was needing a tax deduction. Writing a $2500 donation saved him money. $1000 wouldnt.

 

[Uncle TK]

I grew up in Midland, Texas. My Dad was Commissioner of Baseball for Little League and Pony / Colt.
The Pony City Champions were asking for $1000 (1971) to go to San Angelo for State Tournament.
Dad told them, the league could pay their entry fee, but the did not have money for anything else.

One of the Board members was a CPA. He said, give him a couple of days.

He calls Dad and asked if he could come by the office.

Dad goes by and is handed a check for $2500. A local rancher was needing a tax deduction. Writing a $2500 donation saved him money. $1000 wouldnt.

He spent $2,500 for a donation to little league and saved $1,000 on Taxes (40%)
Net loss of $1,500

 

[Tinytim]

Also, there is only like 5 or 6 blades of grass in the Texas panhandle.

And it’s colder than a witches titty, in a brass bra, in the winter.

 

[GC7]

Don't forget the TX panhandle is quite a bit higher than the rest of the region (~3200 ft above sea level) compared to ~400ft in Dallas and ~1200ft in OKC.

The gas pumps in Amarillo are 86 octane!

 

[turkeyrun]

He spent $2,500 for a donation to little league and saved $1,000 on Taxes (40%)
Net loss of $1,500

Today's tax code, yes.

1971 had progressive brackets.

$2500 donation moving you to a lower bracket saves money.

I received a $0.25 / hour raise. Ended up taking less home. Told Boss, I can't afford the raise. He recalculated and changed it to $0.22 and gave me company gas card for 1 tank a week. I made $14 more.

 

[XYZ]

I always chuckle when I see some of the city folx sporting the ‘Rip’ look around town.

 

[Shadowrider]

I talked with a cattle man at the barber shop yesterday about shipping cattle south for the winter. He said this is a common practice. He said rich oil, gas men sink money into cattle just as another investment. Somewhere to throw big profit earnings. If they lose money on the cattle one year, oh well, have to claim a loss on the taxes. Less capital gains to be taxed for? That hadn’t occurred to me, having so much money, profits, that you engineer a way to claim a loss. A mega millionaires’ problem.

I'm a bit skeptical of this myself, not that they told you this mind you, just the info itself.

I used to work for a pretty well off dude, and was close enough to him to know some of his personal finances. His yacht was parked in a slip right next to Dennis Rodman's.

Once in a conversation "tax write-off" was brought up. His response was "but you have to spend the money and take the loss. 'Eff that".

I'm pretty sure those with lots of zeros at the end of the balance in their checking account have a similar attitude.

 

[kingfish]

I admit total ignorance about financial strategy of trucking hundreds of cattle from Montana to leased pasture land in the Texas panhandle? To escape a feared Brucellosis outbreak? Which, to my minimal knowledge has a vaccine (yearly inoculation?) used by all cattle ranchers. The cost of transporting the cattle all the way across the U.S., plus a year of lease fees? How much net profit would remain, when selling those calves?

The math did not make sense to me either. But there was one line John said that helped me to understand it. It was something like how else do you preserve a hundred years of genetics. I guess this may make his cattle get premium prices when they go to the sale barns and if he sold off the whole herd, he would loose all that and have to start over.