(Infographic) The Life Cycle of Dollar Bills
All currency is part of an intricate cycle that involves federal agencies, banks, consumers, and us, businesses. Bills can pass hands an astonishing 55 times each year and travel across country before being taken out of circulation.
However, depending on the type of currency, the time it spends in this cycle may vary. For instance, single dollar bills are used in daily transactions and have a life expectancy of about six years. On the other hand, hundred-dollar bills aren’t being used as frequently and have a much longer life span that can reach up to fifteen years.
But what about electronic money? These days, many of our financial transactions don’t involve the movement of physical cash or coins, but slight numerical adjustments within bank accounts. Whether it’s to pay employees by direct deposit, or accept a customer’s credit card payment on your website, we find ourselves using electronic funds way more often than the good old fashion cash register. After all, learning how to send money online is so easy, anyone can do it! Still considered currency, these electronic money transactions can be difficult to visualize as part of the currency cycle, especially when you consider the rise in electronic money transfers.
But rest assured, whether you use currency in physical or electronic form, you’re a part of the currency cycle. To learn more about the lifecycle of our economy and how your money moves, take a look at this awesome infographic.
