Contact Us

Pennies Cost More To Make Than They’re Worth

(photo by Nelspin@Flickr)

So what happens when a penny costs more to make than what it’s worth?   That’s the problem the U-S Mint is having because the cost of the metal to make them keeps going up.

They used to make pennies out of all copper, but when the cost of copper kept going up, they went to pennies
made of mainly zinc with a thin coating of copper.  But now the cost of zinc has shot up.  Right now, for each penny the mint makes it costs 8- tenths of a penny for just the metal and another 6-tenths of a penny to produce it.  So every penny the mint makes cost 1.4 cents.   They’re losing nearly half a cent on every penny they make.

When you consider the U-S Mint makes nearly 9 billion pennies a year – those half pennies add up.  The mint
makes more pennies every year than all other coins combined.

So why so many pennies?  Number one, people horde them.  Some people just throw ‘em in a jar and that’s where they sit for years.  Some years ago, a couple I know saved enough pennies to tile their bathroom floor
with them.

Retailers demand them from banks because of sales taxes on items.  They have to give them in change because of the odd amounts the totals come out to be when you tack on the sales tax.  So that’s why the idea of getting rid of the penny has gone nowhere.

The real problem could come if metal prices rise so high that you could make money by melting them down for
the metal they contain.

More From WYRK

Best of the Web

Leave a Comment

It appears that you already have an account created within our VIP network of sites on . To keep your points and personal information safe, we need to verify that it's really you. To activate your account, please confirm your password. When you have confirmed your password, you will be able to log in through Facebook on both sites.

Forgot your password?

*Please note that your points, prizes and activities will not be shared between programs within our VIP network.

It appears that you already have an account on this site associated with . To connect your existing account with your Facebook account, just click on the account activation button below. You will maintain your existing profile and VIP program points. After you do this, you will be able to always log in to http://wyrk.com using your Facebook account.

*Please note that your points, prizes and activities will not be shared between programs within our VIP network.

Please fill out the information below to help us provide you a better experience.

Register on Country 106.5 WYRK Radio quickly by logging in with your Facebook account. It's just as secure, and no password to remember!

Not a Member? Sign Up Here.

Sign up for an account to comment, share your thoughts, and earn points to get great prizes.

Register on Country 106.5 WYRK Radio quickly by logging in with your Facebook account. It's just as secure, and no password to remember!