Proposed "Make Sense Not Cents Act" Aims to Stop New Penny Production; Existing Coins Would Remain Legal Tender

Ever wonder if we really need all those pennies jingling in your pocket or piling up in a jar? Well, Congress is looking into it. The "Make Sense Not Cents Act" is a straightforward piece of legislation with one main goal: to stop the U.S. Treasury from minting or issuing any new 1-cent coins. This bill also proposes updates to certain financial laws to align with this change, as outlined in Section 3.

The Penny Stops Here (Maybe)

So, what's the nuts and bolts of this? Section 3 of the Act directs the Secretary of the Treasury to hit the brakes on producing and distributing new pennies. Think of it like the factory line for pennies getting the 'pause' button pressed indefinitely. The bill also mentions tweaks to Title 31 of the United States Code, which is the big book of rules for U.S. money and finance, and Section 408 of the Internal Revenue Code, which deals with Individual Retirement Accounts (IRAs). According to the bill, these changes are administrative, designed "to reflect the discontinuation of 1-cent coins," ensuring these laws are up-to-date if new pennies are no longer made.

Your Old Pennies Are Still Good

Now, before you think about cashing in that giant water jug full of pennies for scrap metal, hold your horses. Section 4 of the "Make Sense Not Cents Act" is pretty clear: any 1-cent coins already out there – whether they're under your couch cushions or in a collector's album – will still be considered "legal tender." That means they're still officially recognized as money for paying off all debts, public charges, taxes, and dues, just like they are now. The bill doesn't change their value or their status as legitimate U.S. currency.

The Bigger Picture (or Just Less Pocket Clutter?)

What this bill doesn't spell out is how cash transactions would be handled if pennies become scarcer over time – for example, it doesn't mandate rounding prices to the nearest nickel for cash payments. That's a detail often discussed when countries phase out small coins, but it's not part of this particular act. The immediate practical effect of the "Make Sense Not Cents Act," if passed, would be that the supply of new pennies entering circulation simply stops. Over time, this would likely mean seeing fewer of them in your change, but your existing stash remains perfectly spendable.