Agricultural Economics, Department of
Cornhusker Economics
An Economic Comparison of Crop Share vs. Cash Rent on a Southeast Nebraska Farm: A Case Study from Gage County (Dryland, Corn–Soybean Rotation, No-Till)
Date of this Version
10-15-2025
Document Type
Newsletter Issue
Citation
Cornhusker Economics (October 15, 2025)
Agricultural Economics, University of Nebraska-Lincoln
Abstract
If you have recently inherited or purchased farmland in Nebraska, one of your first questions may be: How should I lease it? Two of the most common arrangements are cash rent and crop share. Each option comes with its own advantages and risks. More information on the difference between crop share and cash rental leases can be found here: UNL Extension — Considerations for Leasing: Cash Rent vs. Crop Share.
This article presents a case study of a dryland farm in Gage County, Nebraska, managed under a corn–soybean rotation with no-till practices. Entire fields may be planted to a single crop in one year and switched to the other crop the following year, or large fields may be divided between both crops and then alternated annually. Using 14 years of local data, we compare landowner returns under a 60/40 crop share lease versus typical-for-the-region, cash rent rates. Elements in the leases presented here are intended to highlight the essence of the lease. Leases are highly customizable to specific conditions faced by each landlord and tenant.
The results show how dramatically the choice of lease structure can affect average income over time and variations in yearly rental income. For the landlord, the decision boils down to a guaranteed rental payment, cash rent, or a variable rental share where income is based upon yearly yields and prices.