Building Farm and Farm Family Resilience in our Communities

Table 1 provides the principal farm operator household finances over a five-year period. Despite the median income data for all farms, additional data from the Economic Research Service indicates that from 1996- 2020, roughly 75% of just over 2.1 million farms had gross sales of less than $50,000. This information is from another USDA, Economic Research Service report from December 2020 entitled Farm household income and characteristics: All farms and family farms, by farm size class (gross sales), 1996-2019 and can be found at: https://www.ers.usda.gov/data-products/farm-household-income-and-characteristics/ This suggests that the majority of farms are not providing a living wage for a family of four from the farming operation. In 2019, the living wage in the United States was $16.54 per hour, or $68,808 per year, before taxes for a family of four with two working adults and two children (Glasmeier, 2020).

Table 1

Principal Farm Operator Household Finances, 2016-21F

Item

2016

2017

2018

2019

2020F

2021F

Number of family farms

2,027,269

1,989,574

1,979,368

1,967,617

1,967,617

1,967,617

Income, median dollars per household

Farm income

-940

-1,035

-1,735

296

767

495

Off-farm income

66,468

67,500

65,841

68,750

69,784

71,407

Earned

38,527

Income

40,000

43,225

37,500

39,574

38,255

Unearned

28,078

Income

24,962

19,000

20,404

27,225

28,953

Total household income

86,086

76,250

74,707

72,481

83,111

86,917

U.S. household income*

NA

NA

59,039

61,372

63,179

68,703

Note: F = forecast; NA = not available. *Estimates of U.S. household income are produced by the U.S. Department of Commerce, Bureau of the Census, Current Population Reports, P60-263, Income and Poverty in the United States: 2019 (and earlier editions). Adapted from USDA, Economic Research Service and National Agricultural Statistics Service, 2016-19 Agricultural Resource Management Survey. Data as of February 5, 2021. https://www.ers.usda.gov/data-products/farm-household-income-and-characteristics/ In the public domain.

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