Speaker Johnson Pulls It Off! This Changes Everything…

After more than two centuries in American commerce, the penny is moving closer to becoming a thing of the past.

The U.S. House of Representatives has approved bipartisan legislation that would permanently end production of one-cent coins for everyday circulation and establish nationwide rules allowing businesses to round certain cash transactions to the nearest nickel.

The measure, known as the Common Cents Act, H.R. 10167, passed by voice vote under suspension of the rules, a procedure typically used for legislation with broad bipartisan support.

Because lawmakers did not conduct a recorded roll-call vote, individual representatives’ positions were not formally documented.

The legislation was introduced by House Republican Conference Chair Lisa McClain of Michigan and Democratic Rep. Robert Garcia of California.

If enacted, it would formally direct the Treasury Department to stop producing pennies for general circulation, while permitting the U.S. Mint to continue manufacturing limited quantities for collectors.

The legislation would codify a change that has already taken place.

On November 12, 2025, the U.S. Mint struck its final penny intended for general circulation, ending a 232-year production tradition dating back to the earliest years of the American republic.

The decision followed years of concerns about the rising expense of producing a coin worth only one cent.

According to the Mint, manufacturing and distributing each penny had reached approximately 3.69 cents, meaning the government was spending considerably more to produce the coin than its face value.

Ending circulating penny production was projected to save approximately $56 million annually.

“Today the Mint celebrates 232 years of penny manufacturing,” Acting Mint Director Kristie McNally said when production concluded.

“While general production concludes today, the penny’s legacy lives on. As its usage in commerce continues to evolve, its significance in America’s story will endure.”

Although production has ended, Americans will not be required to surrender the pennies already sitting in their wallets, jars or coin collections.

Under the proposed legislation, existing pennies would remain legal tender for debts, taxes and other payments.

The Mint estimates that approximately 300 billion pennies remain in circulation, meaning the familiar copper-colored coins could continue appearing in everyday transactions for years.

One of the most significant provisions of the Common Cents Act addresses how retailers would handle cash purchases as pennies become increasingly difficult to obtain.

The legislation would allow businesses to round the final cash transaction total to the nearest five cents when exact change cannot be provided.

Under the proposed system, amounts ending in 1, 2, 6 or 7 cents would be rounded down to the nearest nickel.

Totals ending in 3, 4, 8 or 9 cents would be rounded up.

Transactions already ending in zero or five cents would remain unchanged.

For example, a cash purchase totaling $10.42 could be rounded down to $10.40, while a purchase totaling $10.43 could be rounded up to $10.45.

The rounding would apply to the final transaction amount, not individually to every item purchased.

Importantly, the proposed rules would apply only to cash transactions.

Consumers paying with credit cards, debit cards, checks, electronic transfers, gift cards or similar methods would continue paying the exact amount owed, down to the cent.

Businesses would also retain the option of providing exact change when they have sufficient pennies available.

The legislation would not require every cash purchase to be rounded automatically.

Supporters view the measure as a practical response to the declining availability of pennies and the increasing cost of manufacturing them.

The proposal also includes provisions intended to reduce the expense of producing another familiar American coin: the nickel.

Currently, the five-cent coin consists of 75 percent copper and 25 percent nickel.

The bill would authorize the Treasury Department to explore an alternative composition using a zinc inner layer and nickel outer layer.

Any change would depend on whether the new design could reduce manufacturing costs without creating significant problems for vending machines, coin-counting equipment and other devices that process currency.

The legislation would also require the Federal Reserve to develop a strategy for managing the enormous existing supply of pennies.

Federal officials would be tasked with evaluating the potential consequences of rounding practices, particularly for lower-income Americans, older consumers and individuals who rely heavily on cash because they lack access to traditional banking services.

Those considerations could become increasingly important as businesses transition away from handling one-cent coins.

The legislation follows months of congressional activity aimed at formally addressing the penny’s future.

The House previously approved an earlier version of the Common Cents Act in July, while the Senate passed its own version, S. 1525, by unanimous consent on August 7.

The latest House action involved the newer H.R. 10167, meaning the measure has not yet completed the legislative process.

Both chambers must approve identical legislation before it can be presented to President Donald Trump for his signature.

Until that happens, the proposed nationwide rounding framework is not yet federal law.

Regardless of the remaining legislative steps, the practical end of new circulating penny production has already occurred.

The change marks the conclusion of a longstanding American manufacturing tradition and reflects the growing financial pressures associated with producing low-denomination coins.

For taxpayers, the government projects millions of dollars in annual savings.

For businesses, the transition could simplify cash handling while requiring adjustments to how certain purchases are totaled.

And for consumers, the most noticeable change may eventually be that cash purchases no longer require counting out individual pennies.

The coins themselves will remain valid, and collectors will still have opportunities to obtain specially produced examples.

But after 232 years, the penny’s role in everyday American commerce is entering a new era.

The House has now taken another step toward making that transition permanent, leaving the Senate and President Trump to determine whether the proposed rules become federal law.