Lifestyle Dollar Pressures on Farm Women

“I am starting to see an interesting trend, the young farm woman sitting at the farm management analysis table are questioning why the farm can’t support the family on its own.” This comment from a fellow who regularly helps farm family businesses address their cash flow crunch, caused me to pause.

Young farm women who are raising small children, going to an off-farm job, and juggling the farm books are under immense stress. These exhausted parents would like to stay home and focus on their family and farm business.

They are curious why the farm isn’t generating more revenue and come up with these solutions:

Generate more revenue with better marketing.
Decrease farm expenses, especially looking at debt payments.
Choose another way of making a living.
Ask parents for more financial support or gifts.
Keep better track of the lifestyle dollar demands of the farm team players.
Cut up the credit cards and live more simply.
Seek out a trusted financial advisor, a financial planner.

You may have seen some of the new “manage your money” TV shows that address the issue of large amounts of personal debt. These are always urban examples, people who have problems with retail therapy, also known as out of control personal shopping expenses. On farms the weight of debt can be unbearable.

The families struggling on the farm are working very hard to make a living. I wonder if they have any clear idea of how much they are actually spending on living? The peer pressure on young families and older alike sometimes causes people to spend when they know they can’t afford it. Are we expecting too much ?

Apparently, less than 27% of Canadians cook food from scratch. Basic home-making skills are not being transferred to the next generation who expect instant gratification, and a meal in less than 20 minutes to appear on the table. Food expenses are deemed to be less than 10% of disposable income, so where is the money going ?

Diapers, paying off old credit debit, new vehicle leases, toys like snowmobiles and four –wheelers ,minor hockey, golf memberships ? A friend of mine who follows the values of the “holistic farm management” movement confesses that the “toys” are not part of their spending plan, even though they could afford them. They choose to live a simpler lifestyle, and use the natural resources their farm environment offers them.

Some families are spending way more on lifestyle than they realize. The other side of the coin is the families that know exactly how little they can afford to spend on basic living, because the farm is not generating the revenue it needs to.

Learning new skills to gain better management or new income is one reason I think the CASS Canadian Agriculture Skills Service is so popular. This a training dollars program for farmers to gain new marketable skills, and help them manage their businesses more effectively. Call 1-866-452-5558 or go to www.agr.gc.ca/renewal.

Talk about how you are feeling about money pressures. Seek out helpful resources to keep track from your financial institution or on the internet. Home Economists in Manitoba have a wealth of resources in their offices, give them a call.

Stop trying to be everything to everybody. Say “no” to the jobs or expectations that are making you feel swamped under with debt and financial strain. Check out the books from your local library inter-library loan program. Make a focused effort to assess the lifestyle pressures on your farm family, and take action, one small step at a time. Contact the Farm Debt Mediation Service or the CFBAS…Canadian Farm Business Advisory Service for a financial snapshot of your farm business, with a consultant that will help you develop a recovery plan. (1-866-451-5558).

Don’t let pride keep your financial stress situation in the dark. Ask for help. If one program or resource is not the right fit, keep seeking other tools to take charge of your personal financial situation. Agriculture needs strong families, and strong families have sound financial health…something that young farm women and men are struggling to attain.

I really want to encourage all farm families to consider getting a financial planner. One of my clients just engaged a planner who is really helping get the financial affairs of the family in order, in a very professional manner.

You might also like to read “ Your Money or Your Life” by Vickie Robbins, its about money management and simplification. People who know how much is enough have less lifestyle financial pressures. Robbins says people who are clear about their money “can account for it, they where it comes from and where it goes.”

I wish you “enough”.

Elaine Froese is a professional Home Economist who enjoys cooking from scratch. Visit her website at www.elainefroese.com or call 1-866-848-8311. Elaine in on the faculty of the Knowledge Bureau www.knowledgebureau.com . Reduce your stress and get in control of your finances !

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