A Historic Farewell to the Penny

UNITED STATES—The U.S. government has officially halted production of the penny, ending more than two centuries of circulation for America’s smallest coin. While pennies will remain legal tender, no new ones will be minted, marking a historic shift in U.S. currency policy.

A Historic Farewell

On November 12, 2025, the U.S. Mint in Philadelphia struck the final circulating penny, closing the chapter on a coin first authorized by the Coinage Act of 1792.^{1 2}  The ceremony was attended by U.S. Treasurer Brandon Beach, who pressed the last coin, and Treasury Secretary Scott Bessent, who highlighted the penny’s long legacy in American commerce.

The penny has been a fixture in American life for over 230 years, featuring designs from Lady Liberty to Abraham Lincoln. Yet despite its cultural symbolism, the coin had become economically unsustainable. In recent years, each penny cost 3.69 cents to produce, far exceeding its face value.^{1 3}

Why Production Ended

• Rising costs: The Mint spent more than triple the coin’s value to manufacture it.

• Budget savings: Ending penny production is expected to save the government $56 million annually.^{1 4}

• Changing consumer habits: With digital payments and tap-to-pay systems dominating transactions, pennies were increasingly unnecessary.

• Global precedent: Countries like Canada, Australia, and New Zealand eliminated their pennies years ago with minimal disruption.^{5 6}

President Donald Trump ordered the halt earlier in 2025, calling penny production “wasteful” and urging the Treasury to “stop producing new pennies”.^{1 4}

United States Mint

Impact on Consumers and Businesses

The transition has already caused shortages in retail cash drawers, with major chains like Walmart, Kroger, and McDonald’s reporting difficulties.^{1 7}  Without pennies, businesses are adopting rounding practices:

• Totals ending in .01 or .02 are rounded down to the nearest nickel.

• Totals ending in .03 or .04 are rounded up.^{5 3}

While economists argue rounding will have little inflationary impact, some retailers worry about customer frustration. Certain states, including New York and Oregon, still require exact pricing, complicating the rollout.⁶

“While general production concludes today, the penny’s legacy lives on. Its significance in America’s story will endure.”

What Happens to Existing Pennies

• Legal tender: All pennies in circulation remain valid indefinitely.

• Collector’s items: The Mint will continue producing limited numismatic editions for collectors.^{1 2}

• Auctions: The final ceremonial pennies, marked with a rare “Omega” symbol, are expected to fetch millions at auction.⁴

• Consumer options: Americans can still spend, deposit, or donate pennies. Charities have already launched “Last Penny” campaigns.⁵

Cultural Significance

For generations, pennies carried sentimental value—whether tucked into piggy banks, tossed into fountains for luck, or used in “take a penny, leave a penny” trays. Their retirement marks not just an economic decision but the end of a familiar ritual in everyday American life.

As Kristie McNally, Acting Mint Director, noted: “While general production concludes today, the penny’s legacy lives on. Its significance in America’s story will endure.”²

In short: The penny’s retirement reflects both fiscal pragmatism and the evolution of modern commerce. Though the coin will linger in jars and cash registers for decades, its production has officially ended—closing a 232-year chapter in U.S. history.

References (7)

¹US Mint to strike 'final circulating penny' on Wednesday, Nov. 12. https://www.usatoday.com/story/news/nation/2025/11/12/us-mint-halts-penny-production/87213000007/

²United States Mint Hosts Historic Ceremonial Strike for Final .... https://www.usmint.gov/news/press-releases/united-states-mint-hosts-historic-ceremonial-strike-for-final-production-of-the-circulating-one-cent-coin

³Why the US is minting its last penny, and what happens now. https://thehill.com/homenews/nexstar_media_wire/5602348-why-the-us-is-minting-its-last-penny-and-what-happens-now/

⁴US Treasury’s last five minted pennies may spark multimillion-dollar bidding war. https://www.foxbusiness.com/money/us-treasurys-last-five-minted-pennies-may-spark-multimillion-dollar-bidding-war

⁵US Mint ends penny production: What it means for consumers. https://www.consumeraffairs.com/news/us-mint-ends-penny-production-what-it-means-for-consumers-111325.html

⁶End of an era: US penny bids goodbye after last coin pressed in Philadelphia; 238 years old currency finally retires after Trump's order. https://timesofindia.indiatimes.com/business/international-business/end-of-an-era-us-penny-bids-goodbye-after-last-coin-pressed-in-philadelphia-238-years-old-currency-finally-retires-after-trumps-order/articleshow/125290544.cms

⁷US Mint strikes last penny as Trump’s phaseout rattles retailers. https://www.politico.com/news/2025/11/12/us-mint-to-strike-last-penny-as-trumps-phaseout-rattles-retailers-00647445