Corn vs Soybeans on Rented Ground: Which Crop Covers the Rent?
Every winter the same question comes up at the kitchen table: on the farms you rent, does corn or soybeans give you the better shot at covering cash rent and still leaving something for you? There's no single answer, because it depends on your yields, your input bill, your rent and the price you can actually sell at. But the math to compare them is simple, and once you've run it on your own numbers, the decision gets a lot less emotional.
This guide walks through a side-by-side break-even comparison for corn and soybeans on rented acres, with a fully labeled example. You can run your real numbers in the free GrainKit break-even calculator and the cash-rent analyzer.
GrainKit provides planning math, not financial, tax, legal or agronomic advice. Talk to your lender, crop insurance agent, agronomist or attorney before making lease or cropping decisions.
Why rented acres change the comparison
On ground you own, land cost is often treated as an opportunity cost, and it's easy to leave it out of the budget. On rented ground, the rent is a real check you write, and it's the same per acre no matter which crop you plant. That matters because:
- Rent is a fixed cost per acre, so it gets spread over more bushels on corn than on soybeans. A higher-yielding crop dilutes rent per bushel.
- Corn usually carries a heavier input bill (nitrogen, more seed cost per acre in many operations, drying, more trucking), so it needs more revenue per acre to break even.
- Soybeans usually cost less to grow but bring fewer bushels, so each bushel has to carry more of the rent.
The useful question isn't "which crop has a lower break-even price per bushel?" Those numbers aren't comparable, because corn and soybeans sell at different prices. The better question is: which crop leaves more margin per acre after rent, at prices you can realistically lock in?
If you want more background on how rent fits into the full cost picture, read our guide to true crop break-even with land rent.
Step 1: Build a per-acre cost list for each crop
Start with direct costs per acre for each crop on that farm. A basic list:
- Seed
- Fertilizer (including nitrogen for corn)
- Crop protection (herbicide, fungicide, insecticide)
- Crop insurance premium
- Fuel, repairs and machinery operating cost
- Drying and hauling
- Interest on operating money
- Cash rent
Keep rent on its own line so you can see how much of the break-even it drives. If you need a starting point, our crop budget template for corn farmers and the soybean cost per acre guide lay out typical categories. Use your own invoices and quotes, not someone else's averages, wherever you can.
Step 2: Calculate break-even price per bushel
For each crop:
Break-even price per bushel = total cost per acre ÷ expected yield per acre
Use a realistic expected yield for that specific farm, such as your multi-year average or your APH, not your best year.
Step 3: Calculate margin per acre at a realistic price
Margin per acre = (expected price × expected yield) − total cost per acre
"Expected price" should be something you could actually get: a forward contract bid, a harvest futures price minus your local basis, or a conservative planning price. This is the number that lets you compare corn and soybeans fairly.
A worked example (illustrative numbers only)
The numbers below are made up for illustration. They are not GrainKit data, survey data or a forecast. Swap in your own.
Example farm: 160 rented acres, cash rent $275/acre (example)
| Per acre (example) | Corn | Soybeans |
|---|---|---|
| Seed | $120 | $70 |
| Fertilizer | $160 | $45 |
| Crop protection | $55 | $50 |
| Insurance | $30 | $20 |
| Machinery, fuel, repairs | $110 | $85 |
| Drying & hauling | $40 | $15 |
| Operating interest | $20 | $10 |
| Direct costs | $535 | $295 |
| Cash rent | $275 | $275 |
| Total cost per acre | $810 | $570 |
| Expected yield (bu/acre) | 190 | 58 |
| Break-even price | $4.26/bu | $9.83/bu |
Now apply example planning prices: $4.40 corn and $10.20 soybeans (illustrative only).
- Corn: 190 × $4.40 = $836 revenue − $810 cost = $26/acre margin
- Soybeans: 58 × $10.20 = $591.60 revenue − $570 cost = $21.60/acre margin
In this example corn edges out soybeans by about $4 per acre. That's well within the noise of one bad week of weather or a basis swing. It's essentially a tie, and the right call would come down to rotation benefits, workload, storage and risk.
What rent does to each crop in the example
Rent per bushel in the example:
- Corn: $275 ÷ 190 = $1.45 of every bushel's break-even is rent
- Soybeans: $275 ÷ 58 = $4.74 of every bushel's break-even is rent
If the landlord raised rent $25 per acre (example), corn's break-even would rise about $0.13/bu and soybeans' about $0.43/bu. Both lose the same $25 per acre of margin, but on a per-bushel basis soybeans feel it more. That's why it helps to run your comparison in margin per acre, not just break-even price.
Step 4: Stress-test yields and prices
A one-line budget gives you one answer. The real world gives you a range. Before you decide, run at least three cases for each crop:
- Expected: your realistic yield and planning price.
- Bad year: yield down 10–15% (example) and a weaker price.
- Good year: yield up a bit and a stronger price.
Then ask which crop loses less in the bad case. Corn often has more upside per acre but a bigger input bill at risk. Soybeans often have less money at risk per acre. Your own numbers decide which one fits your balance sheet.
The free GrainKit break-even calculator lets you change yield, price and costs and see the result immediately. For the rent side, the cash-rent analyzer shows the maximum rent a farm can carry at your yield and price assumptions.
Step 5: Don't forget rotation and the whole farm
A per-acre comparison on one field is a starting point, not the full decision. Things the simple math leaves out:
- Rotation effects: many growers see yield benefits from corn after soybeans. Treat that as a yield assumption in your budget, using your own field history.
- Workload and timing: corn harvest, drying and hauling put more strain on labor and equipment.
- Storage and marketing: if you can store corn and capture carry or better basis, that changes the price you can plan on. See grain marketing strategies for corn farmers.
- Cash flow: corn ties up more operating money per acre, which matters if your line of credit is tight.
- Lease terms: some leases have flex or bonus terms, crop restrictions or conservation requirements. Read your lease, and ask an attorney if anything is unclear.
Using the comparison with your landlord
If the numbers show neither crop clears a profit at the current rent, that's useful information going into a renewal conversation. Bring your math, not a complaint. Our cash-rent negotiation tips cover how to frame it. If you want a clean handout, the cash-rent analyzer offers a $12 one-time Landlord Negotiation Report with a price sensitivity table and a plain-English summary.
Free vs paid GrainKit tools
- Free: the corn and soybean break-even calculator and the cash-rent analyzer.
- GrainKit Pro: $9/month or $79/year after a 7-day free trial, including Market Insights and Pro Alerts.
- Team: $15/month or $129/year for shared access.
- One-time options: a $49 toolkit and the $12 Landlord Negotiation Report.
See all current options on the pricing page. Prices shown here were current when this article was written; the pricing page is the source of truth.
FAQ
Is corn or soybeans more profitable on rented ground? It depends on your yields, costs, rent and prices. Compare margin per acre after rent for both crops on the same farm, using realistic prices, and stress-test a bad year.
Why not just compare break-even prices? Corn and soybeans sell at very different prices per bushel, so a $4 corn break-even and a $10 soybean break-even can't be compared directly. Margin per acre puts them on the same scale.
Should cash rent be included in break-even? On rented ground, yes. Rent is a real cash cost. Keeping it on its own line also shows how much of your break-even it drives.
What yield should I use? A realistic expected yield for that field, such as a multi-year average or APH. Using your best year will understate your break-even.
Does GrainKit give farming or tax advice? No. GrainKit provides calculators and planning math. Talk to your lender, agronomist, insurance agent, tax professional or attorney for advice on your situation.
Do the free calculators require an account? Start with the free break-even calculator on the GrainKit home page. Questions? Visit the contact page.
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