After 230 Years, the Penny Reaches its Final Day
By Robert Rojas
For the first time in more than two hundred years, the United States is preparing to move forward without the penny. The Treasury Department has stopped ordering new penny blanks, which means the Mint will stop making the coin once the remaining supply is used. This decision marks the beginning of the end for a piece of American currency that has been part of daily life since the 1700s.
The main reason behind the change is cost. The penny has not been profitable to produce for many years. Recent reports show that it costs close to four cents to make a single one cent coin. This includes the price of metal, labor, and transportation. In 2024 alone, the government lost tens of millions of dollars creating pennies that were worth far less than the expense of producing them. Ending production is expected to save millions every year.
Political pressure also played a role. Earlier this year, President Donald Trump asked the Treasury to stop minting new pennies, calling the coin a waste of taxpayer money. Treasury officials agreed that the cost had grown too high to justify continued production. Once the current stock of materials runs out, the Mint will focus on other coins.
But getting rid of the penny is not as simple as it sounds. One concern that economists raise involves cash purchases. Without pennies, stores may start rounding totals to the nearest five cents. Studies suggest that this could cause small increases in what customers pay during cash transactions. While the impact would be minor for most people, some worry it could add up over time, especially for families who use cash often.
Another issue is the nickel. When pennies disappear, more people will rely on nickels to make small change. But nickels are also costly to produce. It currently costs far more than five cents to create each one, and increasing production could lead to higher expenses for the Mint. Some experts warn that the government may save money in one area only to lose more in another.
Support for removing the penny has grown over the years, especially as the value of the coin has dropped. The penny cannot buy anything on its own in most stores, and many people leave them behind or avoid using them altogether. Other countries, including Canada, Australia, and New Zealand, have already removed their lowest value coins. Their transitions have been smooth, and the public adjusted quickly.
“I think that it’s just sad that they got rid of such a representative thing about the United States even if it did cost more to produce than it was worth,” said sophomore Jayden Nicolas.
Still, there is pushback in the United States. Some people believe the penny has cultural and sentimental value. Abraham Lincoln has been on the coin since 1909, and for many Americans, the penny is a symbol of history. Others point out that charities often rely on penny drives or coin collections. Without the penny, these groups may need new ways to gather small donations.
Businesses also want clear rules for how rounding should work. Some stores may round prices fairly, while others could round in ways that favor the business. There is no national policy for rounding yet, so many groups are asking Congress to step in and create standards before the penny fully disappears.
For now, people can still use pennies as normal. The Mint has produced billions of them over the years, and they will stay in circulation until they naturally fade out. Most coins stay in use for decades before they wear down, so the penny will not vanish overnight. Instead, it will slowly become less common as people spend them, store them, or cash them in.
The end of the penny reflects a larger shift in how Americans pay for goods. Digital payments, cards, and apps have reduced the need for coins. Many young people rarely use cash at all. As technology becomes more central to daily life, small physical coins play a smaller role. The decision to phase out the penny follows that trend.
“I definitely think it’s a little crazy that we are part of the history of the penny no longer being minted. But it’s definitely a big step. I think it shows how we are growing away from coins and going into more paper bills.”
Whether people agree with the move or not, the United States is entering a new stage in how its money works. The penny has been part of American pockets, wallets, and jars for generations. Now, the country must decide how to handle change without the coin that once defined it. The next few years will show whether this decision saves money, causes new problems, or simply becomes another step toward a more digital economy.
