Welcome to the Farm Accounting 101 presentation on Opening a farm checking account. Robert Page, a regional Extension agent and member of the Farm and Agribusiness Management Team with the Alabama Cooperative Extension System at Auburn University, will explain the importance of opening a farm checking account.
If you already have a personal checking account, why should you open a second account? The answer is because your farm is a business, assuming that you are farming to make a profit rather than just farming as a hobby. If you are farming with the intent to make a profit, then you have to have a farm business which needs a separate bank account to track farm income and expenses.