How to Qualify for Farm Subsidies


Farming can get costly, but it’s also great for the community. In order to encourage farming, the USDA and FSA provide several farm subsidies. This money helps farmers get started farming, continue operations, or manage maintenance issues. Subsidies are available for a variety of reasons, helping you get the money you need.

Get Matched with a Lender, Click Here.

What are Farm Subsidies?

Farm subsidies is money the government provides certain farmers to help them produce crops. The government already has amounts they will provide farmers for specific crops. If the market price of a particular crop decreases lower than the government’s threshold, that is when they step in. For example, let’s say the government agrees that wheat should be $3.00 per bushel. If it suddenly drops to $2.00 per bushel, the USDA would subsidize farmers with $1.00 per bushel. This helps farmers succeed no matter what the economy does.

How to Qualify for a Farm Subsidy

Before you can qualify for a farm subsidy, you must know the requirements. You can visit the FSA’s website to find out the particulars of each subsidy. Once you know the crops you must grow and the requirements you must meet, you can qualify for the farm subsidy.

The requirements could range from a specific crop or type of livestock you must raise or it may require you to use certain products on the crops in order to meet the standards. Once the crops are ready to be sold, you must keep record of what you sell and don’t sell so that the USDA can provide you with the right amount of subsidy, if need be.

Click to See the Latest Mortgage Rates.

Finding a Farm Subsidy

Before you can qualify for a farm subsidy, you have to find one in your area. You can do this by getting in touch with your local FSA branch. They can tell you the availability of subsidies in your area and what you have to do to meet the requirements.

As a part of the process, you’ll have to show that you own an active farm and that you have experience growing the particular crop the subsidy covers. The FSA may require copies of your tax returns for ample proof of your ability to run a farm.

Once the FSA evaluates your situation, they will let you know how much of a subsidy you qualify to receive. The amount you receive depends on the size of the farmland and the number of crops you grow.

Farm Loans as Subsidies

You may also receive a farm subsidy in the form of a loan. This is not a direct subsidy, but it is a way to help you get the money you need. The indirect subsidy is a guarantee from the FSA to your lender. In order to qualify, you must prove you own a qualified, working farm. You can use the loan to purchase equipment, land, or livestock.

In order to qualify for the subsidized loan, you must have a proper plan in place for your farm. The FSA will determine if your needs qualify you for the subsidy.

There are many farm subsidies that you may qualify to receive. Get in touch with your local FSA branch to find out what assistance is available for you.

Click Here to Get Matched With a Lender.