JUNE 2025 Newsletter: "Small" Change Coming (or Going)!

With so much heavy news in the world today, we thought we'd take a moment to shift the focus to something a little lighter. And what better way to do that than by highlighting something literally lighter—the penny!

The humble one-cent coin is on its way out, and while it’s not earth-shattering, it isthe kind of quirky, curious news that invites a pause — and maybe even a smile.

Yes, the Treasury Department has announced that it is dropping the penny. Officials say the last new pennies will enter circulation in 2026.

No more passing them by when you see one on the sidewalk. Forget about wasting a couple by putting them in your loafers. And don't even consider throwing them into a wishing well.

Long term—and we’re talking many, many years—don’t expect there to be much difference with your “small change.” After all, there are 114 billion pennies in circulation today. That means roughly 900 for each of the 128 million families in the U.S.

Why the change? Cost, mostly. It costs 3.7 cents to make a penny. Which means the nickel could be next. It costs about 13.8 cents to make those. 

“No More Pennies Could Spark Higher Inflation,” read one of the headlines when the Treasury announced the news.

Some inflation hawks concluded that businesses will start to “round up” prices immediately, putting upward pressure on costs. But that seems like a hasty conclusion. When you dig into the details, you see that nearly 70 percent of in-store payments occur with credit or debit cards. Another big chunk utilizes digital wallets. So, not many retailers are handing back coins to customers.

In fact, you have probably personally encountered many “cashless venues” where only cards or digital wallets are accepted for payment. 

If anyone should be upset about this penny business, it’s Abraham Lincoln. He’s no longer going to be on a coin and a bill. That club now includes only two presidents!  

^Sources:

CNBC.com, May 22, 2025. “Get ready to round up: Treasury set to halt penny production”

Finance.Yahoo.com, March 29, 2025. “10 of the Most Valuable Pennies”

USMint.gov, 2025. “Coins - Penny”

Capitaloneshopping.com, May 27, 2025. “Cash vs Credit Card Spending Statistics”

MLB.com, 2025. “Information Guides”

• Following recent mentions in Boston Magazine and the Wall Street Journal, Fortune magazine’s June/July special section will also highlight Rick West as a Five Star Wealth Manager Award recipient for 2025. Check out thee-reprint here. 
  
  
• Summer is here! The time is right for vacations, outdoor activities, and fun. It's also mid-year, and a great time to ask yourself some financial questions:
  • Goals still the same this year?Has market volatility affected your goals? Note any changes since the first of the year that may warrant reviewing your goals.
  • Credit score looking good?Double-check your credit score for any red flags. This can be a good way to catch issues like identity theft early.
  • Contributions on track?Consider increasing your contributions to any personal or workplace-sponsored savings plans if it suits your goals.
  • Scheduled spending still make sense?Look at any impacts you've felt due to market volatility. Do your plans for the rest of the year align with reality?

If these tips have you thinking, please feel free to reach out to your advisor. 

• Did you know? Access to weeklyMarket Insightscan be found on our website underOur Services > Market Insights.Updates are posted regularly to ourLinked InandFacebookpages, so make sure to follow us for current market information.

Staying Safe on Public Wi-Fi

Public wi-fi networks, while convenient, can pose significant cybersecurity risks due to their often unsecured nature. Understanding these risks and implementing best practices is crucial for protecting your sensitive information.

• Avoid Accessing Sensitive Information -Don’t log into banking accounts or handle private data (e.g., medical or financial info) over public networks.
• Use a VPN (Virtual Private Network) -A VPN encrypts your internet connection, protecting your data from hackers on the same network.
• Stick to HTTPS Websites -Only visit sites withHTTPSin the URL, which indicates secure, encrypted communication.
• Turn Off Sharing Features -Disable file sharing, printer sharing, and public folder access in your device’s settings while on public Wi-Fi.
• Keep Software Updated -Ensure your device’s operating system, antivirus, and apps are up to date to fix known vulnerabilities.
• Use Two-Factor Authentication (2FA) -Adds an extra layer of security even if your credentials are compromised.
• Forget the Network After Use -Set your device not to automatically reconnect to public Wi-Fi, and remove it from your saved networks list.
• Use Antivirus and Firewalls -Keep your antivirus active and your firewall enabled to detect and block threats.
• Be Cautious of Fake Hotspots -Verify the network name with staff (e.g., at a café or hotel) to avoid connecting to malicious lookalike networks.
• Limit File Transfers and Downloads -Avoid downloading files or apps on public Wi-Fi, especially from untrusted sources.

How to Check the Status of Your Federal Tax Return

Filing taxes has become more seamless in recent years due to e-filing. It's also easy to check the status of your refund if you anticipate one. The IRS has a tool called Where's My Refund? where taxpayers can check the status of their refund within 24 hours of the IRS acknowledging the taxpayer's e-filed return. You can also see a personalized refund date after the return is processed.

You can access the tool online on the IRS website or via their app. It has three phases: return received, refund approved, and refund sent. The IRS recommends setting up direct deposit to receive your refund even faster. The tool is updated once a day.

This information is not a substitute for individualized tax advice. Please discuss your specific tax issues with a qualified tax professional.

^{Tip adapted fromIRS.gov}

What 3 numbers can you add together and get the same result as when you multiply them? (All 3 numbers are whole and positive, and none are double-digit.)

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Last Month's Riddle:I protect you. I sit on a bridge. You can see through me. People walking by might wonder what I hide. What am I?
Answer:sunglasses