The U.S. House of Representatives passed H.R. 3074, the Common Cents Act, on Tuesday. The legislation establishes a national standard for rounding cash transactions to the nearest five cents following the Treasury Department's decision to stop minting the penny in November 2025. The bill now moves to the Senate for further consideration.
Under the proposed law, cash payments would be rounded up or down to the nearest nickel. For example, a total of $10.02 would be rounded down to $10.00, while a total of $10.04 would be rounded up to $10.05. According to the U.S. Mint, the penny remains legal tender, but the cost of producing the coin rose to nearly four cents per unit prior to its phase-out.
Supporters of the bill, including the National Restaurant Association, stated that a clear federal mandate protects businesses from litigation related to the inability to provide exact change. The association noted that while rounding down could cost the industry an estimated $168 million annually, the legal certainty provided by a national standard is preferable to current regional variations. Some retailers currently face legal risks if they fail to return exact cent change due to coin shortages or lack of inventory.