In a significant move aimed at reducing government expenditure, President Trump called out the U.S. Treasury on Truth Social over the production of pennies, labeling the coin’s continued minting as “wasteful.”
The decision comes amid longstanding debates over the practicality of the one-cent coin. Critics have pointed out that the cost of producing a penny often exceeds its face value, leading to financial inefficiencies. Additionally, the coin’s diminishing purchasing power has rendered it increasingly obsolete in everyday transactions. Think about it, when was the last time you spent a penny?
The U.S. Mint has previously reported that the expense of minting pennies surpasses their monetary worth, with the coin costing about 3.07 cents to produce, an increase from 3.01 cents in 2023, marking a significant financial loss for the government. Canada discontinued their own one cent coin in 2012.
Will we finally say goodbye to the penny? It’s hard to say. To completely eliminate a piece of currency from circulation would require legislative action from Congress. The president’s order pertains solely to the cessation of new pennies by the Treasury, making it unlikely that we’ll see the end of the penny any time soon.
