What I'm Doing With my Spare Change...

[shultice24]

Over the past 10 years or so, I've saved my spare change in a jar (now a big piggy-bank). It weighs 35+ pounds, and I figure it's time to do something with it. It will be sad to see it go- I've grown fond of my spare change and watching it grow, but I think it's time to start anew.

This is what I'm going to do with it...

1.) Quarters- depositing all except for 2 from each state. 50 years from now I'd probably regret turning in all my state quarters.

2.) Nickels. Keeping all. The intrinsic value of these is close to the face value, since they are mostly composed of copper (It used to be above until commodity prices crashed). Not a bad little inflation hedge to keep in the gun safe and pretend like it doesn't exist, kind of like pre-1964 dimes, quarters, and halves, which are 90% silver. If copper prices rise for a sustained period of time, the mint will likely switch to cheaper metals.

3.) Pennies. Depositing all 1982 and newer (switched from copper to cheaper metals). Keeping all older than 1982. Same rationale as nickels. Copper pennies are already worth more than face value (check out coinflation.com, a really neat site).

I figure I'll have a $200-300 deposit, which will make a nice little contribution to the Roth or a payment on the student loan debt.

The only crappy thing will be sifting through all those coins...

[GREENBACK]

That's pretty cool. I save all change. I have a 16 oz. coffee can and when it's full I cash it in. It's usually about $100 and I usually blow it on something I don't need like a day at the ballpark I've done this since my teen years and I never miss it. I even did it when I really needed it for other things..lol. It's like a hobby now. I can't remember the last time I paid for something with coinage.

[disneysteve]

Not a bad little inflation hedge

While I think your plan is neat, I question the validity of this statement. I'd venture to guess that you'd do far better against inflation by cashing the coins in and investing the money in the market.

[asmom]

This summer, the kids and I are saving all of our spare change + any we find and we are going to donate it to a charity, probably one that provides medical care to impoverished children.

[Angio333]

A pro-life crisis pregnancy center holds a fundraiser once a year where they hand out baby bottles. People fill them up with spare change and then turn them in. We use all of the change that we save up to fill up as many bottles as possible.

Donating your spare change is a great way to donate a decent amount of money to a charity.

[shultice24]

That's pretty cool. I save all change. I have a 16 oz. coffee can and when it's full I cash it in. It's usually about $100 and I usually blow it on something I don't need like a day at the ballpark I've done this since my teen years and I never miss it. I even did it when I really needed it for other things..lol. It's like a hobby now. I can't remember the last time I paid for something with coinage.

That's definitely another good idea. I've heard of people saving for Christmas gifts this way too.

[shultice24]

While I think your plan is neat, I question the validity of this statement. I'd venture to guess that you'd do far better against inflation by cashing the coins in and investing the money in the market.

I certainly agree, and even doubly so because metals don't generate cash like dividend-paying stocks do. However, I also believe in keeping some metals in physical possession, as an emergency fund in case the s___ really does hit the fan. It gives me a little peace of mind knowing not all my investment assets are strictly on paper/electronic form. This is also why I keep small amounts of gold and silver bullion as well.

Sorry Steve, I should have outlined my reasoning a little more! :b

[shultice24]

Asmom and Angio- good suggestions!

[cooliemae]

Just want to point out that a couple of years ago, the law changed and made it illegal to melt pennies and nickels...

USA Today Article

[disneysteve]

Just want to point out that a couple of years ago, the law changed and made it illegal to melt pennies and nickels...

USA Today Article

But it is perfectly legal to sell them for greater than face value.

[GREENBACK]

Just want to point out that a couple of years ago, the law changed and made it illegal to melt pennies and nickels...

USA Today Article

I thought it was always illegal to deface any currency.

[disneysteve]

I thought it was always illegal to deface any currency.

That's a common myth. It has never been illegal to deface currency. What was illegal was any attempt to alter it with fraudulent intent, like reports I've heard of people altering $1 bills to pass them off as $20 bills or something like that.

[creditcardfree]

I used to save cash to turn in, but now I don't have a physical bank to turn it in to! I'm aware of coinstar machines, but those charge a fee. I have found it better to simply use the coins for small purhases, such as a few stamps.

OP, if I were you, I turn all the cash in just to save the time sorting. You could keep the paper cash as your at home emergency fund in case anything hits the fan.

[GREENBACK]

That's a common myth. It has never been illegal to deface currency. What was illegal was any attempt to alter it with fraudulent intent, like reports I've heard of people altering $1 bills to pass them off as $20 bills or something like that.

Thanks, I've heard that since I was a kid and never questioned it.

[disneysteve]

I used to save cash to turn in, but now I don't have a physical bank to turn it in to! I'm aware of coinstar machines, but those charge a fee.

Some banks will count coins for free, even if you aren't a customer. TD Bank (formerly Commerce) does that. With Coinstar, I believe you avoid the fee if you get a gift card instead of cash, so that's another option.