Say goodbye to the penny—but what happens to your change? With the U.S. penny officially phased out of production since late 2025, a new challenge has emerged: how do businesses handle cash transactions when they can’t make exact change? But here’s where it gets controversial: one Washington lawmaker is proposing a solution that could change how you pay for your morning coffee—and not everyone is on board.
Representative April Berg (D-Mill Creek) has introduced House Bill 2334, aiming to bring clarity to cash transactions in the state. The federal government has yet to provide guidance on this issue, leaving businesses in a tricky spot. And this is the part most people miss: without clear rules, cash-only businesses have been left to fend for themselves, often leading to confusion and errors in rounding change. Berg’s bill seeks to fix this by establishing a standardized rounding system for cash payments.
Here’s how it would work: the bill proposes asymmetrical rounding to the nearest nickel. For example:
- Totals ending in 1 or 2 cents would round down to 0.
- Totals ending in 3, 4, 6, or 7 cents would round to 5.
- Totals ending in 8 or 9 cents would round up to 10.
Berg argues this approach is fair for both consumers and businesses, ensuring consistency while leaving electronic payments—like credit or debit cards—unaffected. The bill also calls for state departments to issue clear guidelines for transactions combining cash and other payment methods, providing much-needed clarity for business owners.
But is this the right approach? While Berg believes codifying rounding rules will prevent confusion and reduce errors, some critics argue it could disproportionately affect low-income consumers or small businesses. What do you think? Should rounding rules be standardized, or is this a step too far? Let us know in the comments.
The bill is set to hit the Capitol floor in Olympia on January 12, as the 2026 legislative session begins. Whether it passes or not, one thing is clear: the end of the penny has sparked a conversation about the future of cash transactions—and it’s one you won’t want to miss.
