Financial experts reveal how Trump's end to 234-year US penny tradition could affect your wallet

Two experts in the world of finance have detailed how Donald Trump's plan to end a US penny tradition could impact your wallet.

The president will soon sign the Common Cents Act into law after it passed unanimously in the Senate this week.

Such move will end the creation of pennies in the US, and while it may not come as shock, it means a 234-year tradition will come to an end.

Trump ordered the US Mint to stop making pennies in February 2025 as he attempted to cut government spending, with a penny costing 3.7 cents to produce.

Now, with pennies set to soon be a thing of the past, financial experts have weighed in on the impact it could have on your wallet.

David Kassir, Managing Director of Private Wealth Management, Manna Wealth Management, said: "Honestly? Losing the penny will not change anyone's financial life. Not yours, not mine. But it will change what buying things feels like for the people who still use cash.

Pennies will no longer be produced (Mehmet Eser/Anadolu via Getty Images)

"Everything gets rounded, probably to the nickel. And rounding is never perfectly fair. Over a year of small purchases, a few cents here and a few cents there start to add up. And who pays cash the most? Lower-income households. They are the ones who feel it first. That is just the reality of it."

The expert added: "The bigger story is not the penny. It is what the penny's exit says about cash. Most money already moves through a phone. The penny was the last coin still pretending it was 1985.

"So what should everyday people do? Nothing, really. Watch your receipts if you pay cash. Keep your budget exactly where it is. And do not let a fun headline become a reason to stop paying attention to small numbers. Because here is the truth about budgets: small numbers are where they actually live."

The US Mint will stop making pennies in February 2025 (Kevin Carter/Getty Images)

Fellow financial expert, April Lewis-Parks, claimed that the execution of pennies forces cash transactions onto a 'nickel standard'.

He added: "For people who rely on cash and have a tight weekly budget, rounding prices at checkout will add up over the course of a year.

"Retiring a coin that costs nearly four cents to make is common sense. The federal government saves tens of millions — but I wouldn't expect that windfall to be passed down to ordinary people."