Overview

• The Treasury Department confirmed it will stop minting new pennies once its final inventory of blanks is exhausted, ending circulation by early 2026.
• Each penny costs over three cents to produce, leading to an estimated annual savings of $56 million by halting production.
• Businesses will adjust cash transactions by rounding to the nearest nickel, though existing pennies will remain valid for use.
• President Trump ordered the cessation of penny production in February, framing the move as a measure to reduce government waste.
• International precedent, such as Canada’s successful elimination of its penny in 2013, has informed the U.S. decision.