How to explain Section 179 to your kids

Santa and his elves at CBOT come down the chimney and leave your family 4 presents. Later that night, the Grinch in a top hat breaks in and steals 2 of them. You were going to give him 1 anyways because you’ve been blessed and wanted to share your good fortune with others. You wonder why he’s so greedy, and what does he do with all those presents anyways?

The farmer next door had a different story. Santa brought him 4 presents as well, but before the Grinch made it to his house, the farmer took two of them and exchanged them for a tractor. When the Grinch came by, he stole 1 of the presents, but didn’t touch the nice new tractor in his barn. The farmer liked his tractor more than the other presents he would have gotten anyways, plus it’s going to help him farm better in the next season to hopefully get more gifts next year. Plus he knows that since he bought his tractor at a fair price, he can still exchange it back for 2 presents whenever he wants.

The farmer asks his neighbor how he ended up with such a better deal. His neighbor Rudy says, “Just point your nose towards John Deere Road in Dupont, and hurry up before December 31st…the Grinch is on his way!”