When The End Of The Cent Is Near.....

I started saving all of the cents and nickels that I received in change years ago because I thought they would be worth more than face value eventually. But recently I have realized that zincolns will probably never be worth more than 1 cent each, so I have cashed in almost $100 worth in the past 2 months. They do add up (and I have plenty more). I still keep the copper cents, but the money I received from cashing in the others will buy some more COINS! It's a win-win for me. I am saving space in my house and I get more coins. Who can argue with that?

And Jbuck, I agree with you 100%. Eventually the U.S. will stop minting cents for circulation. Who knows when...

This will be true IF you have a million customers each buying one single item for $1. Once they start buying more than one item at a time it changes. You said the tax rate was 8.25% so if they buy

1 item price $1.08 rounds to $1.10 customer loses 2 cents
2 item Price $2.17 rounds to $1.15 customer gains 2 cents
3 items Price $3.25 rounds to $3.25 customer breaks even
4 items Price $4.33 rounds to $4.35 customer loses 2 cents
5 items Price $5.41 rounds to $5.40 customer gains 1 cent
6 items Price $6.50 rounds to $6.50 customer breaks even
7 items Price $7.58 rounds to $7.60 customer loses 2 cents
8 items Price $8.66 rounds to $8.65 customer gains 1 cent
9 items Price $9.74 rounds to $9.75 customer loses 1 cent
10 items Price $10.83 rounds to $10.85 customer loses 2 cents

So if you have ten customers who each made one of the above transactions the total win/lose would be a loss of 5 cents on 55 items purchased. (By the way if one person bought all 55 items he would only lose 1 cent.)

Under the current system if you had ten customers each making one of the above purchases and rounding to the cent the net win/loss is 3 cents lost.

So rounding to the closest 5 cent resulted in the loss of an additional 2 cents total among ten customers buying 55 items.

I already round to five cent increments. I ask cashiers not to give me cents and if I get them I throw them in charity boxes or leave them at the register. They are corroded inconviences. The nickel I don't mind as much, but needs to retired bacuse it's just too expensive to manufacture.

Even if the cent was eliminated and the government asked for people to turn them in, there would still be people that would ignore that and hold on to them.


-MV

Inflation has taken over the currency whether you get rid of the cent or not. Continuing to make it just means wasting more money producing something worth less than it costs to make.



The problem is it doesn't matter what you make it from you will still be losing money to make them. And getting rid of them won't cause any more inflation than we are already experiencing.

The composition for the 5 cent pieces now is 75% copper, 25% nickel

Question Why couldn't it be altered to 70% copper, 25% nickel and 5% zinc?

Just thinking out loud here.

It is funny because it is conceivably true.


Truth.


As I said before, the politicians do not keep the cent for fear of the people. They keep the cent for fear of the zinc lobby. They know the cent is worthless, but they also know that lobbyists pay the bills. Trust me, if the zinc lobby goes, so does the cent.