Goodbye to the Dollar Bill

Should we replace dollar bills with a dollar coins? The New York Times reports (link here) in Hoping to Save Money for the Government, Some Seek and End to the $1 Bill, the government could save $5.5 billion over 30 years by phasing out dollar bills and replacing the currency with dollar coins which last much longer. Despite proposed legislation to make this happen and U.S. Mint public relations campaigns, Americans will not choose the coins if bills are available. Only by phasing out the bills will Americans choose (rather, be forced) to use the coins.

So again, we have the government acting for our own good when we are unable to do the “right thing” ourselves. Why do most Americans prefer paper money over coins? I’m not sure, but I can state why I prefer paper money.

• It’s more convenient. I have a wallet. I put real money (and I still consider $1 real money) and plastic in my wallet. I throw assorted change in the drink holder in my car or in a plastic jar in my room. I don’t like carrying any more junk in my pockets than necessary—wallet and keys. That’s it!

• It’s less complicated. Cash is becoming increasingly irrelevant. I pay my bills online and use a credit card for almost everything else. I don’t want to complicate my life by remembering to keep coins in my pocket. I’d rather pay for everything with a plastic card or with the paper money I already carry.

What do you think? Do you want to replace the dollar bill with a coin?