What Is Australian Money Called? A Comprehensive Guide to Australian Currency

Introduction

Do you have plans to travel to Australia, migrate, or do business in the country? One of the things you might be wondering about is what the currency in Australia is called. It can be very challenging for a foreigner to visit Australia and feel confident about using the country’s currency without knowing what it is called and the different slang terms used by Australians to describe it.

This article aims to provide a comprehensive guide to Australian money, answering questions about its denominations, unique features, slang terms, history, and how it compares to other currencies around the world. By the end of the article, you will have a good understanding of what Australian currency is called and what to expect when using it while in Australia.

The Basics of Australian Currency: What Are the Coins and Banknotes Called?

Like most other countries, Australia uses a decimal currency system, with the Australian dollar (AUD) being the official currency. The decimal system consists of cents and dollars, with one Australian dollar being equivalent to 100 cents.

The denominations of Australian coins currently being used are as follows:

5 cent
10 cent
20 cent
50 cent
$1 coin
$2 coin

On the other hand, the banknotes currently being used in Australia are made of polymer and come in the following denominations:

$5 note
$10 note
$20 note
$50 note
$100 note

One unique feature of Australian currency is the use of polymer banknotes. Polymer notes are made of a plastic material that is gauged to be more durable than paper money. Additionally, the polymer banknotes are harder to counterfeit, have a longer lifespan, and can be recycled, making them an eco-friendly option.

The Reserve Bank of Australia (RBA) is responsible for designing, producing, and issuing Australian currency. The RBA has been producing Australian currency since 1966.

Currency Slang Down Under: A Guide to Australian Money Terminology

Australians have a lot of creative slang terms used to describe their currency that might sound like gibberish to foreigners.

Here are some of the most common idiomatic expressions used to describe Australian money:

Buck/Bucks: Refers to the dollar or dollars as in “I’ve got a few bucks in my pocket.”
Grand: Refers to the amount of $1000
Wonga: Slang for money in general. Used more frequently by older Australians
Tinny: Refers to a 6-pack or more of beer. Also used to describe a $50 note
Fiddy: Short for fifty-dollar note
Yellow: Refers to a $20 note. It gets its name from the predominately yellow colour on the note.
Polly: Refers to polymer banknotes
Divo: Short for a $5 note, originated from the Queen Mother’s divorce settlement
Cashola: Refers to cash in general
Piggy: Refers to a bank, often used when talking to a child about saving money. For example, “Put your pocket money in your piggy bank.”

It is also essential to note that Australia has a wide range of slang terms used to describe different denominations. For instance, Australians use the term ‘coinage’ to refer to pocket change and usually refer to $10 notes as blue, while $5 notes are known as pink or red.

The Evolution of Australian Money: The History of Currency in the Land Down Under

Australia started using British coins as its official currency when the country was first colonized. Early colonial banks issued their paper and coins from the mid-1800s, but it wasn’t until the early 1900s that federal currency was introduced. The first banknotes that the Commonwealth Bank of Australia issued were in 1913. After that, the bank’s notes remained in circulation until they were gradually replaced by the Reserve Bank of Australia in the 1960s.

The introduction of polymer banknotes in Australia dates back to 1988. The RBA started producing the polymer notes as a result of the currency’s high rate of counterfeiting. Polymer banknotes were designed to be harder to counterfeit and more durable than paper money.

In terms of design, the RBA has been consistent when it comes to Australian currency’s aesthetic over the years. All banknotes feature portraits of famous Australians, such as Sir John Monash, Dame Nellie Melba, and David Unaipon, who was an Aboriginal author and inventor. The $5 banknote has a portrait of Queen Elizabeth II, Australia’s current monarch, on the front.

Currency Exchange Rates for Travelers to Australia: Maximising your Dollar Down Under

If you are traveling to Australia, one of the most significant concerns that you might have about the country’s currency is how to handle it. You want to get the most value out of your money when you exchange it and use it while in Australia. Here are some practical tips and information to help you maximize your dollar down under:

If you are arriving in Australia from a foreign country, it’s a good idea to exchange some money to Australian Dollars before you leave. Alternatively, you can withdraw cash from an ATM upon arrival. Make sure to check your bank’s international withdrawal fees beforehand
Take advantage of the current exchange rates from your local bank or credit union
Use a credit card while traveling as not all places in Australia take American Express
Use online money transfer apps like TransferWise, PayPal, and Apple Pay while traveling in Australia
Be sure to familiarize yourself with the current exchange rate before or on arrival
Before you travel, make sure to inform your bank or credit card company, as they may put a hold on your account if they detect fraudulent activity while you’re abroad.

Remember, the value of the Australian dollar fluctuates daily. You can check the current exchange rates at any time to see how much your currency is worth in AUD. Ensure that you consider other expenses like conversion fees when deciding the best way to exchange your money for Australian Dollars.

Australian Money: How it Compares to Other Currencies Around the World

Australian Dollars is the world’s fifth most traded currency, with a value higher than the Canadian dollar, Swiss Franc, and the South African Rand. Australian currency is well-known for its stability, due to the country’s healthy economy and government policies that ensure a stable financial climate.

Travelers who come from countries whose currencies are weaker than the Australian dollar might feel like they are getting a good deal. On the other hand, Australians traveling overseas might feel like their currency isn’t going as far.

When it comes to ease of use, the Australian Dollar is a bit more complicated than other currencies. Unlike other currencies that are tied to the Euro, the USD, or the GBP, the Australian dollars’ value fluctuates with changes in the country’s economy. This means that the value of the Australian dollar is often subject to significant fluctuations.

Conclusion

Now that you know what Australian money is called and all of its unique features, you can feel more confident about handling the currency while in Australia. From denominations to slang terms to historical information and comparison to other currencies, this guide gives anyone a comprehensive understanding of Australian money. Whether you are a traveler or a business person, understanding Australian currency is a critical part of fitting into Australia’s financial ecosystem.

If you have any questions or comments about Australian money, feel free to leave them in the comments below.