Cash Rent vs Share Rent Comparison Calculator
Compare a fixed cash rent with a crop share lease for your farmland. See the result for both the landowner and the tenant, and find the break-even yield.
Compare Your Farm Lease Options
Enter your expected yield, crop price and lease terms. The calculator shows the income per acre and for the whole farm under each lease, for the landowner and the tenant. Amounts are in dollars with acres and bushels, the units used for most crop leases.
Lease Comparison Estimator
See whether cash rent or crop share pays more.
Understanding the Numbers
How each lease type pays out
Cash Rent
The landowner receives a fixed amount per acre. The tenant keeps the crop revenue after paying all costs and the rent.
Share Rent
The landowner receives a percentage of the crop revenue and pays the agreed percentage of shared input costs. The tenant keeps the rest.
Break-Even Yield
The yield at which the landowner earns the same under both leases. Above it share rent pays more; below it cash rent pays more.
Risk
Cash rent puts yield and price risk on the tenant. Share rent splits that risk between both parties.
Cash Rent vs Share Rent Leases
A general comparison to help you weigh up the differences beyond the numbers.
| Feature | Cash Rent | Share Rent |
|---|---|---|
| Landowner Income | Fixed and predictable | Varies with yield and price |
| Risk | Mostly carried by the tenant | Shared between both parties |
| Management Say | Tenant makes most decisions | Landowner often has input on crops and inputs |
| Upside | Tenant keeps extra profit in good years | Landowner shares in good years |
| Record Keeping | Simple | More records for crop and cost splits |
| Best Suited To | Landowners wanting steady income | Landowners willing to share risk and reward |
Cash Rent vs Share Rent FAQ
Answers to common questions about farm lease types.
With cash rent the tenant pays the landowner a fixed amount per acre regardless of the harvest. With share rent the landowner receives an agreed percentage of the crop, and usually pays the same percentage of certain inputs, so income rises and falls with yield and price.
The break-even yield is the yield at which the landowner earns the same under both leases. It equals the cash rent plus the landowner’s share of costs, divided by the landowner’s crop share multiplied by the crop price. Above that yield, share rent pays the landowner more.
Under a cash lease the tenant carries most of the production and price risk. Under a share lease that risk is split between the tenant and the landowner according to the crop share and cost share.
No. It compares expected income from yield, price, rent and costs only. Insurance, government programme payments, tax treatment and lease terms vary, so speak to an agricultural adviser or accountant before agreeing a lease.
Yes. Enter the yield per acre and the price per the same unit, such as tonnes and price per tonne, and the results will be correct. Change the currency in your head if you are not working in dollars.
