Chicken keeping is one of the most financially misunderstood types of farming. Many people believe that all a chicken farmer has to do is throw some seeds to their flock and reap the profits.
However, that couldn’t be more inaccurate.
Chicken farming is financially difficult to plan with high start up costs and little room for monetary flexibility. With the rise of individuals buying into this hobby thinking they can make a quick buck and consumers avoiding local prices in favor of chain stores, many first-timers are doomed to fail. This is why I feel it’s so important that I shed some light on the reality of what it takes to own chickens, so those on a tighter budget don’t fall into the same trap.
Let’s dive into the reality of owning backyard chickens, shall we?
For the sake of numbers, we’re going to look at an averagely managed flock of 30 hens. This is the size I normally raise with the calculations and costs that I’m most familiar with, so I feel like it would be the most accurate example.
*All prices were averaged from my local Tractor Supply Co. Other areas may vary.*
Up Front Costs
- Housing
- The cost of housing depends entirely on the materials and knowledge available to the individual. Those with access to basic materials and the construction knowledge to turn them into a suitable coop will have a much lower cost than someone who may buy a pre-built shed. On the low end, this could mean $400. On the high end? Thousands. Either way, structures suitable for housing chickens aren’t exactly cheap.
- Fencing
- Fencing is the second most expensive aspect to chicken keeping. Those with bigger runs may even argue that it’s the first. A single 50 ft section of fencing, depending on the type and style, runs anywhere between $25-$120. Most individuals will need multiple rolls to complete their setup and the ones who choose cheaper rolls will likely need to replace it more often. In a decent sized area, this adds up quick!
- Feeders: $25 for 30 lbs feeder
- Feeders are not as expensive as housing and fencing, but are still an important start up cost. For a flock of 30 hens, a 7, 10, or 15, lbs feeder will empty too quickly to be worth purchasing. 30 lbs is a much more adequate feeder size and can be found at Tractor Supply Co. for $25.
- Waterers: $40 for 5 gal (or $50 for heated 3 gal)
- 30 hens are going to drink a lot of water, especially in the summer. A 5 gallon waterer from Tractor Supply Co. costs approximately $40 and holds enough water to last multiple days. However, a heated waterer will also be needed to keep the water from freezing in the winter months, which can be found for $50 with a capacity of 3 gallons. Together these cost about $90.
- Heat Lamps: $5 bulb & $10 lamp
- Heat lamps are one of the cheaper pieces of equipment to purchase. A lamp can be found for $10 and used with a $5 bulb. These will usually last a while and rarely need to be replaced, unless used too consistently or broken.
- Hens
- At most hatcheries, sorted pullets of common breeds will cost $3-$4 per bird. For 30 chicks, this equals out to about $100 altogether.
Average Total Start Up Costs (minus housing & fencing): $230
This total does not reflect any costs associated with housing or fencing. Each individual will have a vasty different scenario and I feel that it’s way too variable to estimate. That being said, it would be completely possible for this number to jump to $1,230 or even $5,230 with those costs added back in.
Continuous Costs
- Bedding: $6 per bag of shavings
- Depending on the size of the coop, most people will use 1-2 bags of bedding each time the coop is cleaned. Assuming it’s cleaned at least once per month, it will cost an average of $6-$12 per month.
- Feed: $15 per 50 lbs bag of layer pellets (average)
- 30 hens will go through roughly one bag per week in chicken feed, especially if their ability to free range is limited. In a month, this would equal out to 4 bags of feed for a total of $60.
- Electricity
- The additional cost to the electricity bill can vary between households and fluctuates depending on the time of year and stage of life that the chickens are in. For example, electricity usage often goes up in winter with the use of heated waterers. It also increases when unfeathered chicks require the use of heat lamps in the early stages of life. With different households and needs, it’s hard to create a rough cost estimate, but it’s still important to think about when raising chickens.
- Water
- Water bills and usage depend not only on time of year, but also relation to the city. It’s no secret that animals will drink more water in the summer months to stay hydrated. However, households that are tied into city lines will have to pay for that extra water usage, whereas those with wells may be able to avoid the bills completely. With the additional cost being extremely varied between households, a rough estimate is hard to create. However, it’s still good to consider when adding up expenses.
Average Costs (minus water & electricity): $72 monthly / $864 yearly
These costs don’t include any increase in bills for water and electricity. Both amenities vary between households and can fluctuate depending on the time of year and the stage of life that the chickens are in. For these reasons, it’s entirely possible and likely that adding those costs back in will lead to an increase above $72 per month.
Emergency Costs
- Fence Repairs
- Remember the numbers up above where we talked about putting fencing up in the first place? Good. Add at least half of that cost if part of the fence collapses and double that cost if the entire thing needs to be replaced.
- Birds lost to predators: $$$!
- Sometimes the unthinkable happens and a predator takes off with some of the hens. Not only is it extremely upsetting for the chicken keeper, but it also puts them hundreds of dollars back from where they were before. They have to start all over with new chicks, if there’s no survivors, and go back to using their heat lamps and purchasing chick starter/grower. Not to mention, they also lose at least 6 months of production until the chicks are old enough to lay eggs. A few predator attacks can be the difference between business as usual and a $600 set back.
- Medical Supplies
- In any scenario, chickens are likely to need medical attention at some point. Products such as antibacterial spray, mite treatment, electrolytes, and other preventative supplies are key to keeping the flock in good condition. Without them, chickens may become unhealthy and stressed, leading to a decrease in both the quality and quantity of eggs they produce. If prolonged stress or suffering occurs, it can quickly turn lethal.
- Broken Equipment
- The standard lifetime of most chicken equipment tends to be a few years. Exposure to weather, daily wear and tear, and birds knocking it around can really take a toll on its condition. Every couple of years, expect to replace at least some of your feeders, waterers, or heat lamps.
Egg Sales
“But, you make a lot of money selling eggs… right?”
Not exactly.
A good egg-laying breed will lay approximately 5-6 eggs per week. A flock of 30 hens at peak performance would likely produce 150-180 eggs, or 12-15 dozen, per week. In total, that would equal 48-60 dozen per month.
However, that isn’t exactly realistic. The laying frequency of hens can be affected by a variety of different situations. Changes in weather, temperature, feed quality and consumption, water intake, light changes, parasite infestation, disease, molting, and stress can all decrease the amount of eggs a hen will lay in a week.
Due to this, and assuming the hens will never be in a completely perfect environment, we’ll use the lower number in the range (150 eggs per week).
So how much can you make selling 48 dozen eggs per month? Not a lot.
The general consumer that shops at local stores, such as Walmart, has access to a dozen eggs sold for roughly $1.50 or less, depending on the time of year. Any chicken owner that tries to compete with chain stores and matches that price will bring in $72: the exact monthly cost it takes to feed and care for their hens (disregarding water and electricity). This turns $0 in profit and does absolutely nothing to make up for the high start-up costs that the farmer paid for in the first place, nor the work continuously put into their upkeep.
Now, a higher price of $2.50 per dozen would bring in $120 per month: a $48 profit. This is obviously better than attempting to match chain store prices, but is still minimal reward for hard work. Picture it this way, how would you feel working every day for $12 a week? Even at one hour per day, that would be an hourly profit of $1.71. And if anything happens to the hens? There’s only $48 to spend on medication, replacements, and equipment that month before the farmer is dipping back into their own pockets. If a waterer breaks and needs to be replaced? That leaves $8 to spend for the rest of the entire month.
And trust me, there’s always something going awry when you own livestock.
Now, for the sake of this example, let’s pretend that the farmer never needs to purchase anything extra and keeps the $48 of profit every single month. If their starting cost was $3,000 worth of fencing and materials, it would still take them over 5 years to break even. But that would mean buying absolutely nothing extra every month and never having to treat the hens for any illnesses, which is nothing more than unrealistic wishful thinking.
Overall, chicken keeping is not as profitable an endeavor as it may seem. High feed and equipment costs drive farmers to raise their prices in order to attempt to break even, which in turn drives away consumers who prefer to purchase cheaper eggs from chain stores. With a lack of funding for continuing the flock, many hobbyists looking for quick monetary opportunities experience unexpected financial hardships and drop out of the industry altogether. In short, chicken keeping can be brutal when viewed solely as a financial decision.
That being said, chickens are a wonderful addition to farm life. I currently have a flock of 35, myself. They bring farm fresh eggs right to the backyard and are an amazing learning experience for those interested in country living. However, they’re only beneficial if you have a passion for them in the first place.
The only people that benefit from owning chickens are the people that do it because they love chickens, not because they want to make a quick buck.
I hope I was able to shed some light on the reality of raising backyard chickens and how important it is to consider all costs when deciding if they’re right for you. And for consumers, I hope you now understand that the local farmer doesn’t want to charge you an arm and a leg for their products. They’re not trying to scam you. They just have to charge a high enough price to survive.