See why the U.S. discontinued penny production and what happens next.

After 232 years, the U.S. penny is on its way out. In mid-November, the Treasury Department minted the very last ones, citing savings as the reason for discontinuing penny production. It cost three cents to make a penny—more than it’s worth—and the Treasury will save $56 million annually by eliminating it. Here’s what the end of penny production means for you.

Pennies are still spendable

Pennies in circulation can still be used to make purchases and provide customers with change. They are legal tender for all debts, public and private.

Pennies are available at Consumers—while they last

Here at Consumers Credit Union, we exist to serve our members, and we will accept and provide pennies as long as it’s feasible to do so, and to the best of our ability.

How retailers are handling the end of pennies

Retailers are handling the dwindling penny supply a couple of ways. Some are encouraging digital payments, like debit cards and credit cards. This eliminates the need to handle coins altogether. Other retailers are rounding total sales to the nearest nickel in favor of customers and covering the difference.

Makers of point-of-sale systems used to tally and process retail purchases are providing ways to allow for automatic rounding too. If you have interest in exploring point-of-sale systems for your business, reach out to us!

When will pennies disappear entirely?

There are 250 billion pennies still in circulation. Americans will continue to save and spend them. Collectors will certainly hold on to some. But no one knows when pennies will disappear from our banking and transactions.

 

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