The U.S. Department of Agriculture (USDA) beef grading system plays an important role in marketing and promoting beef. USDA graders inspect beef carcasses and determine a quality grade within a few seconds. Although the graders are well trained, the nature of this grading process may lead to grading errors. Significant differences in the USDA graders’ “called” and “camera-graded” quality grades were observed, as well as variations in quality grades across seasons and years. Under grid pricing, producers gained financially from grades called by USDA graders rather than grades measured by cameras.