SAN ANTONIO – After more than 200 years, the U.S. is ending penny production. This could mean changes at the cash register.
While the move is expected to save the government millions of dollars, experts tell KSAT it could quietly cost shoppers a few extra cents on cash purchases in the near future.
“Penny inflation may actually happen,” David Vequist, a professor of management at the University of the Incarnate Word, said. “It takes about 3.7 cents to produce a penny, and a penny is only worth one cent.”
With pennies no longer being made, Vequist said businesses are expected to start rounding cash purchases up. He predicts this will happen in the retail space to balance transactions.
With billions of pennies currently in circulation, Vequist said consumers won’t feel immediate impacts.
This means people like Manuel Ortiz can keep collecting.
“It’s fun,” Ortiz said. “It keeps me busy and keeps the kids busy.”
“How many pennies do you think you have in your collection? Can you even count (them)?” KSAT asked.
“No,” Ortiz said, laughing. “I’ve got boxes and boxes.”
Even as pennies disappear from production, their legacy and the joy they bring to collectors like Ortiz will continue for years to come.