It appears that Americans might soon see the end of the penny, as the 1-cent coin is being pushed toward extinction. The House of Representatives has voted to pass the bipartisan Common Cents Act unanimously, aiming to retire this smallest piece of US currency.
This legislation would prevent the Treasury from producing additional pennies, except for collector’s items, and introduce a system where cash transactions would be rounded to the nearest 5 cents. The idea here is to phase out the need for pennies altogether.
However, there’s a catch. Wages given in cash would need to be rounded up if they aren’t divisible by 5 cents. It’s a small nuance, but it’s there to ensure fair play.
Interestingly, while new pennies will no longer be minted, the existing ones will still be accepted as legal tender.
The US Mint stopped making pennies back in November 2025, marking the end of 232 years of their circulation.
If this bill is signed into law by President Trump, it would serve to protect it from potential reversal by future administrations.
Minting pennies has become increasingly expensive, costing over three times their face value by 2025. According to the Treasury, this change could lead to immediate annual savings of about $56 million.
The bill was spearheaded by House GOP Conference Chair Lisa McClain from Michigan and Rep. Robert Garcia from California, the leading Democrat on the House Oversight Committee. They previously supported similar legislation to stop penny production, but the earlier bill didn’t address the rounding of cash payments.
There’s also a new provision in this bill that would permit the US Mint to create nickels using less expensive materials than what is currently used.
Lastly, Congress aims to keep an eye on how this new rule impacts various groups, including low-income individuals, seniors, and those without traditional banking access, instructing the Treasury to assess any potential disruptions.
