Elon Musk's Department of Government Efficiency (DOGE) is aiming at the U.S. penny as part of a broader initiative to address federal budget inefficiencies. According to a recent post on DOGE's X account, taxpayers spent over $179 million in fiscal year 2023 producing more than 4.5 billion pennies, with the minting cost of each penny exceeding three cents. This revelation spots a significant aspect of government inefficiency that has faced scrutiny for decades, yet past efforts to abolish or reform the penny have faltered in Congress. Musk's push for change aligns with observations from the CBS News reporting that in 2016, the cost of minting each penny was around 1.5 cents, indicating a steep increase over the years. Meanwhile, the U.S. Mint's 2024 report found that the cost to manufacture and distribute each penny has now climbed to approximately 3.7 cents. The rising prices can be attributed to the materials used; pennies are predominantly made of zinc, with only a thin copper layer. Since 1982, the composition has shifted to nearly 98% zinc, which has become more expensive over time. There are ongoing conversations in Congress regarding the future of the penny. For instance, Senator Joni Ernst of Iowa questioned the practicality of producing a coin that is worth less than its manufacturing cost. The diminishing usage of cash is another crucial factor steering this discussion, as the Business Insider highlights that cash transactions constituted only 16% of payments in 2023, down from 18% in 2022. Additionally, international precedents exist, as noted in an article from Newsweek, with countries like Canada discontinuing their equivalent of the penny in 2012. Despite historical significance and tradition, the financial rationale for continued penny production is under scrutiny; eliminating it could streamline transactions and save considerable taxpayer money. While DOGE's comments raise essential points about the penny's value, it remains essential to understand that the organization cannot independently eliminate the coin. Legislative action from Congress would be required to discontinue its production, an effort that seems essential in modernizing federal operations and enhancing efficiency in government spending.