Say goodbye to the penny—but what happens to your change? With the U.S. penny officially phased out as of late 2025, a new challenge has emerged: how do businesses handle cash transactions without that trusty one-cent coin? And this is the part most people miss: without clear guidelines, rounding rules have become a confusing mess, leaving both consumers and businesses scratching their heads. But one Washington lawmaker is stepping in to bring order to the chaos.
Representative April Berg (D-Mill Creek) has introduced House Bill 2334, a proposal designed to establish straightforward rules for cash transactions in the state. Here’s where it gets controversial: the bill suggests rounding all cash payments to the nearest nickel, a move that could spark debate over fairness and practicality. But Berg argues it’s necessary, as the federal government has yet to provide any guidance on this post-penny world.
“This federal change has left states and businesses in a difficult position,” Berg explained. “Without clear rules, cash-only businesses are struggling to handle rounding, leading to confusion and errors. HB 2334 aims to solve this by putting clear guidelines into state law.”
So, how would it work? The bill proposes asymmetrical rounding, a system that rounds cash transactions to the nearest nickel in a way that’s fair for everyone. Here’s the breakdown:
- Totals ending in 1 or 2 cents round down to 0 cents.
- Totals ending in 3, 4, 6, or 7 cents round to 5 cents.
- Totals ending in 8 or 9 cents round up to 10 cents (or the next nickel).
But here’s where it gets even more interesting: while this system aims to simplify cash transactions, it raises questions about who benefits more—consumers or businesses? Berg assures that electronic payments, like credit and debit cards, remain unaffected. The bill also calls for state departments to issue clear rules for transactions combining cash and other payment methods, ensuring consistency for business owners.
“By codifying rounding in state law, we can prevent confusion, reduce small transaction errors, and help businesses transition smoothly,” Berg added. The bill is set to hit the Capitol floor in Olympia on January 12, as the 2026 legislative session begins its 60-day sprint. What do you think? Is rounding to the nearest nickel a fair solution, or does it favor one side over the other? Let us know in the comments—this debate is just getting started!
