Today could mark the end of the 5 cent coin 11



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Today could spell the end for the 5 cent coin.

The government is reportedly considering cutting the coin completely in this year’s budget, to be delivered tonight.

For the first time in 50 years, inflation has caused the tiny coin to be a burden on the economy, costing 6 cents to make each one.

Thanks to no-fee card payments at supermarkets and retail stores, the 5 cent coin has become somewhat useless with many arguing it’s time for it to go.

The last time Australia had a currency change like this was in the 1990 budget when the 1 and 2 cent coins were shafted.

While many people say they would be happy to see the coin go, it would mean big changes for businesses who would have to re-price items by rounding them up or down to account for the lack of 5 cents.

Many people have speculated that this could be the beginning of the end for cash all together, with some predicting everything will be paid for electronically in years to come.

That means coins could turn into collectable items in the future and become very valuable as keepsakes rather than currency.

Mint chief executive Ross MacDiamid said the end of the 5 cent coin has been a long time coming.

“We’ve seen a halving of the demand for five cent pieces over the past five years and our expectation is that it will just simply progress,” Mr MacDiamid said.

“It’s lost its utility; it will lose interest from the public.”
He said coins worldwide were having a tough time.

“We’ve seen a decline in Australia over the next three to four years of about 25 per cent in demand for circulating coin,” he said.

The coin — which has an echidna on one side the Queen on the other — would be phased out over the next few years as the Mint stopped making them.

Would you be happy to see the end of the 5 cent coin? Do you remember when the 1 and 2 cent coins were cut?

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  1. Japan has one yen coins and everyone expects to receive their correct change – not rounded to the closest 5 yen or 10 yen. Each time Australians don’t receive their correct change down to the last cent, the customer loses out. It’s your money being taken from you and people are just letting it happen. Don’t you care any more?

    1 REPLY
    • Yes its like the supermarkets pricing things reduced from $10 now $9.99 or car yards advertising cars at $9999. or $29999. like they are really going to give you $1 back . almost everything in supermarkets the price ends with 9cents . Do they think we are all idiots.

  2. Happy to see the end of the five cent coin … it’s a useless coin. New Zealand drop their small denominations many years ago … it all works out in the end.

  3. Wish they would fix the $2 and $1 coins. $2 is more, but is a smaller size, go figure. How much confusion has that caused over the years?

  4. “We’ve seen a decline in Australia over the next three to four years of about 25 per cent in demand for circulating coin,” he said.

    Wow!, McDiarmid at the mint sees into the future! Please tell us(lots) more.

  5. Will this mean that my purchase costing $9.95 as marked in the store, is now going to cost me $10? I am sure it won’t be $9.

    2 REPLY
    • $9.90 more likely, cheaper looking than $10. So instead of collecting useless 5c coins you’ll be collecting 10 c ones instead, worth at least twice as much.

  6. Leave the currency alone! It was bad enough losing the one and two cent coins. The banks have profited from this change and now will profit further. Not everyone wants to go cashless, as there are issues – your card can be skimmed or scammed, it is more convenient to use cash for small purchases and you can still make a purchase with cash when there is a problem with communications to the bank from the retailer.

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