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Why You Should Save Your Pennies... Literally!




Every year in congress there is an ever growing debate about whether pennies should be completely eliminated from the U.S. currency, making the nickel the new lowest denomination of coin. A popular argument against the penny is that it actually costs more to produce each one than it is worth. Though pennies today are not made of copper (pennies today are made of zinc blanks, then electroplated with copper). Nonetheless, pennies still cost more to produce by the time they get to the banks than they are physically worth.

Also, many auditing and accounting firms contend that handling and counting pennies also cost more than they are worth. Many countries have already eliminated the “penny” though it may not be called a “penny” in such country from the use of such arguments.

Thus, if/when the penny is no longer produced, and further phased out of the U.S. currency, it will actually be worth much more than a penny from the simple collector item standpoint. Additionally, the physical material that the penny is made of could be worth substantially more pound for pound in future years.

 

 

 

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