A very very secure site near Baltimore (Richmond Jurisdiction), where armored cars unload used paper money.
It's inspected for rips, burns, defacing, discoloration, and a host of ills like being counterfeit. 
The good bills  are wrapped up in bundles worth $1,000 to $100,000 and piled in those carts which a piled 60 feet high.
The bad money is shredded into pieces smaller than a grain of rice.
It's used for mulch, compost, insulation, in cement, sold for souvenirs, and to novelty companies to put in snow globes, piggy banks, etc.
Regardless of denomination there's about 908,000 bills in a ton.
 

Cue the lecture from tw about how we should just use electronic payment so the NSA can track us easier.