As follow up to “What’s a Good Bull Worth in 2026?” from last week, I address a recent question from a producer regarding the cost of leasing bulls. One potential way for a commercial cow-calf operation to reduce expenses is to lease, rather than own, a bull. Producers should compare the costs and benefits of leasing versus owning. Leasing eliminates the capital expenditure of purchasing a bull. The cost of purchasing a bull (or bulls) was addressed last week. Whether leasing or purchasing bulls, the expense will be highly dependent on the cattle market and quality of the bull. A leased bull is usually kept only during the breeding season so maintenance costs associated with bull ownership are reduced. For example, the cost of feeding a bull is realistically at least $1 per day. In addition, veterinary and medicine, labor, potential death loss, the facilities needed to keep bulls safe and secure during the off-season as well as depreciation and interest. All these things considered, bull ownership has a price tag of several hundred dollars annually when bulls aren’t breeding cows.
On the other hand, leasing bulls may not be an option. Commercial cow-calf operations need to plan in advance of breeding season checking with seedstock vendors to make sure they are in the bull leasing business and will have bulls available for lease when needed. If seedstock producers are receptive to bull leasing, both the lessor and lessee need to consider how leasing a bull could affect the health of the herd. Leasing virgin bulls is ideal to ensure that a venereal disease such as vibriosis or trichomoniasis is not introduced into the lessee’s herd. A negative test for trichomoniasis (at very least) is a standard part of the lease agreement before the leased bull can be returned to the lessor’s herd. In addition, leasing bulls does not come with the benefit of the salvage value when older bulls are sold. Other considerations of a typical bull lease agreement for the benefit of both parties should include:
1 – A daily, monthly or breeding season fee. These fees typically start at $25/day depending on the quality and genetic value of the bull(s). Lessor would guarantee a bull has passed a breeding soundness exam.
2 – A value per pound of bull weight loss during the lease. This typically is based on the cost of regaining the weight after bull is returned. In the current market, $1/pound is reasonable. Both parties should agree on a reasonable weight loss and cost of regaining the weight and include this in the lease agreement.
3 – Cattle mortality insurance to protect the lessor (bull owner) from death loss. Both parties should agree on the value of the bull. Typically the lessee would purchase a policy covering the value of the bull, pay the premium and the policy would be paid to the lessor in the event of the bull’s death. Currently, a 60-day policy could be purchased for 3.5%, a 90-day policy could be purchased for 4% of the established value of the bull.
4 – Health. Typically, a negative test for trichomoniasis at completion of the lease and prior to the bull’s return, is a standard part of the lease agreement. This cost (usually $50 – $100), is covered by the lessor.
Given the current circumstances, what is the realistic cost of leasing a 15 month old bull, valued at $10,000, assumed to lose 100 pounds during the lease, at $25/day for a 60 day breeding season?
Breeding Fee: $25 x 60 days = $1,500
Weight Loss: 100 pounds x $1 per pound cost of gain = $100
Insurance: $10,000 x 3.5% = $350
Trichomoniasis Test = $75
Total = $2,025*
*In the current market, based on the quality and genetic value of the bull, prices will vary.
So assuming the 15 month old bull will cover 15 cows/heifers during the breeding season, the cost per female bred is $135. How does this compare to owning bulls? The following chart assumes a bull provides service until the age of 6. It serves as another way to evaluate the cost per female bred, based on various purchase prices of ownership.
Dr. Mark Johnson, OSU Extension beef cattle breeding specialist, revisits the annual topic — What is a good bull worth in 2026? on SunUpTV from January 9, 2026 at https://www.youtube.com/watch?v=OjvtXI0KLmM.
