Video How to Do the Pencil thru Dollar Trick | Magic Tricks

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Male: Hey, have you any money on you, like a bill, a high bill?

Female: Are you going to give it back?

Male: Yes. I'll try. Oh, wow. High roller. Okay, hold your for a second. You've seen on T.V. where they cut a lady in half and stuff like that, right?

Female: Yes.

Male: I don't think you want to be cut in half right now.

Female: No.

Male: It's a little painful. So we're going to use the bill. I'm actually not going to cut the bill in half. I am going to put a hole right through the bill. Wouldn't that be cool?

Female: Yes.

Male: Watch. Pencil, right inside the hundred. It's inside, yes or no?

Female: Yes.

Male: Just like that, it goes right through. You can see the hole. You can see it inside, both sides.

Female: You're going to own me a hundred bucks.

Male: Maybe. Pull it right out. Now this is very interesting, Heather.
There's actually... Can you see it? A hole, but your hundred dollar bill is totally unharmed. There's no hole.

Female: Good thing.

Male: This is really, really cool because you can actually use any bill and any pencil, or a pen or a knife. You just need some kind of paper, it could be loose leaf paper. It could be another bill, actually. I am using index cards here. A Post-It Note. Anything you want, it doesn't really matter. I'll show you what to do with that in a moment. Basically what you need to do is finagle their bill a little bit and all you need to do is to get a little rip inside the bill.

You can actually have a ripped one in your pocket already of the same bill. You can switch it out. You can say, 'is this the hundred you just gave me? Oh, it is? Thanks a lot'. You can do the switch in your pocket or you can just finagle with their bill and when they're looking at you, you could just tear a little slit... I would say a quarter of the way down. Nobody sees that. It's normal. Basically you're going to take your index card or your Post-It Note and you rip off a small piece about that big.

You're going to fold the index card around the bill. Bend the bill down. I would say half an inch from the top. Have the index card on the outside. Fold it about that big so you show half the bill here and half of it is inside the index card. Take your pencil or your pen or whatever and you going to put it actually inside the fold. But, there's a secret. The pencil sneaks out of this little slit that you actually ripped and down towards the index card. If anything shows here, like a rip, you've got it covered with your thumb. In this case, it's pretty good. You don't really see much. You're going to cover that up anyway.

You can actually bend the back corner a little bit and the front corner a little bit. This is a very, very fair display. You can show both sides and that it's actually inside the bill. What you do now is you're going to push the pencil right through what seems like the hundred dollar bill. You show bother sides again, it looks really, really good. Turn back over and you're going to pull the pencil out. Show that the index card has a hole and show that the bill is totally normal. You put your fingers on the slit and that is the secret to the pencil through a borrowed bill.