Leasing or cash payment can cut equipment LANCASTER - Record interest rates are changing the way farmers are buying tractors and combines. Many now prefer to lease or shell out straight cash register than pay 14 percent to 17 percent interest or higher. As a result, farm machinery manufacturers are seeing an upswing in f “GEE, EVEN FORD TRACTORS HEED A LITTIE i ATTENTION NOW AND THEN” ♦ ♦ ♦w Dont wait tin v% |last minute ) GET YOUR ♦ * ♦ I TRACTOR READY 1 FOR SPRING INOW ALLEN H. MATZ, INC. 505 E. Main St., New Holland Ph: 717-354-2214 SERVING THE COMMUNITY THIRTY-ONE YEARS LANC. CO. OLDEST FORD DEALER Save More Than L Half Your Seed j MORE SEED GERMINATES . YOU GET A POSITIVE CATCH With a Bnllion Sure Stand agricultural seeder you sow all seed within the top Vz inch ot the soil uniformly, accurately in a firm well worked seedbed where moisture comes up from below and the seed is close to plant nutrients In this way every seed has a chance to grow You can predict good stands of grasses and legumes with seeding rates often cut to nearly half of the rates previously used In many cases, the savings in seed alone will pay for a Sure Stand seeder with just a few days’ usage Don’t risk another crop failure Don’t settle for half a stand Depend on the Bnllion to produce a “Sure Stand' time after time AVAILABLE IN 5,8, 10 and 12 FOOT SIZES. FARMERSVIUE EQUIPMENT RD4, Ephrata, PA 717-354-4271 Hours: Mon., Tues., Wed., Fri. - 7:30 to 5:30 Thurs. till 9:00; Sat. till 3:00 their leasing business. “Our leasing volume has almost tripled over this time last year,” says E.W. Muehlhausen, vice president, marketing for Steiger Tractor, Inc. Fanners with high in comes find their greatest ad vantage m leasing, explains Richard Duvick, extension INC. economist at Ohio State Umversity. “Leasing offers par ticularly sigmfcant tax ad vantages to those farmers m the 40 percent to 50 percent tax brackets,” Duvick says. “But you don’t necessarily have to be in those higher tax brackets to benefit from the tax advantages of leasing, depending on the terms of the lease.” Even though the annual payment for the lease might be greater than an annual loan payment for the same eqmpment, a lease makes good business sense for these farmers. This is because the entire lease payment can be deducted from taxable in come, while only the interest expense can be deducted for a loan. And as the cost of borrow ing increases, leasing looks even more attractive to \M-I Old Guard KjoafifflaQ €®E)[poDD^ "Friend of Farmers since 1896 " Ask about our FARMOWNER'S policy It is designed to .give you the very broadest coverage at the most reasonable cost We believe it is the finest policy you can buy See our agent in your area CHARLES H. HARBOLD Codorus Pa GEORGE E. HOAR INSURANCE AGENCY RD 12 Gap Pa C. A. S. HOLLINGER 30 Foreman Road Elizabethtown Pa ALLEN B. CHUBB Lykens Pa the price Ju # is right ...right now! Early-order discounts now in effect 1 Order now ■ take delivery later get big savings on all your “Stor-Age” and drying needs Major steel corporations have increased their prices recently which will be reflected in future prices See your nearest mfs dealer for big savings that are yours by buying now' these fanners The fellows who took the lease two years ago are sure smiling today. They’ve got seven-year leases with payments figured at 11.5 percent and that looks pretty nice to them. Muehlhausen summarizes these advantages to leasing- Alternative source of funds; When money is tight, leasing allows a farmer to acquire equipment without borrowing. This leaves his other credit lines open. Tax savings: All lease payments can be deducted from taxable income. Some leases qualify for investment tax credit, as well. Better cash management; Payments are fixed for the life of the lease, which allows for better cash flow projec tions. Some loans have fluc tuating interest rates, on the other hand, so payments in- ERNON MYERS, INC. STEEL BUILDINGS & GRAIN STORAGE R.D. 4 - Box 845 Lebanon, Pa. 17042 Phone; (717)867-4139 A\ AVCSCO Lancaster Farming, Saturday, March 29,1980—€37 crease with the interest rates. Ability to purchase machine at lease’s end; With most leases, when the lease concludes, a farmer has the option to buy the equipment. Most farmers do. And because of inflation, leasing offers a considerable Daugherty Hast outpost of warmth 9 DOVER, Del. - In a meeting held recently here at the Capital Grange Hall, Hope Daugherty, told Delaware 4-H leaders that 4- H has been called “the last outpost of warmth in a society where everyone seems to be out for himself.” Daugherty, from SEA/4-H Youth Development, told the audience of 100 volunteer leaders from around the state that they, along with parents and teachers, “were put on Earth to help young people and to try to prevent them from making irrevocable mistakes.” Leaders are able to do this, she said, by listening, communicating, sharing concerns, teaching, and caring about their young charges. Daugherty also spoke about the age-old problem of nutrition of older members of the 4-H organization, which serves youth of ages 9- 19. Teens often tell us they quit 4-H because they are too busy with school work and extracurricular activities, she said. But a recent survey - BARN PAINTING v Call Us Now > For Free Estimates : PHARESS. HURST } ■* \ ? RD 1, Box 420 J Narvon, Pa 17555 i 215-445-6186 \ IT . We Offer Complete Erection On Any Size Or Style Building. g Hiail Coupon Today! ■ □ SEND STEEL BUILDINGS LITERATURE g □ SEND GRAIN STORAGE LITERATURE ® NAME J ADDRESS | CITY | TELEPHONE ■ immmmmmmmmmummmm -1 costs advantage over purchasing with cash, Muehlhausen says. “Because leases are spread out over a number of years, just like a loan, a farmer pays for the use of to day’s modem equipment with tomorrow’s inflated dollars,” he says. terms 9 4-H proved that the most active 4-H members, those involved m two more more project areas, are the ones that generally remain in the organization throughout high school. Furthermore, those teenageps who are most involved with 4-H, Scouts, or other organized youth activities, are also more involved than other young people in after-school activities such as sports, music, and the high school yearbook committee. This proves, she said, that out standing teenagers find the time to accomplish many things. Silver Spurs 4-H elects officers LANCASTER - The Silver Spurs 4-H Horse and Pony Club held a meeting recently at the home of April Poyck, 1224 Hunsicker Road. Election of officers was held for 1980. Those elected were: Amy Rockwell, president; Jef Hobman, vice president; Deraka Gum, secretary; Randy Ghck, semor treasurer; and Curt Huber, junior treasurer. The next meeting will be held at Jeff Hobman’s home on Fnday April 11 at 7:30 p.m. ~-X STATE. ZIP.
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