In Canada, the phase out of the penny begins
TORONTO (AP) - Canada has begun phasing-out its penny, whose production costs have come to exceed its monetary value.
The Royal Canadian Mint on Monday officially ended its distribution of one-cent coins to financial institutions.
While people may still use pennies, the government has issued guidelines urging store owners to start rounding prices to the nearest nickel for cash transactions. Electronic purchases will still be billed to the nearest cent.
The government has said the cost of penny production is $11 million a year, and that the coins, which feature two maple leaves and Queen Elizabeth II in profile, would remain legal tender until they eventually disappeared from circulation.
Google is marking the passing of the penny with a dedicated doodle on its Canadian home page.
New Zealand, Australia, the Netherlands, Norway, Finland, Sweden and others have also dropped the penny.
The U.S. Treasury Department has said the Obama administration has looked at possibly using cheaper materials to make the penny, which is now made of zinc.
Two separate bills calling for the end of the penny, introduced in 2002 and 2006 by Republican congressman Jim Kolbe, failed to advance in the U.S. House of Representatives.
The American zinc lobby has been a major opponent to suggestions that the penny be eliminated.
The Royal Canadian Mint on Monday officially ended its distribution of one-cent coins to financial institutions.
While people may still use pennies, the government has issued guidelines urging store owners to start rounding prices to the nearest nickel for cash transactions. Electronic purchases will still be billed to the nearest cent.
The government has said the cost of penny production is $11 million a year, and that the coins, which feature two maple leaves and Queen Elizabeth II in profile, would remain legal tender until they eventually disappeared from circulation.
Google is marking the passing of the penny with a dedicated doodle on its Canadian home page.
New Zealand, Australia, the Netherlands, Norway, Finland, Sweden and others have also dropped the penny.
The U.S. Treasury Department has said the Obama administration has looked at possibly using cheaper materials to make the penny, which is now made of zinc.
Two separate bills calling for the end of the penny, introduced in 2002 and 2006 by Republican congressman Jim Kolbe, failed to advance in the U.S. House of Representatives.
The American zinc lobby has been a major opponent to suggestions that the penny be eliminated.
Canada and the United States look at things in a different way. Â Canada wants to eliminate the penny and our government considered minting a trillion dollar coin. Â I like Canada's idea better. Â It won't hurt the taxpayers as much. Â Dollar coins are terrible. Â Can't carry many in your wallet and they wear your pockets out. Â
Two things the US should do pertaining to currency. First phase out the penney, just like Canada. Second, get rid of the paper $1 bill and mint a $1 coin in it's place. Â
For all those talking about getting rid of the single cent, it sounds easier than it is. What about taxes in other states? If you go in and buy something, chances are that the change from a large bill will include a few cents' worth of pennies.Â
Just think, if we were ever to build up the courage to do the same as Canada, every price for every item would no longer end in $xx.99 . Always wondered if we were really so naive we couldn't see that something sold for $19.99 was really eating up a $20 bill.
Well, at least we'll no longer get Canadian pennies mixed in with our change!
"The American zinc lobby has been..." I'm surprised we can get anything done in this country.
If you drop the penny you should drop the nickel. If you drop the penny and nickel you should drop the "cents" place in currency. If you drop the single cent, you should just shift the decimal over.
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Thus Canada (and the US) should just shift the decimal over one. Instead of making $50,000 a year you make $5,000.
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Wouldn't that help our deficit? LOL
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I am going to "Coin" the phrase right now..."Just my two nickles worth"
Hope we phase ours out also.. dang things are annoying bottom line.
@Khre'Riov Ael i-Mhiessan t'Rllaillieu At least until, or if, Oregon ever gets a sales tax; then well need all the pennies we can get to use, or get in change. Â
 @jpk I kinda doubt we will ever get a sales tax.. and it would be a major screw up to ever do that what with the greedys the polirats are! They would have to do away with wage & property tax and the only way they could raise it would be for us to vote it.Â
 @jpk I must have missed that one! But yuck!Â
@Khre'Riov Ael i-Mhiessan t'Rllaillieu Wasn't there a story some time ago about a child that ate some pennies? The pennies sorta ended up corroding with the interraction of stomach digestive juices and causing ulcers? Doan wanna suggewst to them that they cram em down our throats. LOL
 @jpk Either that or they cram it down our throats and do it just to spite us..Â
I sorta think that the D-subtitled folks can sell anything in Oregon, depending on the spin they put on it! LOL
@Khre'Riov Ael i-Mhiessan t'Rllaillieu
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I agree! Maybe merchants will just charge us $1.00 instead of $0.97 or $0.98 or $0.99. Cause you know they ain't ever going to round down. That'll mean even less money we have to carry around!
Make the U.S. penny out of cheap plastic. Who cares if it is counterfeited.
@bOB Collectors and numismatists will care! LOL