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The Finance Base
2025 farm costs

What Iowans Expected to Pay for Custom Farming in 2025

Iowa State’s 2025 survey reports per-acre custom-farming averages, medians and ranges for corn, soybeans and small grain—and explains what the bundled rate covers.

By TheFinanceBase Team 3 min read
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Iowa State University Extension and Outreach’s 2025 survey puts average custom-farming charges at $167.75 per acre for corn, $154.50 for soybeans, and $199.65 for small grain. These statewide averages are a budgeting and negotiation reference—not a guaranteed local quote—and the bundled rate covers tillage, planting, pest control, harvesting, and hauling to the farm, but not drying.

2025 Iowa custom-farming rates by crop

The survey reports simple averages, medians, reported ranges, and response counts. The spread between the average and median, and the broad ranges, show why a statewide average should not be treated as a quote for a specific farm.

Crop Average per acre Median per acre Reported range per acre Responses
Corn $167.75 $150 $75–$353 53
Soybeans $154.50 $140 $65–$353 51
Small grain $199.65 $192.50 $125–$260 6

These figures come from Iowa State Extension’s 2025 Iowa Farm Custom Rate Survey. The small-grain average is based on only six responses, compared with 53 for corn and 51 for soybeans, so it has a thinner response base. The survey’s 193 respondents—farmers, custom operators, and farm managers—reported 3,703 custom rates.

What the bundled custom-farming rate includes

The survey defines the category as “Custom Farming (tillage, planting, pest control, harvesting, and hauling to farm, no drying).” Rates generally include labor and fuel unless the survey says otherwise. Drying is excluded; confirm whether any quote includes materials or other services beyond the listed package before comparing it with the survey rate.

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How rates changed in the 2025 survey

Iowa State Extension reported an average 5% increase across surveyed categories. Complete harvesting and hauling for corn and soybeans rose 9%, while hired labor rates rose 4% year over year. These are survey comparisons, not a forecast of future prices or a guarantee that a particular operator’s rate changed by the same amount.

The survey also used an assumed diesel price of $3.66 per gallon, based on a U.S. Energy Information Administration projection cited in early February 2025. That is a modeling assumption for the 2025 survey, not a statement of current diesel prices.

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Examples of rates for individual operations

For farmers comparing a bundled package with individual services, reported 2025 survey averages include:

  • Strip tillage: $21.65 per acre.
  • Soybean no-till drilling: $22.05 per acre.
  • Cover-crop drilling: $18.30 per acre.
  • Complete harvest and hauling: $71.95 per acre for corn and $67.55 per acre for soybeans.

These figures are averages for the named operations, not add-on prices that should automatically be summed into a custom-farming package. The service scope and circumstances behind a quote may differ from the survey category.

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How to compare a quote with the statewide figures

Iowa State Extension calls the survey a guide and a starting point for rate discussions. Its March 2025 guidance says, “The rate survey is intended only as a guide.” A fair comparison starts by matching the work and conditions, then looking beyond the average.

  1. Match the scope. Determine whether the quote is for the full bundled service or one operation, and which crops and field tasks are covered.
  2. Confirm inclusions. Ask whether labor, fuel, materials, hauling, and drying are included. The survey’s bundled category excludes drying.
  3. Account for the field and schedule. Acreage, field size and shape, crop conditions, and required timing can affect a local charge.
  4. Consider equipment and execution. Machinery availability in the area, machine performance, and operator skill can help explain why a quote differs from the survey.
  5. Use all three statistics. Compare the quote with the crop’s average, median, and reported range. The average alone does not describe every local market or the conditions behind each response.
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One corn figure differs in a secondary article

The underlying Iowa State 2025 survey table lists the corn custom-farming average as $167.75 per acre. A Successful Farming article updated March 21, 2025, under the same title as this article reports $165.75 for corn, while its soybean and small-grain averages match the survey. The figures are not averaged here; the corn rate above follows the primary survey table. See the Successful Farming article.

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