Who We Are
The Penny Removers are a group of people who are trying to ultimately take the penny out of circulation in the United States. This is not as ludacris as it may seem. Some countries such as Austria and New Zealand have done away with their lowest denomination of coins and have seen improvements in their economy. While the US has a different economy than these countries the removal of the penny should yield similar effects. Also in today's world debit and credit cards are being used frequently. This may help to encourage the removal of the penny.
The elimination of the penny would benefit the United States in multiple ways. At the local level it would help to speed up transactions. At the national level it would also save the country money due to the fact that the cost of the production of the penny outweighs its value. Rounding purchases to the nearest five cents would even out due to the law of averages, this is my proposed solution. People may be tentative to remove the penny believing that it may seem a small issue because the pennies are only worth one cent.
The first major problem is that it costs anywhere from 1.2 to 1.8 cents to make. Therefore, the US Mint is losing money with each new penny they produce. This would be similar to offering to pay someone $150 for a $100 bill. With the removal of the penny this production deficit would no longer be an issue. If this is such an issue then why not make the penny out of a less expensive metal? The problem is that copper is already one of the cheapest metals to produce and alternatives such as lead, have been dismissed for health reasons.
The solution I am proposing to my problem is to set a rounding tax on all purchases that people make. This is not rounding each individual item but rounding the checkout total to the nearest five cents. If a customer buys walks in and buys $10.48 worth of items then it would be rounded to $10.50, for convenience sake. In the video shown below, one company has impleminted such a tax and their customers seem to not notice a difference. In the next year owners of local convenient stores will start alerting customers that they will no longer be accepting pennies. After a four month period of this announcement they will then implement the rounding tax as mentioned earlier. The goal is for the St. Louis country to serve as a small sample size to show government officials that this is a problem that needs addressing.
The best way to help us in our cause is to inform yourself about the problems with the penny and then contact your local government officials and alert them to this need for change.
What You Can Do
If you would like more information about our cause feel free to like us on Facebook or follow us on twitter @pennypintchers42412.