7 Reasons to Get Rid of the Penny
Reasons to Keep the Penny
Many of the reasons for eliminating the penny apply to other coins as well. Inflation has destroyed the value of nickels and dimes as well as pennies. 20 We could easily get rid of pennies, nickels, and dimes and be no more inconvenienced than the average person in 1913.
The biggest disagreement in the penny debate is the issue of rounding.
If you don't want your pennies, your bank will take them. Count them out, roll them in coin wrappers (ask your bank if they can give you some for free), and deposit them into your account. There are a few banks that will count coins for free and exchange them for bills so you can walk away with cold, hard cash.
The Death of the Penny – US Mint to Cease Penny Production in 2023. ... The US Mint announced this morning that they will phase out the production of new pennies beginning in late 2022, and mint the last batch of pennies on April 1, 2023.
Why Do Pennies Still Exist? Pennies have almost no purchasing power; it costs more to mint a penny than a penny is worth; and the U.S. Mint could cut its workload significantly just by ceasing production.
Those who favor keeping the penny believe the penny plays an important role in keeping down the costs of the goods and services we buy. If there were no pennies, stores and restaurants would round up to the nearest nickel. This means consumers would end up paying $0.55 for something that should cost only $0.51.
Making pennies wastes natural resources and is toxic to people and the environment - Pennies are 3 percent copper, and 97 percent zinc and are primarily made from virgin ore. ... The process of refining both metals can release sulfur dioxide (SO2), lead and zinc into the environment.
First, consumers benefit with a low denomination coin. The penny helps keep high prices in check. ... Groups like The Salvation Army and Ronald McDonald House Charities rely on these small contributions that prove the penny's value.
Keeping Old Pennies
Given the 107 billion cash transactions per year in 2012 (US Federal Reserve Payments Study), using pennies therefore wastes 120 million hours of time per year counting the time of both the customer and the store employee. At the US median income/hour of $17, that costs the economy $2 billion every year!
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