The price of beef

The price of beef has been on everyone's mind lately.

According to the USDA, the average price of beef jumped from $8.40 per pound in March to $10.10 by December 2025.

A number of recent articles reflect these concerns:

• Food inflation in America

• RFK Jr. Urges U.S. Ranchers to Ramp Up Beef Production

• The cost of this grocery staple is nearing record highs — and Americans can't get enough

• U.S. Beef Cow Cycle Low Set To Deepen, Keeping Steak Prices High

• Beef Prices Surge As Drought, Aging Workforce Shrink U.S. Herds

• Drought And Costs Shrink America’s Cattle Supply: Beef Prices To Stay Elevated

• U.S. beef industry in crisis: Record prices, shrinking herds and mounting pressures on ranchers

We haven't bought beef in decades since we raise our own, so I wasn't familiar with what kinds of prices people are facing. So in late February, I stopped at the beef department of our local grocery store ... and was appalled.

Ball-tip steak, choice grade, $9.99/lb., $13.24 for the package:

Beef top sirloin, $11.99/lb., $9.83 for the package:

Rump roast, $5.99/lb., $20.73 for the package:

It is for these reasons, among many others, that we're aiming to have one animal a year in our beef pipeline.

Unlike our last homestead where we often had 15+ animals, here we don't have the room to raise more than a handful of cows at a time, preferably fewer. We have limited grazing, so we must accept the fact that we're feeding (or supplementing) our animals the majority of the year.

We butchered two animals recently: Filet in August, and her daughter Mignon in February.

Filet was an older and tougher animal (10 years old at the time of butchering), so we literally had the butchers turn her entirely into ground beef, with the exception of as many cube steaks as he could produce. This is the receipt for Filet's processing costs:

Mignon was two years old, prime butchering age, and we had the butcher give us the full range of cuts. This is the receipt for Mignon's processing costs:

As you can see, the butcher charged us about $1/lb for processing (a bit less for all cuts except cube steaks, which cost a bit more). Total costs for both butcherings came to $1255.45. Also, we paid the dispatcher (the fellow who comes to our place to dispatch the animal) $160 for each dispatch, a total of $320 for both animals. This brings the total butchering costs for two animals up to $1575.45.

Since I'm currently working on our taxes, I had the opportunity to tally up how much we spent on hay last year. It came to a total of $2500. Divided by five animals (Filet, Mignon, Romeo, Maggie, Stormy), that averages out to $500 of hay apiece. (Clearly this isn't an exact science since some animals are older and eat more, some are younger and eat less, but whatever.)

So add $1000 in hay costs for both Filet and Mignon. Now let's double that for the two years we've had Filet and Mignon, for a total of $2000 in hay costs. This brings the cost of raising the animals to $2575.45.

Let's go back even further and include the purchase price of Filet and Mignon, which was $1500 for the two of them. That brings the overall costs to $5075.45. [NOTE: I made a math error and incorrectly tallied this as $4075.45 earlier; these figures have now been corrected. Sorry about that!]

Between both animals, we got a total of 1319 lbs. of beef in various cuts. This gives us a total cost of $3.85 per pound of beef, for everything from lowly ground beef to premium steaks. Less than four bucks a pound.

When we picked up Mignon in February, we had 11 crates of meat.

This filled our spare freezer almost to the brim. (This is why we have back-up power sources for freezers.)

As we were packing this meat away, I took a couple of T-bones and prepared them for us for lunch. It was melt-in-your-mouth delicious, definitely "prime" grade. With the blessing of this much abundance, we can be generous with friends.

Romeo and Stormy are the next animals in our beef pipeline. We'll put Romeo in the freezer next year, and Stormy the year after that. The cost of raising them is even lower because we didn't have any initial purchasing costs, and both their breedings were free. That could conceivably bring the per-pound cost for them down quite a bit. Meanwhile Maggie will be producing more calves. Her upcoming calf will be a heifer, but thereafter we'll select for steers, which we'll raise for beef.

The blessings of a homestead.