Three Cents for Your Thoughts
The U.S. Mint has been producing cents for more than 230 years, and the Department of Government Efficiency (DOGE) has people wondering if that’s about to change.
President Donald Trump established DOGE when he took office last week. The temporary department, which will terminate on July 4, 2026, is administered by Tesla founder and the world’s richest man, Elon Musk. Its purpose is to “commence a Software Modernization Initiative to improve the quality and efficiency of governmentwide software, network infrastructure, and information technology (IT) systems.” However, DOGE’s interests may go beyond technology, extending into the numismatic realm. Last week, in a post on X, DOGE hinted at the inefficiency of the U.S. cent:
“The penny costs over 3 cents to make and cost US taxpayers over $179 million in FY2023. The Mint produced over 4.5 billion pennies in fiscal year 2023, around 40% of the 11.4 billion coins for circulation produced. Penny (or 3 cents!) for your thoughts.”
The rising price of zinc and the steady decrease of cash payments contribute to the cent’s decline in usefulness. Canada eliminated its penny in 2012 due to inflation, while repeated attempts to phase out the U.S. cent have stalled in Congress over the past several decades.
Time will tell whether the U.S. cent’s era is drawing to a close.