The knowledge of nitrogen (N) losses in direct‐drilling agrosystems is essential to develop strategies to increase fertilizer efficiency and to minimize environmental damage. The objectives were i) to quantify the magnitude of N volatilization and leaching simultaneously as affected by different urea fertilization rates and ii) to evaluate the capacity of these specific plant–soil systems to act as a buffer to prevent nitrate leaching. Two experiments were conducted during 2001/02 and 2002/03 growing seasons in Alberti, Argentina. The crop was direct‐drilled maize and the soil a Typic Argiudoll. Ammonia losses, N uptake by crop at flowering and harvest, grain yield, N in previous crop residues, and soil nitrate content up to 2‐m depths were determined. Nitrogen availability, soil nitrate (NO3)‐N up to 1 m plus fertilizer N, was linearly and highly associated with crop N uptake at flowering (R2=0.93, P<0.01) and at harvest (R2=0.852, P<0.01). Around 17.5% of fertilizer N was lost by volatilization in 10 days. The obtained values of residual nitrate N up to the 150‐cm depth were associated (R2=0.960, P<0.001) with those predicted by the nitrate leaching and economic analysis package (NLEAP) model. Maize in the direct‐drilling system was able to cycle N from the previous crop residues, N from soil organic matter, and N from fertilizers with few losses.