The financial condition of farms is heavily influenced by the level of individual enterprise production costs. This report examines the costs associated with rice production in the United States. Production practices and average production costs are compared for four major rice-producing areas of the country. A farm-level budget generator is used in conjunction with Farm Costs and Returns Survey data to estimate average rice production costs by farm size as well as by total rice acreage. National and regional estimates of the distribution of rice production costs, as well as the average structural and financial characteristics of rice farms, are also presented.