Did They Discontinue Pennies? The Full, Fact-Checked Story (2026)
If you’ve noticed pennies getting harder to find in your change, you’re not imagining it. But there’s a lot of confusion online about what actually happened.
We went straight to the U.S. Treasury and U.S. Mint’s own statements to get this right.
Quick answer: Yes, with an important clarification. The U.S. Mint has stopped producing new pennies for everyday circulation — the last one was minted in November 2025. But pennies have not been discontinued as money. They remain legal tender indefinitely, per the U.S. Treasury’s own official statement, and can still be spent, deposited at banks, and accepted by any business, for as long as they’re around (an estimated 114+ billion of them still are).
Did They Discontinue Pennies?
Production, yes. Legal status, no. This is the single most important distinction in the whole story, and a lot of headlines blur it.
In February 2025, President Trump directed the Treasury Secretary to stop producing new pennies, citing the cost. The U.S. Mint placed its final order of penny blanks shortly after, and production for general circulation officially ended in November 2025.
What didn’t happen: pennies were not banned, made illegal, or stripped of their value. The Treasury’s own Penny Production Cessation FAQ states plainly that pennies “will continue to be legal tender and retain their nominal value in perpetuity.”
What Actually Changed?
| Stopping Production | Removing Legal Tender Status |
|---|---|
| This is what happened. No new pennies are being minted for everyday use. | This did NOT happen. Existing pennies are still valid, spendable money. |
| The supply will slowly shrink as coins wear out or are lost | Pennies never expire or lose value by law |
Are Pennies Still Legal Tender?
Yes, unambiguously. This isn’t a gray area or a matter of interpretation — it’s stated directly by the U.S. Treasury. Businesses can continue depositing pennies at their bank, and consumers can continue spending them exactly as before.
Why Did the U.S. Stop Making Pennies?
Simple math: it cost more to make a penny than the penny was worth.
Over the past decade, the total cost to produce and distribute a single penny rose from 1.3 cents to 3.69 cents, according to the Treasury. In 2024 alone, the government lost more than $85 million minting roughly 3 billion pennies.
Ending production is projected to save about $56 million a year in material costs, with additional savings expected as facility usage is scaled back.
Timeline of the U.S. Penny
| Year | Milestone |
|---|---|
| 1793 | First U.S. penny issued, authorized under the Coinage Act of 1792 |
| 1909 | Lincoln cent introduced, designed by Victor David Brenner |
| 1982 | Composition switches from mostly copper to copper-plated zinc |
| 2010 | Union Shield reverse design introduced |
| Feb 2025 | President Trump orders Treasury to stop producing new pennies |
| Nov 2025 | The last penny for general circulation is minted |
| 2026 | Special collector-only “1776–2026” dual-date pennies struck for America’s 250th anniversary — not for circulation |
What Happens to Existing Pennies?
Nothing changes for pennies already in circulation — an estimated 114 billion of them, worth roughly $1.14 billion combined.
- Can you still spend them? Yes, exactly as before, with no restrictions.
- Can banks still accept them? Yes. Businesses can continue depositing pennies at their financial institution.
- Will stores accept them? Yes, they’re required to as legal tender, the same as any other coin.
Worth knowing: As pennies get lost, damaged, or simply sit in jars at home, the working supply will shrink gradually over years, not overnight. Some banks and retailers have already reported localized shortages, since pennies aren’t being replenished the way they used to be.
How Cash Rounding Works
As pennies become scarcer, many cash transactions are being rounded to the nearest nickel — but only cash. Card, tap-to-pay, and mobile payments are still charged the exact amount, down to the cent.
The common symmetric rounding rule recommended by the National Conference of State Legislatures works like this:
| Final Total Ends In | Rounds To |
|---|---|
| .01 or .02 | Rounds down to .00 |
| .03 or .04 | Rounds up to .05 |
| .06 or .07 | Rounds down to .05 |
| .08 or .09 | Rounds up to .10 |
Because rounding goes both up and down roughly equally, research from the Federal Reserve Bank of St. Louis suggests the overall financial impact on consumers is minimal over time. A 2025 Federal Reserve Bank of Richmond analysis of real consumer transaction data reached a similar conclusion.
Rounding rules aren’t federally standardized yet — the Common Cents Act, which would formalize nationwide rounding rules, has passed the House but had not been signed into law as of this writing. In the meantime, states and individual businesses are setting their own practices, guided by NCSL recommendations.
Will Pennies Become Valuable?
Most pennies in your pocket won’t become collector’s items just because production stopped — 114 billion is still an enormous supply, and ordinary post-1982 zinc pennies will likely stay worth exactly one cent for a long time.
That said, certain pennies already carry real collector value, independent of the production stoppage:
- Pre-1982 pennies are about 95% copper, versus copper-plated zinc afterward — some collectors and scrap buyers pay a small premium for these, though melting coins for their metal remains illegal under federal law.
- Rare mint errors and key dates (like the 1909-S VDB or 1943 copper cent) have sold for significant sums at auction, but these were already valuable long before 2025 — that has nothing to do with the recent production halt.
Should You Save Your Pennies?
- For everyday use: no urgency — they’ll spend fine for years, even as they get harder to find.
- For a keepsake: reasonable, since the 2025 production halt is a genuine historical milestone.
- As an investment: don’t count on it — ordinary modern pennies aren’t expected to gain meaningful value just from scarcity, given how many are still out there.
- Pre-1982 copper pennies: worth setting aside if you’re curious, but check current copper prices before assuming a big payout.
What Other Countries Did
| Country | Coin Eliminated | Year |
|---|---|---|
| New Zealand | 1c and 2c coins | 1990 |
| Australia | 1c and 2c coins | 1992 |
| New Zealand (again) | 5c coin | 2006 |
| Canada | Penny (1c) | 2012–2013 |
| United States | Penny (1c) | 2025 |
Canada’s rollout is the closest comparison to what’s happening in the US: pennies stopped being distributed in fall 2012, remained legal tender indefinitely, and cash transactions shifted to nickel rounding — the same basic model the US is now following.
Will the Nickel Be Next?
It’s a fair question, since the nickel also costs more than face value to produce. As of now, there’s no official Treasury announcement ending nickel production — this remains speculation, not fact, and shouldn’t be reported as anything more.
Myth vs. Reality
| Myth | Reality |
|---|---|
| Pennies are no longer legal tender | False. They remain legal tender indefinitely, per official Treasury statements. |
| Existing pennies are worthless now | False. Every penny still equals exactly one cent. |
| Banks won’t accept penny deposits | False. Businesses and individuals can still deposit pennies normally. |
| The 2026 penny means production restarted | Misleading. The 2026 “dual-date” penny is a collector-only item, not a return to circulation. |
Frequently Asked Questions
Did they discontinue pennies?
New production stopped in November 2025, but existing pennies remain legal tender and are not discontinued as currency.
Why did they discontinue pennies?
Each penny cost 3.69 cents to produce, more than triple its face value, leading to an $85 million loss in 2024 alone.
Can I still use pennies?
Yes, exactly as before. They remain fully valid legal tender with no restrictions on spending them.
Are pennies still legal tender?
Yes. The U.S. Treasury has confirmed pennies retain legal tender status and their nominal value indefinitely.
Can banks still accept pennies?
Yes, businesses and individuals can continue depositing pennies at their financial institutions as usual.
What happens to old pennies?
They stay in circulation and remain spendable. The overall supply will shrink gradually as coins are lost, damaged, or hoarded, since none are being replaced.
Will pennies become valuable?
Most ordinary pennies won’t gain significant value given the massive existing supply, though pre-1982 copper pennies and rare error coins already carry collector interest.
When did the U.S. stop making pennies?
The last penny for general circulation was minted in November 2025, following a February 2025 order from President Trump.
Can I still spend pennies?
Yes, pennies can still be spent anywhere that accepts cash, with no expiration or restriction.
Should I save my pennies?
There’s no urgency to spend them, but don’t expect ordinary pennies to become a meaningful investment given how many remain in circulation.
Will stores still accept pennies?
Yes, as legal tender, businesses are expected to continue accepting pennies for as long as they remain in circulation.
How does cash rounding work?
Cash transaction totals are typically rounded to the nearest nickel, while card and digital payments continue to be charged to the exact cent.
Is the nickel being discontinued too?
No official announcement has been made about ending nickel production; any claims otherwise are currently just speculation.
What is the 2026 penny?
A special collector-only “1776–2026” dual-date penny struck to mark America’s 250th anniversary. It is not being made for general circulation.
