More discussion of removing the 5c

purplepennyhunter · July 13, 2014, 10:46:02 AM

I was sure we had a thread somewhere discussing this but I can't find it.

There is more discussions about axing the 5c.

move to do away with 5c

trout · July 13, 2014, 10:54:28 AM

To be quite honest the 5cent coin is Not one of my favourite coins and as a price of pocket change it is useless :ok:

autocoupler · July 13, 2014, 11:04:43 AM

I liked the comment about the scratchit tickets, how true. Our laundry is starting to resemble the one from 1990, remembering all those one and two cents.

nealeffendi · July 13, 2014, 11:11:29 AM

Lots of people won't bother to pick them up. I do as they add up over the years when you find over 100/year (money is money and when the next leg of the recession hits there will be lots of people looking down the backs of sofas hoping to find odd coins).

JeffH · July 13, 2014, 11:30:15 AM

I haven't heard anything negative from New Zealand since they scrapped the 5¢ with their last currency change.

stevo1962 · July 13, 2014, 01:10:35 PM

If the 5c costs 6c to make then I wonder how much the 10c and 20c cost as they are made of the
same material and are exactly double and quadruple the weight of the 5 cent.Does that mean that
they are also uneconomical to produce?

nealeffendi · July 13, 2014, 01:34:08 PM

Quote from: 'stevo1962' pid='54565' dateline='1405222835'If the 5c costs 6c to make then I wonder how much the 10c and 20c cost as they are made of the
same material and are exactly double and quadruple the weight of the 5 cent.Does that mean that
they are also uneconomical to produce?

I think that they are telling porky pies about it costing 6 cents to produce. Our 5 cents is smaller than the US nickel and that has just under 5 cents worth of metal content. Nickel is USD 8.76 and copper is USD 3.25 and our 5 cents is 80/20 CU/Ni if my memory serves me correctly. So unless the AUD falls to half the current exchange rate or metal prices get above the 2011 highs then they should still be profitable to mint.
Retailers would support scrapping them as with wages at $20/hour plus another $10/hour for workers comp/super/admin/leave etc it costs the shop 50 cents a minute to count out change. Save a second on each coin over thousands of customers and hundreds of stores and Woolies would save a few million/year.

stevo1962 · July 13, 2014, 01:38:31 PM

Quote from: 'nealeffendi' pid='54566' dateline='1405224248'I think that they are telling porky pies about it costing 6 cents to produce.

That's what I was implying Neal as you would think that they would get rid of the 10c and 20c as well.It's just more spin from the govt

planchetflaw · July 19, 2014, 05:47:20 PM

I saw on a doco recently that the USA 5c cost around 8c+ to produce from start to finish.

nealeffendi · July 19, 2014, 06:55:50 PM

Quote from: 'planchetflaw' pid='55002' dateline='1405757840'I saw on a doco recently that the USA 5c cost around 8c+ to produce from start to finish.

Current melt value of a nickel is 98.754% of face value. To cost 8c implies a cost of 3 cents in machinery/labour/dies etc. Sounds low to most people but they churn out billions so scales of economy apply and 3 cents sounds high. They may have done that calculation when metal was higher.
An article in Bloomberg state that the US Mint has lost $436 million over the past few years minting pennies and nickels.Chump change considering QE was electronically printing $80 billion/month

Australian coin · July 19, 2014, 07:04:03 PM

meh
* the aussie mint buy in there blanks - its cheaper and they would not be minting coins if there was not a profit in it!
* the 5c coin will be fazed out, but no time soon

that is all

interest · July 20, 2014, 10:58:21 AM

It's funny cause the five cent is the only coin I spend, everything else goes into tins that when full go to the bank.
I have two of the 50/20's full & a smaller $1.00 full waiting to go.
Amazing how it mounts up & I don't miss it.

Goldseeker · July 20, 2014, 12:16:48 PM

if you put them coins into the coin count machine then you are most probably being robbed.

I would open the tins and manually count the coins into their respective bags and take the counted bags to the bank.

More accurate.

For example, I collected $1,000 x 50c and $500 x $1 coins on Friday and ended up $8.65 excess. The most I have had as excess is $28.

Count the coins yourself PLEASE.

nealeffendi · July 20, 2014, 01:02:51 PM

Quote from: 'Goldseeker' pid='55041' dateline='1405824408'if you put them coins into the coin count machine then you are most probably being robbed.

I would open the tins and manually count the coins into their respective bags and take the counted bags to the bank.

More accurate.

For example, I collected $1,000 x 50c and $500 x $1 coins on Friday and ended up $8.65 excess. The most I have had as excess is $28.

Count the coins yourself PLEASE.

How do you get 65 cents excess from 50 cent and dollar bags unless somebody has mixed denominations?

Steveqld · July 20, 2014, 01:37:43 PM

Quote from: 'Goldseeker' pid='55041' dateline='1405824408'if you put them coins into the coin count machine then you are most probably being robbed.

Probably true. I always thought they were close to accurate, give or take, until my pokie moment at the Credit Union. The machine jammed and when they opened it there was a rubber funnel leading to the bin and there were literally hundreds of coins that had fallen outside the funnel. They asked how much was mine but I was unsure and as they said they didn't know who owned it we decided to split it down the middle.

I think I came out about $280 in front from my share.