Money may seem like your personal property something you can save, spend, give away, or even destroy. But when it comes to throwing away U.S. currency, the law is more complicated than people think. The legality depends on how the money is discarded and why.
Throwing away money is not always illegal, but certain forms of destroying or defacing U.S. currency can violate federal law. Understanding the difference is essential, because mishandling currency can lead to federal scrutiny, fines, or even criminal charges in specific scenarios.
Is Throwing Away Money Illegal? The Basic Rule
Contrary to popular belief, simply throwing away money is not specifically outlawed. If you toss a dollar bill in the trash or accidentally throw cash out during cleaning, you will not face penalties.
Money, once in your possession, is considered your property and the law does not explicitly require citizens to protect or keep it.
However this is where the law tightens certain behaviors related to destroying, mutilating, or altering money are illegal under federal statutes.
Federal Law: When Destroying Money Is a Crime
The U.S. Code, specifically 18 U.S.C. § 333, makes it a federal offense to mutilate, cut, deface, disfigure, or destroy currency with intent to render it unusable as money.
Under this law, it is illegal to:
- Burn money
- Shred or cut money into pieces
- Deface bills to make them unusable
- Destroy currency to prevent it from circulating
If someone throws away money in a way that clearly destroys it especially if done intentionally this can fall under the category of mutilation of currency, which is a federal misdemeanor.
Penalties can include:
- Fines
- Up to 6 months in federal prison
- Potential investigation by the U.S. Secret Service (the agency responsible for financial crimes)
So while tossing a bill in the trash isn’t automatically a crime, deliberately destroying it can be.
Throwing Away Coins: Does the Law Treat Them Differently?
Coins fall under a separate federal law (18 U.S.C. § 331), which prohibits:
- Mutilating coins
- Melting coins
- Fraudulently altering coins
These laws were originally designed to prevent people from extracting valuable metals, such as copper or nickel, by melting coins. In 2025, the law remains active.
Throwing away coins is not illegal by itself, but destroying them intentionally such as smashing, melting, or grinding may be a crime.
Can Throwing Away Large Amounts of Cash Be Suspicious?
While disposing of small amounts of money is harmless, throwing away large sums can raise red flags, especially when observed by law enforcement.
Why?
Large-scale destruction or disposal of currency can be associated with:
- Money laundering
- Evidence destruction
- Fraud
- Attempted concealment of illegal financial activity
If the amount is significant, authorities may investigate to determine whether the money is linked to criminal behavior.
Even though throwing it away isn’t inherently illegal, the circumstances surrounding the act may trigger legal consequences.
Environmental Laws May Also Apply
In some states or municipalities, discarding large quantities of money especially coins into public spaces or waterways may violate littering laws, environmental regulations, or public nuisance statutes.
In these cases, the act is illegal not because of the money itself, but because of where and how it is thrown away.
What About Businesses or Banks Destroying Money?
Financial institutions cannot legally destroy money on their own.
Damaged or worn-out bills must be:
- Submitted to the Federal Reserve
- Returned to the U.S. Treasury
- Processed through authorized destruction channels
Unauthorized destruction by businesses can trigger federal penalties.
Conclusion: Is It Against the Law to Throw Away Money?
In 2025, it is not illegal to casually throw away money, but the law becomes strict if:
- You intentionally destroy money
- You alter currency to make it unusable
- You discard large quantities suspiciously
- You violate environmental or public nuisance laws
For everyday situations, throwing away a dollar is not a crime. But intentional destruction of U.S. currency especially in large amounts can violate federal law.
