Collecting State Quarters

The U.S. Mint is always issuing new commemorative coins and sets. There are a remarkable variety of U.S. coin types in everyday pocket change, with more than 38 different State Quarter types in circulation. Learn all about collecting U.S. coins.

Actually, the Treasury Department's estimate of 140 million State Quarter collectors seems suspect. This figure probably includes everybody who ever put away 1 coin from his or her own state or something, but the point is that State Quarter collecting is very popular. Like any popular series of coins, the supply often fails to meet demand, causing a price increase.

The 50 State Quarters Program, authorized by Congress in 1997, has been very successful. More than 140 million Americans are collecting the 50 state quarters. The state quarters program isn't just for coin collectors, however. Many citizens have had the opportunity to participate in the quarter design process. Thousands of Americans have suggested designs that represent their state's unique, positive features. The final designs are selected from these submissions. In 2005, the Idaho Commission on the Arts solicited concepts from the public and received over 1,200 submissions. Each state's quarter is minted for only ten weeks, and then will never be minted again.

A great way to organize and maintain a collection of state quarters is with a state quarter albums. Because state quarters contain state-specific information on the coins, albums are an easy way to keep the coins organized and easily viewable.

For those just starting a coin-collecting hobby, coins they collect are usually placed inside a large glass jar or bowl. Serious collectors prefer to store their collection in a special state quarter album. State quarters map folders are a very popular way to store and display a collection and are available in coin shops and from coin dealers.

Mint officials estimate that about 114 million Americans are collecting state quarters. In fact, about two of every three quarters minted in the last two years have been taken out of circulation by collectors amassing stockpiles that average 25 quarters each. Many of these new collectors are kids.

"It was inconceivable to people to think a few years ago that coins could become a collectible in the realm of Beanie Babies or Pokemon cards," says U.S. Mint spokesman Michael White. "But this state quarters program sort of transformed coin collecting from a smaller hobby to something very mainstream."

The 2008 state quarters are the last of the 50 State Quarters Program. Coin collecting State Quarters has brought many new people to the hobby.

While most of the collectors of state quarters are youngsters with minimal income, these kids are probably building their set with the assistance of an adult who will hopefully also have some interest in building the full set. What is the problem that will unfold if this happens? The problem is that the 1932-D quarter only had a mintage of 436,800 pieces while the 1932-S had only 408,000 pieces produced. With mintages like that, it is unlikely that any more than 350,000 of each are still in existence now that over 80 years have passed since they were struck. So you see, the dilemma arises that there are not nearly enough 1932-D's and -S's to go around if lots of people suddenly decide to start forming complete Washington quarter collections.

Today, the partnership among the Citizen's Commemorative Coin Advisory Committee, Congress and the sponsoring organizations that back new coins has stabilized the market for commemorative coins. The 50 State Quarters Program - the longest running and most successful program of its kind - has re-ignited interest in coin collecting. One hundred and fourteen million Americans are now collecting state quarters, and most are new to the hobby.

But anyone who collects state quarters in hopes of reaping big gains will probably be disappointed. Although some collectors maintain that a few of the quarters disappeared from circulation so quickly that they might bring $1 (if they're in extremely good condition), common coins rarely appreciate that much.

Thanks to the success of the state quarter program, the U.S Mint began this year honoring U.S presidents on dollar coins. Each year four presidents will be featured annually. Washington, Adams and Jefferson are now in circulation.

The United State Mint only produced 520,400,000 California state quarters. That might seem like a lot, but this article explained that since there were over 36,000,000 California residents, this quarter was the "most rare" on a per-capita basis.

South Carolina and Georgia stuck to traditional concepts an outline of the state surrounded by regional flora and fauna. As the "Magnolia State," Mississippi opted simply for flower blossoms. The New York quarter features a majestic Statue of Liberty.

The Professional Numismatists Guild, for example, publishes free booklets for beginning collectors (available by writing to: Robert Brueggeman, PNG Executive Director, 3950 Concordia Lane, Fallbrook, CA 92028). The PNG also offers free "quarter boards" for displaying state quarter collections.

The Mint has announced mintage totals for the Washington State Quarter. A total of 545.2 million were released into circulation. Take the leap into the wonderful world of coin collecting with a 1999 Philadelphia Mint State Quarter Set. It comes with all the 1999 state quarters in Brilliant Uncirculated condition and includes custom packaging.

Clearly, the Commemorative Coin Program works best when it benefits collectors and sponsoring organizations alike. Congress has authorized more reasonable mintages, sales have recovered, and the market is significantly more stable.

Perhaps the most notable debate arose in Missouri, where an artist disagreed with the Mint's interpretation of his design. The artist protested in Washington, D.C. outside the Mint and at the Illinois quarter release by pasting his own design onto thousands of quarters and handing them out to bystanders, coin watchers said.

Value Of Pennies

The wheat penny values in this price guide are the actual prices coin dealers will pay you for your wheat pennies. These are not the retail coin prices found in nearly all other coin price guides, which, if relied upon to appraise your wheat cents, will result in great disappointment when you go to sell them. If you use a wholesale coin value guide like this one, you will get an honest appraisal of what your wheat pennies are worth if you had to sell them today.

All wheat pennies are worth at least triple their face value unless they are badly damaged or almost totally worn out. Some wheat back cents, though, called key dates, are worth hundreds, even thousands of times their face value! Find out how much your wheat pennies are worth in this coin values table below. Keep in mind that these are guidelines. To get today's current market prices, you should contact a coin dealer.

Individuals or small groups of students need to gather samples of 100 pennies that are presently in circulation around the United States. Samples should come from coins that are actually in circulation. Do not use coins that have been in long-term storage. Parents and relatives are a good source for samples, piggy banks are not.

Special Note: The price of copper has risen to the point where copper U.S. pennies are worth 3 or more cents each just in copper bullion value. A coin dealer is still unlikely to give you more than what is listed in the table, though, because he has to make a profit, although some dealers are paying 3 and half cents ($0.035) now for common wheats.

Pre-1982 pennies contain a much greater percentage of copper. Post-1982 pennies are mostly zinc. Show the broken penny, which is mostly zinc inside. Show them a copper, "silver" and "gold" penny. Talk about how the zinc atoms on top of the copper atoms make the pennies look silver. The zinc atoms move in between the copper atoms. Help students visualize this be putting one of your hands on top of your other hand the show that if heat makes your fingers move it allows fingers from one hand to move in between the fingers of your other hand. Copper and zinc atoms make brass and looks like gold. Ask if anyone plays a saxophone or a trumpet? These are made of brass.

The weight of 160 pennies - also known as a one-cent coin - comes to a pound, worth a face value of $1.60. But - with each penny made of 97.5 per cent zinc and 2.5 per cent copper - based on current prices, the metal value is worth about $1.36.

The first Lincoln penny was issued in 1909, the 100th anniversary of Lincoln's birth. In 1943, the Lincoln penny was made of steel (with a zinc coating) because copper was needed for military use in World War II.

In the five o'clock shadow of the rupee's close shave, Washington is considering ways to reduce the cost of making pennies and nickels. Among them, giving the mint authority to use cheaper metals, like steel. And though efforts in Congress to retire the penny altogether have failed in past years, its detractors say the time has come.

"Inflation has rendered the penny nearly valueless, right? If you can’t buy anything with a penny, if it takes at least a nickel or a dime to buy anything, then that individual unit just doesn't serve much good," argues Stephen Dubner, the co-author of the bestseller "Freakonomics," a zany look at money and American culture. He puts the penny in the same category as your pesky appendix and other useless relics.

Heat zinc plated copper pennies in the flame of a Bunsen burner. Turn the penny in the flame as it heats. The zinc and copper atoms form brass. The copper and zinc atoms merged to produce "gold" pennies.

Coin Investing For Profits

Although most coin collectors hope their collections will increase in value over time, serious investing in gold coins and rare U.S. coinage requires careful planning. Learn about coin collecting as an investment -- what types of coins to buy, and why, and how to avoid the costly mistakes that many new rare coin investors make.

Today, rare coins are considered sound investments and in fact have been featured numerous times in the Wall Street Journal, Barron’s, Money Magazine, on CNBC, and numerous other financial publications. Investment professionals from Harry Browne to independent financial planners have recommended some portion of one’s investment portfolio to contain precious metals and rare gold and silver coins.

Investing in gold coin is unnecessarily costly. This is due to a numismatic premium, typically related to the antiquity and rarity of the coin. This is why gold coins are more expensive than the same amount of gold bullion bars. Unfortunately, the extra features of gold coin that you're paying for won't necessarily go up in value, which is why precious metal coin is a poor investment.

Fraudulent sellers of rare or bullion coins are hard to identify because they often copy the practices of their legitimate counterparts. It takes a combination of patience and skill to be successful investing in rare or bullion coins. Collectors do their homework for a long period of time before buying even a single coin. It is important to learn all you can about the coins being sold, such as their rarity, market availability and price trends. You also need to know about the dealer who is offering the coins. Because fraudulent sellers often appear to be reputable, it is especially important to check the information you are given and who is giving it to you.

These price-driven internal supply/demand forces are very powerful. Because of these internal forces, coin investing can experience a bull market even in the absence of bullish external forces. And that's exactly what happened during the internally driven bull markets of 1960-64 and 1983-89. What's really exciting is when both internal and external forces combine to generate the 1976-80-style bull market.

Now compare your situation with mine. If you are offered a $100 coin for considerably under $100, there is a good chance the coin is being misrepresented (possibly counterfeit, but most likely over graded). Just remember: rare coin investing allows for no bargains.

Remember, rare coins are not a liquid investment. That means that they cannot generally be resold quickly for a profit. If you need to sell your rare coins quickly and the market is down, you could lose money on your investment. Also, although you will buy your rare coins at retail prices, you will probably sell them at wholesale prices. In fact, most investors hold on to their rare coins for at least ten years. It may be very difficult to find a buyer. Beware: telemarketing scammers (using a new name) often target previous rare coin buyers for victimization using claims that they can help sell your rare coins.

Morgan Dollars are a popular investment vehicle for coin collectors these days. Before you invest in Morgan Dollars, however, take a moment to consider a few thoughts about rare coin investing, because although there are some excellent investment options out there in Morgan Silver Dollars, there are also some pitfalls to avoid.

Your best protection against buying over graded coins in your rare coin investing pursuits is to learn to grade accurately. However, grading is a difficult skill to master. Still, you can be aware of the basic grading concepts. Carefully examine every coin you purchase. Notice how sharply the details of the design stand out. Take note of all major and minor marks. Now compare the coin with another, preferably of the same type. The coin with the greatest detail and fewest marks is logically the better coin. But also seek professional assistance because… rare coins are often over graded.

Government coinage policy can also have a negative impact, as was seen when the government stopped making proof sets from 1965-67, stopped putting mint marks on coins from 1965-67, and, most importantly, took the silver out of coins in 1965. This action put a real damper on coin collecting and stopped the 1960-64-bull market.

The fact is: It is very difficult to identify fraudulent sellers of rare and bullion coins because they often look like legitimate dealers. For example, fraudulent sellers frequently have elegant offices in the financial districts of major cities, employ "account executives" or "investment counselors," and produce glossy, attractive brochures on investment strategy. They may claim to have leading coin experts on their staffs, or claim to be the largest or finest dealers in the business. Because fraudulent sellers often appear to be reputable, it is particularly important to check the information you are given.

Lately, the government has definitely been the coin market's friend. The statehood quarter program, beginning in 1999 and running through 2008, has literally brought hundreds of thousands of new collectors to the coin investing market. In addition, the government's resumption of commemorative coin production in 1982, and the improved marketing efforts of these coins in the 1990s, has given coin collecting a big boost.

Inflation may allegedly be dead, but the fact is that the U.S. Dollar has lost 95% of its purchasing power since 1940, and rare coins are a superb inflation hedge. In the past, the rare collectible coin market has always done very well in periods of increasing inflation.

This was clearly evident in the 1970-74 and 1976-80 bull market. Coins can also do very well when the stock market does well, as was evident in the 1960-64 and 1983-89 bull markets.

Investing successfully in rare coins, like any other type of investing, requires that you learn everything you can about the subject before you buy the coins. Most rare coin frauds rely on the buyers' lack of knowledge, as exemplified by these tips from the FTC.