Senate Approves Bill That Could End Pennies And Change Cash Payments Across The U.S.

The U.S. Senate has approved the Common Cents Act, a bill that could end new penny production, introduce changes to the nickel and reshape how Americans handle cash payments at stores across the country.

Credit: Sutterstock | en. Econostrum.info - United States

Lydia Amazouz
August 11, 2026

The U.S. Senate has passed a bill that could reshape the future of American coins by ending new penny production, changing cash transaction rules and opening the door to a redesigned nickel. The Common Cents Act received unanimous consent approval from the Senate, moving the legislation closer to becoming law after a similar version passed the House of Representatives.

The proposal addresses growing concerns about the cost of producing low-value coins and the challenges businesses face when handling cash payments without enough pennies available for change. If enacted, the bill would allow businesses to round cash transactions to the nearest five-cent increment while keeping existing pennies legal tender.

It would also give the Treasury Department authority to test a cheaper material composition for the nation’s five-cent coin. The legislation could mark one of the biggest changes to everyday U.S. currency use in decades.

Senate Bill Targets Penny Production And Cash Payment Challenges

According to The Hill, the Common Cents Act focuses on three major areas of U.S. currency policy: ending regular penny production, creating a national framework for cash rounding and exploring a new nickel design. The bill comes after the United States produced its final one-cent coin for circulation last year.

Although no new pennies are being made for everyday use, existing coins remain valid currency and can continue circulating throughout the economy. The disappearance of newly produced pennies has created challenges for some retailers that rely on cash transactions.

Without enough one-cent coins available, businesses have had difficulty providing exact change to customers. Under the proposed system, cash purchases would be rounded to the closest nickel.

For example, a transaction totaling $19.82 could become $19.80, while a purchase ending in $19.83 could be adjusted to $19.85. Supporters of the legislation argue that a nationwide rule would reduce confusion caused by different state and local regulations regarding cash rounding.

With the penny going away, what should you do with the ones in your coin jar?

Mike Snider

Daniel de Visé
USA 

Americans are holding an estimated $60-$90 in coins per household.
While some rare pennies are valuable, most are worth only a few cents.
Consumers can exchange coins for cash at banks, credit unions, or Coinstar kiosks.

Learn to love your coins.

That’s the message from Kevin McColly, CEO of Coinstar, the company behind those coin-cashing machines you see in supermarkets.

American consumers made only 16% of their payments in cash in 2023, according to the Federal Reserve. A 2022 Pew survey found that two-fifths of consumers never use cash at all.

President Donald Trump has ordered the Treasury to stop minting pennies because their production cost exceeds their value. (Intriguingly, the same is true of nickels.)

Many Americans regard both nickels and pennies as more nuisance than currency. The typical household is sitting on $60 to $90 in neglected coins, enough to fill one or two pint-size beer mugs, according to the Federal Reserve. Americans throw away millions of dollars in coins every year, literally treating them like trash.

Why do we treat coins like trash? McColly thinks we should change the way we think about coins.

To state the obvious, coins are worth money. Coinstar converts $3 billion in coins into spendable cash every year, one coin jar at a time. The average jar yields $58 in buying power.

Most of us don’t realize how much our coins are worth. Thus, a trip to a coin-exchange kiosk (or a bank, or credit union) can yield a pleasant surprise.

“People underestimate the value of their jar by about half,” McColly said. “It’s a wonderfully pleasurable experience. People have this sensation of found money.”