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BumRushDaShow

(168,766 posts)
Thu Mar 12, 2026, 11:21 AM 11 hrs ago

State lawmakers rush to set rounding rules for when there are no pennies

Source: ABC News/AP

March 12, 2026, 12:05 AM


Months after the last of the United States' 1-cent coins were pressed, some states are beginning to offer their own 2 cents on the penny problem by setting rounding guidance for cash purchases. President Donald Trump announced early last year an end to penny production, saying it was wasteful. It cost 3.7 cents to make each 1-cent coin in 2024, according to the U.S. Mint.

The move led to a shortage of pennies in cash registers last summer, forcing consumers and businesses to confront a penniless future in which making exact change would be difficult. The Treasury Department has said it will continue circulating the roughly 114 billion pennies that exist for “as long as possible.” Pennies must still be accepted as payment.

One solution to the penny problem is rounding to the nearest nickel, using a practice called symmetrical rounding. If the final price, after taxes, ends in one, two, six or seven cents, payment in cash rounds down. For example, $1.91 or $1.92 becomes $1.90. If the price ends in three, four, eight or nine, cash payment rounds up. For $1.98 or $1.99, the consumer pays $2.

A bill introduced last year in Congress and passed out of the House financial services committee would apply symmetrical rounding across the country. U.S. Rep. Lisa McClain, R-Mich., said in an email the federal law is important to prevent a “confusing patchwork of state policies.” The bill hasn’t been voted on in the House and would still need to move through the U.S. Senate before reaching Trump’s desk.

Read more: https://abcnews.com/Lifestyle/wireStory/state-lawmakers-rush-set-rounding-rules-pennies-130990013

24 replies = new reply since forum marked as read
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State lawmakers rush to set rounding rules for when there are no pennies (Original Post) BumRushDaShow 11 hrs ago OP
When I do pay cash I tell the clerk to keep the pennies. twodogsbarking 11 hrs ago #1
Pricing Timewas 10 hrs ago #2
A nickle costs 13.8 cents each Historic NY 10 hrs ago #4
That's true! I looked it up. 70sEraVet 9 hrs ago #13
Depends on how you define cost as the money spent is money that also flows into the economy. cstanleytech 8 hrs ago #18
Really? Timewas 3 hrs ago #24
I wondered about that also - how do you make the taxes always end in a nickel? rurallib 10 hrs ago #6
Because of our regressive sales taxes IbogaProject 9 hrs ago #11
My 2 cents Historic NY 10 hrs ago #3
It seems like they were always rounding up and keeping the extra. mackdaddy 10 hrs ago #5
Can we round it up to a nickel and give that extra to the billionaire class? rurallib 10 hrs ago #7
It honestly would not surprise me if they try doing something like that. cstanleytech 8 hrs ago #19
My local McDonald's has adopted nearest nickel for cash transactions. hay rick 10 hrs ago #8
I find it more than pathetic that we need a law to clarify rounding up or down in the marketplace zeusdogmom 10 hrs ago #9
30 Years ago I could buy small resses PB cups for 3 cents. Today if I droped 3 cents no one would pick it up. Jacson6 10 hrs ago #10
Yes, but 30 years ago a gum ball cost 2 cents . . . Journeyman 9 hrs ago #12
WOT????!!! Jacson6 8 hrs ago #16
And then a dime. And then a dollar... Torchlight 6 hrs ago #22
Our monetary system should be based on something of a tangible value 70sEraVet 8 hrs ago #14
Did you look closely at the cents that would be rounded up or down? slightlv 8 hrs ago #15
Canada Maninacan 8 hrs ago #17
A cent coin is not a commodity, it's a token, like a certificate. It's worth what it is by fiat, not by cost. eppur_se_muova 6 hrs ago #20
Next up...that $19.95 thingamabob will be rounded up to 3825-87867 6 hrs ago #21
Stores are rounding down, not up Deminpenn 5 hrs ago #23

Timewas

(2,724 posts)
2. Pricing
Thu Mar 12, 2026, 11:33 AM
10 hrs ago

Why can't they just price everything to the nearest nickel then no "rounding" needed...

70sEraVet

(5,441 posts)
13. That's true! I looked it up.
Thu Mar 12, 2026, 01:07 PM
9 hrs ago

It's altogether a crazy system -- it costs more to make the currency than the currency is worth, if you save cash in a bank it becomes worth less than when you first put it in the bank, and you never know from one day to the next what a dollar bill will buy.
And yet we spend so much of our precious lives chasing after it.

cstanleytech

(28,420 posts)
18. Depends on how you define cost as the money spent is money that also flows into the economy.
Thu Mar 12, 2026, 02:22 PM
8 hrs ago

Timewas

(2,724 posts)
24. Really?
Thu Mar 12, 2026, 07:18 PM
3 hrs ago

T he cost of a nickle has nothing to do with pricing to round thigs up or down when they eliminate the penny...It pretty much has always cost more to mint money than it is worth....

rurallib

(64,670 posts)
6. I wondered about that also - how do you make the taxes always end in a nickel?
Thu Mar 12, 2026, 11:50 AM
10 hrs ago

I suppose that could be done easily, but would the taxpayers buy it? Also, remember sales taxes in particular are very regressive.

IbogaProject

(5,810 posts)
11. Because of our regressive sales taxes
Thu Mar 12, 2026, 12:29 PM
9 hrs ago

But sales tax can be embedded in the price in New York State, but I never see that.

mackdaddy

(1,969 posts)
5. It seems like they were always rounding up and keeping the extra.
Thu Mar 12, 2026, 11:46 AM
10 hrs ago

The biggest issue is Sales Tax which makes it difficult to always have the price at some even 5c point.

rurallib

(64,670 posts)
7. Can we round it up to a nickel and give that extra to the billionaire class?
Thu Mar 12, 2026, 11:51 AM
10 hrs ago

They are so needy

hay rick

(9,549 posts)
8. My local McDonald's has adopted nearest nickel for cash transactions.
Thu Mar 12, 2026, 12:04 PM
10 hrs ago

It's posted on the wall behind the cash registers.

zeusdogmom

(1,138 posts)
9. I find it more than pathetic that we need a law to clarify rounding up or down in the marketplace
Thu Mar 12, 2026, 12:13 PM
10 hrs ago

Jacson6

(1,936 posts)
10. 30 Years ago I could buy small resses PB cups for 3 cents. Today if I droped 3 cents no one would pick it up.
Thu Mar 12, 2026, 12:21 PM
10 hrs ago

It's time to just round everything up to a nickel.

Journeyman

(15,439 posts)
12. Yes, but 30 years ago a gum ball cost 2 cents . . .
Thu Mar 12, 2026, 12:47 PM
9 hrs ago

Are we to get them free now from the pharmacy, when they pay us to take our medications out of store?

70sEraVet

(5,441 posts)
14. Our monetary system should be based on something of a tangible value
Thu Mar 12, 2026, 01:29 PM
8 hrs ago

Not just tangible, but something simple and necessary -- something that would convey a basic sense of COMPASSIONATE value.
Let's say, one dollar equals one dozen eggs; a half-dollar would equal half a dozen eggs, etc. The smallest denomination would be one egg.
The federal minimum wage would always ensure that a worker would be able to feed his family, without having to convince a roomful of Republican lawmakers every few years that it is contrary to a nation's interests to let workers starve.

slightlv

(7,735 posts)
15. Did you look closely at the cents that would be rounded up or down?
Thu Mar 12, 2026, 01:31 PM
8 hrs ago
final price, after taxes, ends in one, two, six or seven cents, payment in cash rounds down

If the price ends in three, four, eight or nine, cash payment rounds up.


While I won't say sales prices always end in a 8 or a 9, I will say I've rarely seen sale prices that end in 2 or 6.

This rounding process is ripe for corruption. Find the most used final number in a sales price, add to that the state/local tax on the item, and you've got a formula for skimming off the top. But then, I'm not "braining" very well today, it seems. Trouble with my eyes and my head is spinning at times.

This just looks like another grift to me...

eppur_se_muova

(41,745 posts)
20. A cent coin is not a commodity, it's a token, like a certificate. It's worth what it is by fiat, not by cost.
Thu Mar 12, 2026, 03:52 PM
6 hrs ago

Maybe it takes 3.7 cents to make, but it can be used over and over for years before it wears out, participating in many dollars worth of transactions. Discontinuing it because of material costs is a bit short-sighted.

Over the years, the US, and the Colonies before that, have phased out the half-cent, the quarter-cent (aka farthing), the half-farthing, and the quarter-farthing, because they no longer made sense. The cent will eventually go too, but there's no rush. It is part of the basis of our money system, not just our coinage. It seems to me it would have been smarter to issue a 2-cent coin, probably in the same diameter, but thinner, and a different color (at least slightly). Thinner would mean less cost to make. Banks might dislike having to modify their coin sorters, but most people wouldn't be affected. Retail stores would just toss a small box in the pennies bin, and put either the new coins or the old ones in that, until the changeover (no pun intended) ran its course. And rounding to the nearest 2 cents would be less of a problem than rounding to 5 cents.

It's still not too late, either ..... having a shortage of cents might make it easier.

3825-87867

(1,918 posts)
21. Next up...that $19.95 thingamabob will be rounded up to
Thu Mar 12, 2026, 04:08 PM
6 hrs ago

$20.00
And so on an on and on and on...

Oh and don't forget stamps. Just make them $1.00 each and if the maunfacturer price goes up, just ad an "/up by 5" (cents or dollar) to it.
Then let the business keep the left over.

But trumps $99.99 stuff will get an exception for the taxability problem, right?

Deminpenn

(17,432 posts)
23. Stores are rounding down, not up
Thu Mar 12, 2026, 04:51 PM
5 hrs ago

That's is what the local Walmart, Aldi and Home Depot are doing. I have not had any cash purchase round up to the nearest nickel, it's always been down.

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