[bluGill]

Ranchers make far more money than you think. They have to manage years where they are losing $100,000 per month, but the good years they make more than enough to make up for that. The hard part is getting started. You can't make a ranch work on just a little bit of land, you need thousands of acres of land in an area where you can get to all those plots every day.

Getting bank loans on that means most ranchers start at 20 with a few acres (that is a ranching/farming hobby) and a full time job to pay the bills - the ranch itself isn't even paying for the land loans, but it is close and their job pays the rest. Then they build trust with the bank and buy more land as it becomes possible. At 40 they have paid off the initial land (or at least inflation means the payments are tiny in current money) and so they are generating enough income to quit the full time job and farm. At 60 they have paid off most of the land which is now worth millions and so are rich by any measure in ways most tech jobs cannot get to (though if you happen to be one of the lucky early people in in a successful startup you are doing much better, your odds as a rancher are probably better than that).

Beware though that ranching is physically hard on the body. Farming is one of the most dangerous jobs humans do, there is a real risk you will die before you get rich. Even if you do get rich there is real risk that you will be in poor health and unable to do it. Or you could end up like my uncle who loved the ranch so much he basically never left it - he died with millions in the bank while wearing clothes he had been patching for 40 years.

[nostrademons]

I figured that the best way to own a ranch is to start a successful tech company, sell it (or parts of it), buy a bunch of ranchland, and then hire ranch hands that always wanted to get into the business but didn't have the capital for it.

That seems to be what all the tech billionaires do. Gates, Bezos, and several old-line tech company heirs are all big ranch holders.

[bluGill]

You run into the same problem of everyone else: there is only so much land and so you compete with everyone, including those ranch hands that want to get into it (and likely have their own holdings they are working when not on your shift). That they are working their own land means they have some ability to out compete you (though their lack of capital means you will have a much larger investment).

Also many states have laws against corporate farmers that can get you.

[iwontberude]

But they have to actually do work, in tech we get to hang out and eat lunch and drink coffee together while we talk about stocks.

[mathgladiator]

I'm going soft ranching as a hobby. Honestly, I want to get a few cattle which I control the inputs too 100% such that get 100% grass fed beef.

My profit is primarily driving down my costs as much as possible such that I can become self sufficient.

My wife and I are carnivores, so our diet is basically beef, butter, bacon, eggs. I'll start with raising chickens such that I can produce at least a dozen a day. Then I'll get beef, and I'll just buy bacon and butter.

I'm designing my barndo right now such that it has a simple living space for me and my wife, and then a big bro science gym where we can work out.

It's the dream right now that I'm clinging too since I'm moving forward. I lost all my stuff, and I'm waiting for insurance adjuster. Fortunately, I had a very good career and I'm in my early 40s, and I'm going to different stuff. I've always wanted land, so I'm going to do it. It's going to be great! (or, I'm deeply traumatized and using optimism to deny the reality of escaping a burning building :shrug: )

Regardless, we should be friends as I love to learn more this. My hope is that I can spend a few years recreating all the 4H knowledge, network with farmers, and just learn new stuff which... isn't tech.

[bluGill]

You can do that on 10 acres, which is affordable near a city. (possible even a reasonable commute to the suburbs. It will feed you but won't otherwise pay the bills (probably not even property taxes!) so figure out how to handle health insurance, and those other details of life.

I know enough about this to know that it isn't for me. It will sometimes be hard dangerous work. There will be late nights and early mornings. You can't take a vacation unless you find someone to cover for you. There will be years when there is a crop failure of some sort and you have nothing to work with. I'm happy working for John Deere where I get to meet and learn about the people doing this but I work my 40 hour weeks and go home.

[lotsofpulp]

>At 60 they have paid off most of the land which is now worth millions and so are rich by any measure in ways most tech jobs cannot get to

A person with the drive and intelligence to start ranching at 20 and put in 80 hours weeks in their youth could have done well in tech too, socking away $100k or more in tax advantaged retirement accounts, all the while having PTO and weekends.

Also, most people like to leave near urban areas with access to airports and a variety of grocery stores and kids' activities and schools filled with kids of other high achievers.

[bluGill]

You can only put $38k/year into tax advantages accounts working for someone else - $20k in the 401k, $10k with a match (that would be a generous match, but not unrealistic), and $8k in an IRA. You can double it if you are married. Everything is is not tax advantaged. If you work for yourself there are other retirement laws.

You can of course put as much as you want into real estate (which if you rent out can give a nice return), or other investments. However the tax advantages do not apply.

Ranchers don't normally put anything into tax advantaged accounts, but they tend to put a large portion of their gross income into real estate. By 60 their take home pay is higher than tech and those large investments have grown to more than most in tech make.

Urban and rural areas allow for different life styles. I've lived both and when I'm in one I miss the other.

[iwontberude]

$7k for IRA contributions in TY24 and TY25