House Passed Legislation to Retire U.S. Pennies
The Common Cents Act allows retailers to round cash payments to the nearest nickel nationwide.
Updated on Sept. 22, 2026 in Couponing
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Should businesses be legally permitted to round cash transactions to the nearest nickel?
The U.S. House of Representatives passed the Common Cents Act, creating a national framework for retailers to round cash transactions. The legislation follows the U.S. Mint ending penny production in 2025.
Why it matters
Penny shortages at Federal Reserve distribution centers created significant operational hurdles and legal uncertainty for merchants. By allowing rounding, the bill aims to streamline cash purchases now that the penny is effectively being phased out of circulation.
The U.S. Mint officially ceased penny production in 2025. The new legislation permits retailers to round cash transactions to the nearest nickel.
The players
Lisa McClain
Lisa McClain is a member of the U.S. House of Representatives who co-introduced the Common Cents Act.
Robert Garcia
Robert Garcia is a member of the U.S. House of Representatives who co-sponsored the legislation to address currency shortages.
National Grocers Association
The National Grocers Association represents independent retail grocers and is currently advocating for the passage of the bill in the Senate.
The details
Retailers may now implement standardized rounding practices to manage cash purchases in the absence of exact change. The National Grocers Association has publicly urged the U.S. Senate to move forward with the bill.
Timeline
The U.S. Mint ended penny production in 2025.
The U.S. House of Representatives passed the bill by September 21, 2026.
Roadmap
The Common Cents Act represents the formal legislative conclusion to the U.S. Mint stopping penny production in 2025. This move aligns the United States with other nations that have successfully retired low-denomination coins to reduce logistical costs.
Shoppers should prepare for a future where cash transactions at local registers are rounded to the nearest nickel. This change will likely simplify the checkout process by eliminating the need for pennies in everyday retail exchanges.
The takeaway
Consumers should be aware that the penny's era is ending, which may require adjustments to how they manage small cash change. Tracking your spending may become slightly different as rounding practices replace exact cent-based payments at the register.
Further reading
For more information on how legislative changes impact shopping, visit the Couponing section.
Live Poll
Should businesses be legally permitted to round cash transactions to the nearest nickel?
