The impact of the money varies from one farm to another, depending on whether a farmer owns the land, has significant capital to draw from, has manageable debt and aggressively manages wide commodity price swings.
“The payment to one farm could be a matter of life and death of that farm and for another farm maybe just makes it not quite as bad of a year as it was going to be and everywhere in between,” said Mike Paustian, a farmer who raises hogs and grows soybeans and corn near Walcott in eastern Iowa. "I’ve described it as: If you’re drowning and somebody throws you a life preserver, you’re not going to argue too much about grabbing ahold of it.”