The United States Mint is set to strike its final penny for circulation today (November 12) in Philadelphia. This event marks the end of an era for the coin, which has been in use since the 1790s. U.S. Treasury Secretary Scott Bessent and U.S. Treasurer Brandon Beach will oversee the striking of the “final circulating penny” at 2 p.m.
The decision to cease penny production stems from the rising costs associated with minting the coin. Currently, it costs 3.69 cents to produce a single penny, making it economically unviable. Despite its discontinuation, the penny will remain legal tender and retain its value indefinitely, according to the Treasury Department. There are approximately 300 billion pennies still in circulation, far exceeding the amount needed for commerce.
The move to retire the penny was announced by President Donald Trump in February, citing the coin’s production cost as a primary reason. The U.S. Mint expects to save $56 million annually by halting penny production. However, the transition has not been without challenges. Some retailers, such as Kroger, Home Depot, and Walmart, have reported penny shortages, complicating cash transactions. USA Today reports that businesses are considering rounding prices to the nearest nickel, but this could lead to legal issues in states requiring exact change.
The penny, first minted in 1787, has undergone several design changes over the years. The current design, featuring Abraham Lincoln, was introduced in 1909. Despite its decline in use, the penny holds sentimental value for many Americans.
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