The Medieval Monetary System

In the Medieval Ages there was a scarcity of coinage and paper money was not widely in use yet. Most people of the lower and peasant classes used no money at all but rather bartered (traded) with one another using livestock, vegetables or items of clothing. As this created problems for local tax collectors and regent overseers, it became common for a lord or noble to confiscate the property of the lower classes in value to what was owed. Likewise if a Guildmaster, tradesman or merchant could not find the resources to pay an employee with coinage he could thus pay him with any of the above. Now and then services would be paid for with pieces of armor such as helmets or weapons. In the Medieval Ages this was considered just and fair payment and the items gained through trade could eventually be sold for high profit in neighboring towns and communities.

"Have Ye Come To Pay Your Taxes?"

You explain that you're only passing through this realm. "Well," he says with an air of annoyance, "That doesn't make you exempt! You see in the Medieval Ages there was not a plentiful amount of money. Most of it was kept by the upper class and the nobles who would enjoy the luxuries of life and use it to fill their warchests. For when war broke out, nobles and Kings would pay dearly for experienced knights and soldiers. Thus, towns like this one are forced to eek out a feeble existance, pay taxes to our local lord and sustain ourselves. I work for the local lord. I go door to door collecting taxes on income and property. Each citizen pays an amount equal to one third of his yearly earnings. Now, you say that may be high, but what price would you be willing to pay to your local lord for protection when enemy troops are firing catapults at our walls? In return for the taxes, the people are permitted free trade and commerce. Now I know there are some folks who don't report the true totals of their earnings. Sooner or later one of my spies will catch them and they'll be handed over to the local lord for punishment. This has been known to be as harsh as one year in a dungeon for every shilling not paid! Or it can result in a flogging or time spent in the stocks. Thus we are left to find new ways to earn revenue. These can be travellers taxes, like the one I'm asking you for. You must pay one silver coin for passing through our city. This will cover the needs. Thank you. Now good day."

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