Paying cash without pennies is confusing. That could soon change

Policy Paying cash without pennies is confusing. That could soon change Comments: by Addy Bink - 07/19/26 1:00 PM ET Comments: Link copied by Addy Bink - 07/19/26 1:00 PM ET Comments: Link copied

NOW PLAYING

(NEXSTAR) – It’s been roughly eight months since the U.S. minted its last penny, and even longer since a shortage left businesses struggling to make exact change to cash-paying customers. A bill passed by the House earlier this month could help to relieve some of that confusion.

The “Common Cents Act” formally ends the production of the penny, which the U.S. has already stopped minting, and addresses how retailers should give you change when they don’t have any pennies in the till. (It could also lead to a new nickel.)

Retailers large and small have been notifying customers that exact change is unlikely if paying with cash, but how they pass along what you’re owed has varied. Some offered gift cards and freebies, for example.

Others have been rounding change or transaction totals. That, however, can lead to legal challenges.

Several states and localities have laws that prohibit businesses from rounding cash transactions up or down, the National Association of Convenience Stores said in a letter to the Senate Banking and House Financial Services Committees last year.

Part of the problem, Dylan Jeon, National Retail Federation senior director of government relations, previously explained to Nexstar, relates to laws that say those paying with a different form of tender, like a SNAP EBT card, can’t be charged differently than a customer paying with cash.

Under the Common Cents Act, businesses would be allowed the option to round cash transactions to the nearest nickel. A $19.82 purchase becomes $19.80 while $19.83 becomes $19.85, for example.

Canada took this approach when it phased out its penny in the early 2010s.

This would only impact cash transactions, not those in which you’re paying with a check, mobile payment, or card.

Pennies would remain legal tender under the bill as well. It’s estimated that more than 300 billion pennies are out in the world – more than 800 pennies, or $8 worth, per U.S. citizen – trapped wherever a little Lincoln can roll, fall into, and hide.

The Common Cents Act still needs to pass through the Senate and be signed into law before it can take effect. Its future in the next chamber is unclear.

Add as preferred source on Google Tags

Comments: Link copied