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 Replies: 34 / Views: 4,187 |
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Moderator
 United States
34413 Posts |
That is fair push-back @frog. Not a lawyer or insurance expert, so I can only speak to my own experience with my own coins.
"If you climb a good tree, you get a push."
-----Ghanaian proverb
"The danger we all now face is distinguishing between what is authentic and what is performed."
-----King Adz
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Moderator
United States
188660 Posts |
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I don't think either of you has shown a strong knowledge of how to handle a really large collection of valuable coins or notes. It is a good thing I do not have a really large collection of valuable coins or notes.  |
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Pillar of the Community
Canada
999 Posts |
I keep track of everything on spreadsheets with market values. I use purchase values for some items that rarely come up for sale. I then take a very rough estimate and discount the total by 40% to come up with an overall value. Probably some items will sell for close to or above the assigned value and other more common items will sell for 50% or less of market value, especially if I or my estate are in a rush to sell. I maintain a separate document for my family if something were to happen to me. It outlines what items are the most valuable (don't just take them to the bank!!), what items can be spent or sold for melt and what items I would like them to keep for future generations.
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Pillar of the Community
United States
4085 Posts |
Just to put an accounting slant on this, but the actual purchase of the coins would show up on an income/expense type statement, not a balance sheet. As would food or electricity expense.
The coins are a durable good (expected to last one year or more), so they would then also end up on the balance sheet as an asset. Collectible would be how I would categorize it.
As others said, I track my coin inventory and approximate value in a spreadsheet. I don't really consider it as part of my overall net worth as it's not a significant percentage.
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Pillar of the Community
United States
7276 Posts |
While I have a pretty nice collection, my coins are not considered an asset. They are pretty much an expense.
Can I sell them if I need money?
Of course, yes and I have sold many to get other coins.
But they are part of my hobby. Like my meteorites and my telescopes. They are assets but they don't factor into my networth. Even at the currrent value they are less than 2% of my assets. Just my wife's and my car are worth more than the coins.
If I sell them before I pass they will be assets to my kids, luckily my daughters long term boyfriend is a collector, I'm pretty certain he would enjoy getting them.
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Moderator
United States
96283 Posts |
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Just my wife's and my car are worth more than the coins. a 1973 Ford Pinto is worth that much? WOW, I never would have thought..  |
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Moderator
United States
188660 Posts |
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Just to put an accounting slant on this... Thank you for adding that.  |
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Valued Member
Canada
138 Posts |
I keep close track of my finances, and have historically treated coins as an expense. The one exception has been gold coins, which I put on my balance sheet, however most of those were bought at spot+ prices.
As my collection has grown, along with the price I'm willing to spend on coins, I'm torn as to how to account for them. They are not yet listed on my balance sheet, but I now think of them as more of an asset.
Gold coins still remain on my balance sheet but only at bullion value, even though I may have paid numismatic prices well above gold value for a few of them.
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Valued Member
Canada
138 Posts |
P.S. I was happy to see this topic posted, and enjoyed reading all the responses. Some of the ideas are ones I've also toyed with (i.e. tracking total silver weight for giggles).
My wife jokes about my spreadsheets (but is secretly happy with how I manage our finances), so I am pleased to see I'm not alone. But I guess I shouldn't be surprised considering we're on a coin collecting forum.
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Pillar of the Community
 United States
7942 Posts |
I consider the hobby as a future liability  Edited by tdziemia
03/22/2025 1:20 pm
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Pillar of the Community
United States
7942 Posts |
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I think it depends on the value of your collection compared with your total assets and whether you have dependents or need to liquidise assets.
My collection is worth a very small fraction of other more liquid assets, so I don't include them in my "balance sheet".
Same for me. Ballpark, my collectible coins are 3% of my assets, spread across 500 items ... Not worth the effort to track for "balance sheet" purposes. The suggestion about identifying a "Top 20" is actually a very good idea for if/when one's collection passes to an heir who is a non collector. Edited by tdziemia
03/22/2025 10:02 pm
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Moderator
United States
188660 Posts |
Quote: I consider the hobby as a future liability  |
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New Member
United States
17 Posts |
Not accounted for - Otherwise they become an asset that may get sold. Coins and PMs must be hoarded and NEVER sold!!
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Valued Member
United States
219 Posts |
I book them as a tangible asset at my opinion of FMV at purchase. I'll occasionally go back & revalue individual coins after 5-10 years if comps change significantly. Since I focus on medievals, FMV is much wider than someone who can point to annual Red Book valuations; sometimes I can't revalue even a decade later because no other examples have publicly sold in that time. My end game is research/publication, not profit, so I'll write down coins below my purchase price if I feel FMV is lower.
I also track cash flows, so I may book $1000 spend on a coin (one CF "bucket" I track), but it goes on the balance sheet at $750. I could also spend $100 on numismatic supplies (same CF "bucket"), but nothing goes on the balance sheet, as it's a consumable.
This is something I do in general, not just for or because of coins. It helps me stay focused on value creation, and helps me avoid the dreaded "lifestyle creep" I see so many people suffer from.
Edited by samoth
04/16/2025 6:32 pm
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Moderator
United States
188660 Posts |
Quote:
My end game is research/publication, not profit  |
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Replies: 34 / Views: 4,187 |
First Page
Posted 12/09/2024 11:30 am
