In Australia they don't use pennies.  They round up or down, unless it is a plastic transaction.  They don't seem to have any problems with it at all.  There are a lot more 50 cent pieces in circulation, and they have a $1 and a $2 coin as well, so no $1 bills anymore either.  
I think coins are much dirtier than bills.  People are dropping coins all the time, and most panhandlers and beggars are paid in coins.  Coins have a lot of nooks and crannies for stuff to lodge into.  
I think we should go back to shells and beads.   
