Gardeners call compost black gold because dark, rich compost is black in color and the amendment is worth its weight in gold. When compost is used in soil, it increases the soil's moisture retention, organic content tilth, aeration and drainage.
Using compost on a lawn as a mulch will help reduce lawn thatch during the year. Thatch is a condition in which turf grass roots grow into a dense mat that will not allow moisture or nutrients to penetrate the soil. Top dressing helps to improve root structure and causes a lawn to need less water for irrigation. According to LSU's Ag Center, using compost can also help reduce the instance of disease in turf.
Compost is the process wherein organic materials decompose. The decomposed organic material is lower in nitrogen than fertilizer. But compost may be applied in larger quantities than fertilizer. Grass clippings may be composted right on the lawn if the homeowner uses a mulching mower instead of a bag mower. This helps to recycle nitrogen directly back into the lawn. Some lawn care professionals recommend that grass clippings be left on the lawn in this manner rather than collected for the compost heap.
Top dressing a lawn with compost should occur in early spring and again in fall before overseeding a lawn with winter seed or after aerating the lawn. To top dress with compost, a gardener spreads a 1-inch layer of compost over a lawn using a shovel and wheel barrow. The compost is then worked into the root zone of a lawn by combing over the grass with a leaf rake.