Under Iowa law, a farmer has the right to remove stovers (stems, leaves, pistons) left in a field after harvest, unless otherwise provided in the lease. Stover can be used as food or litter or sold off the farm. Tenants and landowners can, in a written lease agreement, set out another agreement or limit the amount of stovers that are far away. See publication PM 3053A, Issues with Stover Removal on Rented Land for more information. Tenants can rent a technique to professional farm managers who regularly provide written reports to their clients. It is obvious that a ratio is more important in a Crop Share Lease than in a cash lease. For a tenant who has a cash lease, it may be advantageous to develop an abbreviated form of reporting, especially for landowners who have a keen interest in farm productivity. Sending photos to a landowner who is not close enough to regularly observe harvest conditions is a very effective communication tool. Digital camera photos or video files can be easily transferred via email, or images can be printed and sent by mail. Some tenants set up password-protected or only guest websites for individual landowners to provide information such as soil maps, fertilizer testing and yield data. Many factors influence the terms of an individual lease. In Iowa, there is a legal right (created by state law) by the lessor.
The right of pledge applies regardless of whether the lease applies to cash rental, flexible rent or harvest share. The legal pledge right is a right of pledge “on all crops grown on the leased land and on all other personal property of the tenant that has been used or retained during the lifetime and that is not exempt from execution”, and privileges the landowner over other security interests such as those of lenders. Custom Farming Contract As part of a custom farming contract, the farmer provides all the workers and equipment necessary for tillage, planting, pest control, harvesting and storing plants. The landowner pays all other expenses and receives the entire crop and all USDA payments. The custom operator receives from the owner a fixed payment per hectare or a fixed payment for each transaction carried out. Preserving the appearance and functionality of farm buildings and fences is often a top priority for landowners. Even if some buildings do not offer substantial benefits to the tenant, they may be able to put labour and machinery at the disposal of the owner to carry out repairs at considerable savings. Landlords should generally pay for materials and inventory, especially when the tenant provides labor. Click here to download the lease for Social Security benefit reductions Owners of Social Security benefits who receive Social Security benefits and are under the age of 66 or 67 can reduce their benefits if they are actively involved. It depends on the amount and date of income received. When landowners reach full-time retirement age, there is no limit to the level of active income that can be obtained with regard to social security benefits. For more information, see the publications of the Center for Ag Law and Taxation.
The owner normally takes into account land and buildings and pays half of the costs of inputs such as fertilizers, seeds and pesticides when the harvest is divided between 50 and 50. Owners are usually responsible for drying, storing and marketing their share in the harvest. The tenant usually provides all the work, fuel, equipment and the other half of the shared expenses. However, there are many variations in the distribution of expenses. The publications FM 1811 (AgDM C2-15), Iowa Farm Leasing Practices Survey and AgDM C2-30, Crop Share Commissions, contain more details on the allocation of costs under a Crop sharing contract. . . .