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Production of the Last Penny: Why? What Now?

Raya Islam Student Contributor, University of Texas - Austin
This article is written by a student writer from the Her Campus at Texas chapter and does not reflect the views of Her Campus.

In 1793, a beautiful solution was thought of to solve all of humanity’s financial problems: the penny. 232 years of production later, the solution was abolished. On November 12, 2025, the U.S. Mint, the bureau of the Department of the Treasury who are responsible for all the coins in the United States, pressed its last circulating penny in Philadelphia… and with it, went 232 years of significant, personal moments.

From throwing coins in a wishing well to picking some up on the road to add to our childhood coin jar, pennies have truly been a staple for generations. And though we cannot singlehandedly bring them back on the reasoning of “fondness” and “personal heartbreak,” we can still reminisce and shed a nostalgic tear while being informed of its unfortunate effects on the economy. With that in mind, the relaying of the penny’s stop in production commences.

the costs of inaction

The reason the penny was stopped in production is due to cost. It actually costs the company more to make it than it brings in earnings, with the U.S. Mint’s 2024 annual report stating it sold pennies at 3.69 cents each, making the cost threefold of its actual monetary value. The negative seigniorage caused taxpayers to suffer an annual loss of tens of millions. The reason for the penny’s costliness is because of its materials, namely its copper-plated zinc core, but it’s also because of the coin’s frequent tendency to be lost or abandoned, leading to the government having to produce more to compensate, but then losing money because the coin is still not spent. The end of production thus came down to President Trump stating it was wasteful and ordering the Department of the Treasury to end production in February 2025.

so what now?

So now what happens? Well, production of pennies might have ended, but they are still in circulation and are technically valid, so there is no loss in profit in keeping your own stash. However, cash transactions will now either round up or down to the nearest nickel value. Wake Forest University actually did a study and found that prices rounding up or down usually balance out, so people do not need to worry about a rounding tax. Digital transactions such as Credit/Debit cards, Apple Pay, and Venmo will also stay the same, including the one cent. While there is some reasonable concern about what organizations, such as charities, based on the penny will do, it is sure most will continue to fend for themselves by switching to high-value coins, such as nickels or dimes, or going digital.

it was not unexpected

This stop in production is not unprecedented. The U.S. eliminated the half-cent coin in 1857. Other countries, like Canada (2012) and Australia (1992), have already eliminated their lowest-denomination coins. Still, though I understand why it had to go, I cannot ignore the history and significance. The penny (or one-cent coin) was one of the first coins produced by the U.S. Mint after it was established by the Coinage Act of 1792. It is the first U.S. coin to feature a real person, Abraham Lincoln, whose image was added in 1909 to commemorate his 100th birthday. Alongside historical significance, for many, the penny holds sentimental value. It’s the “lucky” coin you find on the street, the coin for a wishing fountain, and a symbol of small, careful saving that will one day buy something amazing.

reminisce and reflect

When the last penny was pressed, a moment in history was made. It was a truly symbolic moment that reflected our increasingly digital world, where physical value is becoming irrelevant. Still, the wound feels too fresh to get more critical than that. Though most of us did not know of the last coin’s production at its very tearful moment, all Americans will feel its effect. I can only infer what will happen next, but I do know it will be something big that starts off this new era. Goodbye to the penny. I, along with millions of others, will miss you, no matter how bad a technical and financial loss your existence was right before your death.

Raya Islam

Texas '29

Raya Islam is a new writer at the Her Campus at Texas chapter. She writes about the newest cultural events and local excitements.

Her time here is the start of her professional journey in the publication world. While not having a title to put on a resume yet, she aims to reach that goal and many similar ones through this very chapter. Her aspirations are very high and very large, but her faith even higher. Currently, she is a freshman at the University of Texas -Austin.

In her free time, Raya enjoys singing, dancing, and just being an overall constant irritant in her roommates' lives. She also loves breezy strolls, spontaneity, and trying out new places. Yes, she is the type of person to drop everything at the mention of a new cafe, but also self-centeredly believes her readers are that person too.