Trending Now - States Address Rounding Rules Amid Penny Scarcity

WHO:

President Trump announced the end of penny production.

U.S. Rep. Lisa McClain, R-Mich., is involved in the proposed federal legislation.

Republican Gov. Mike Braun signed a bill in Indiana.

Republican Rep. Charlie Baum sponsored legislation in Tennessee.

Washington state Rep. April Berg introduced a rounding bill.

WHAT:

The U.S. Mint stopped producing pennies in 2025.

It cost 3.7 cents to produce each 1-cent coin in 2024.

The Treasury Department stated it will continue circulating approximately 114 billion pennies.

A bill for symmetrical rounding was introduced in Congress and passed out of the House Financial Services Committee.

Indiana's law requires businesses to round cash purchases for transactions not ending in zero or five.

Rounding bills have been introduced in about two dozen states since late 2025.

The Treasury estimates that ceasing penny production will save $56 million annually.

The cost to produce a nickel reached nearly 14 cents in 2024.

WHERE:

Indiana, Tennessee, Florida, Arizona, Oregon, Virginia, Washington, and Connecticut are mentioned as states involved in the legislation.

WHEN:

President Trump announced the end of penny production early in 2025.

The bill in Indiana was signed into law in March 2026.

The proposed federal legislation has not yet been voted on in the House as of March 2026.

WHY:

President Trump stated that penny production was wasteful.

The move to stop penny production led to a shortage of pennies, complicating cash transactions.

HOW:

Symmetrical rounding is proposed as a solution, where cash payments round to the nearest nickel based on the final price after taxes.

Some states are allowing businesses to choose how to round cash purchases, while others are considering making it mandatory.

(UPDATED March 12, 2026 13:24 UTC)

Today, President Trump announced the end of penny production, a move he described as wasteful, following the U.S. Mint's cessation of penny production in 2025. Legislation has been introduced in various states, including Indiana and Tennessee, to implement symmetrical rounding for cash transactions, which would help address the complications arising from a shortage of pennies. The Treasury Department estimates that stopping penny production will save the government $56 million annually, while businesses in states like Indiana are now required to round cash purchases for transactions not ending in zero or five.