ToolCloverOn this page
How to use this page
- Pick your state from the list above the map, or tap it on the map. You will see its status, the law or bill, when it takes effect and the main points.
- Read the status label. "Rounding law in effect" means a state law already covers cash sales. "Law passed, starts later" has an effective date in the future. "Bill pending" has not become law. "Government payments only" covers payments to the state, not shops. "Guidance only" means an agency has published advice but there is no rounding statute. "No state rule yet" means we found nothing.
- Filter the table. Choose a status under the map to show only those states in the table, the details and on the map.
- Open the source linked for your state before you change how your business rounds. The link goes to the state's own page or to a law-firm or tax-publisher summary.
- Put it to work. Try totals on the penny rounding calculator and make a printable penny rounding sign for your register.
Penny rounding rules in all 50 states
As of September 26, 2026, 16 states have a rounding law in effect for cash sales, Connecticut and California have passed laws that start later, and several have issued guidance instead. Nearly every law uses the same rule: totals ending in 1, 2, 6 or 7 cents round down to the nearest 5 cents, and totals ending in 3, 4, 8 or 9 round up. Only cash is rounded.
| State | Status | Law or bill | Effective | In short |
|---|---|---|---|---|
| Alabama | Rounding law in effect | HB 545 (Act 2026-548) | April 17, 2026 | Businesses may round the cash total or the change to the nearest 5¢. |
| Alaska | No state rule yet | — | — | No state rounding law or guidance found. |
| Arizona | Rounding law in effect | HB 2938 | March 12, 2026 | Businesses without pennies at the register must round cash totals to the nearest 5¢. |
| Arkansas | No state rule yet | — | — | No state rounding law or guidance found. |
| California | Law passed, starts later | AB 1793 (Chapter 896, Statutes of 2026) | July 1, 2027 | Signed by the governor on September 30, 2026 (checked October 12, 2026). |
| Colorado | Guidance only | — | — | State guidance only; no rounding law. |
| Connecticut | Law passed, starts later | HB 5349 (Public Act 26-128) | January 1, 2027 | The new law adds a penny-rounding exception to Connecticut's cash-acceptance law. |
| Delaware | No state rule yet | — | — | No state rounding law or guidance found. A 2026 legislative issue brief studied the effects of losing the penny. |
| District of Columbia | No state rule yet | — | — | No rounding law. D.C. has a cash-acceptance law, and Holland & Knight flags it as a place where rounding up could conflict with it. |
| Florida | Rounding law in effect | SB 1074 (Ch. 2026-68) | May 11, 2026 | Dealers may round cash payments to the nearest 5¢. |
| Georgia | Rounding law in effect | HB 1112 | — | In-person cash totals round to the nearest 5¢: 1, 2, 6, 7 down; 3, 4, 8, 9 up. |
| Hawaii | Rounding law in effect | SB 3255 | — | Sellers round the total cash amount, including taxes and fees, to the nearest 5¢. |
| Idaho | Rounding law in effect | S 1350 (Ch. 241) | July 1, 2026 | Sets cash rounding rules for businesses. Signed March 31, 2026. |
| Illinois | No state rule yet | — | — | No state rounding law or guidance found. |
| Indiana | Rounding law in effect | SB 243 | March 6, 2026 | Retailers may round cash totals, including tax, to the nearest 5¢. |
| Iowa | Guidance only | — | — | Revenue department sales tax guidance only; no rounding law. |
| Kansas | No state rule yet | — | — | No state rounding law or guidance found. |
| Kentucky | Rounding law in effect | HB 757 (Acts Ch. 161) | — | Part of the 2026 revenue bill: cash transactions round to the nearest 5¢ when pennies aren't available. |
| Louisiana | No state rule yet | — | — | No rounding law. A House resolution (HR 252) asks the attorney general to study the effects of the penny's end. |
| Maine | No state rule yet | — | — | No state rounding law or guidance found. |
| Maryland | Rounding law in effect | SB 893 | May 12, 2026 | Merchants may round the total or the change, but not both. |
| Massachusetts | Guidance only | — | — | Revenue directive on sales tax only; a rounding bill (H 5450) has been filed. |
| Michigan | Guidance only | — | — | Treasury notice only; a bill (SB 1014) that would have businesses round cash totals down is pending. |
| Minnesota | Government payments only | HF 4591 (Ch. 119) | May 28, 2026 | Rounding rules for cash payments to and from state agencies (1, 2, 6, 7 down; 3, 4, 8, 9 up). |
| Mississippi | No state rule yet | — | — | No rounding law. Bills were filed in 2026. |
| Missouri | Rounding law in effect | HB 2819 | August 28, 2026 | Businesses may round cash totals to the nearest 5¢: 1, 2, 6, 7 down; 3, 4, 8, 9 up. |
| Montana | No state rule yet | — | — | No state rounding law or guidance found. |
| Nebraska | Rounding law in effect | LB 838 | — | Sellers (and employers paying cash wages) may round cash amounts to the nearest 5¢. |
| Nevada | No state rule yet | — | — | No state rounding law or guidance found. |
| New Hampshire | No state rule yet | — | — | No state rounding law or guidance found. |
| New Jersey | Guidance only | — | — | Treasury and Consumer Affairs guidance only; a bill (S 3977) is pending. |
| New Mexico | Government payments only | HB 291 | July 1, 2026 | Lets the tax department, Motor Vehicle Division and county treasurers round cash payments to the nearest 5¢. |
| New York | Bill pending | A 9274A / S 8580 | Would apply 180 days after signing | Passed both houses (Senate vote June 3, 2026); awaiting the governor. |
| North Carolina | Guidance only | — | — | Revenue directive on sales tax only (Directive 26-1): tax is due on the full amount before rounding. |
| North Dakota | No state rule yet | — | — | No state rounding law or guidance found. |
| Ohio | Bill pending | HB 737 | — | A bill to round cash payments to the nearest 5¢ is pending. |
| Oklahoma | Government payments only | HB 3075 | November 1, 2026 (state agencies); July 1, 2027 (cities and counties) | Rounding rules for cash payments to government only. |
| Oregon | Rounding law in effect | HB 4178 (Ch. 126) | April 7, 2026 | Businesses may adopt a rounding policy for in-person cash sales, applied consistently. |
| Pennsylvania | Bill pending | HB 2388 | — | Passed the House on June 25, 2026; now in the Senate. |
| Rhode Island | No state rule yet | — | — | No state rounding law or guidance found. |
| South Carolina | Guidance only | — | — | Revenue department guidance only; a bill (H 4617) was filed. |
| South Dakota | Guidance only | — | — | Revenue department guidance only. |
| Tennessee | Rounding law in effect | HB 1744 / SB 1810 | — | Lets businesses round cash totals when exact change isn't available: 1, 2, 6, 7 down; 3, 4, 8, 9 up. |
| Texas | Guidance only | — | — | Comptroller guidance on sales tax only; no rounding law. |
| Utah | Guidance only | — | — | Department of Commerce business guide and a state-agency policy; no rounding law for stores. |
| Vermont | Rounding law in effect | S.327 (Act 128) | — | Businesses may round the final cash amount, including taxes and fees, to the nearest 5¢. |
| Virginia | Rounding law in effect | HB 954 | July 1, 2026 | Sets the standard way to round cash sales: 1, 2, 6, 7 down; 3, 4, 8, 9 up. |
| Washington | Rounding law in effect | SHB 2334 | June 2026 | Retailers may round in-person cash totals to the nearest 5¢; for mixed payments only the cash part is rounded. |
| West Virginia | No state rule yet | — | — | No rounding law. Bills were filed in 2026. |
| Wisconsin | Guidance only | — | — | State agency guidance only; no rounding law. |
| Wyoming | No state rule yet | — | — | No state rounding law or guidance found. |
Is there a federal penny rounding law?
The Common Cents Act (H.R. 10167) passed the U.S. House on September 14, 2026 and passed the Senate without amendment on September 28, 2026, so both chambers have approved the same text. It still needs the President's signature to become law, and as of October 12, 2026 the official bill record showed no presidential action. It would let businesses round cash totals to the nearest 5 cents (1, 2, 6, 7 down; 3, 4, 8, 9 up), cash only. It is not in effect yet and has no effective date until it is signed.
Sources: GovInfo – H.R. 10167 bill status (checked October 12, 2026) · Congress.gov – H.R. 10167 actions
Cities with their own cash rules
Some cities require businesses to accept cash and bar charging cash customers more than card customers. Rounding a cash total up can clash with those rules. Holland & Knight flags Miami-Dade County, Miami, New York City, Philadelphia, San Francisco, Detroit and Washington, D.C. as places to check carefully. Philadelphia and D.C. enforce theirs through consumer protection laws that let customers sue. Washington State's law overrides local rules; most others don't say.
Rounding down, or giving exact change when you have pennies, avoids the problem.
What businesses should do
- Check your state's row above and open its source. If your state has a law, follow its method, which is usually nearest 5¢ (symmetrical).
- Round only the final cash total, after tax. Keep charging cards the exact amount, and keep figuring and reporting sales tax on the exact amount.
- Post a sign at the register. Arizona, Oregon and Vermont require a notice; everywhere else it saves arguments. Make a free printable rounding sign with our generator.
- Train staff with a printed penny rounding chart, and check totals with the Penny Rounding Calculator.
- Where there's no law, rounding down is the low-risk choice until your state acts.
This is general information, not legal or tax advice. Laws are changing quickly; confirm with your state revenue department or a lawyer.
State-by-state details
Open a state to see its law, effective date and sources.
AlabamaRounding law in effect
- Businesses may round the cash total or the change to the nearest 5¢.
- Cash only; card, check and gift card payments are exact.
- Sales tax is unchanged by rounding.
Source: Alabama Department of Revenue – In-person cash transactions
AlaskaNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
ArizonaRounding law in effect
- Businesses without pennies at the register must round cash totals to the nearest 5¢.
- A notice must be posted: “Cash transactions are rounded to the nearest five-cent increment pursuant to state law.”
- Tax is reported on the amount before rounding.
Source: Arizona Department of Revenue – Cash Transaction Rounding Law
ArkansasNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
CaliforniaLaw passed, starts later
- Signed by the governor on September 30, 2026 (checked October 12, 2026).
- From July 1, 2027, merchants must round the cash portion of a total to the nearest 5¢: 1, 2, 6, 7 down; 3, 4, 8, 9 up.
- Taxes and fees are figured before rounding.
ColoradoGuidance only
- State guidance only; no rounding law.
Source: Colorado Office of the State Controller – Cash transaction rounding · Holland & Knight (Aug 2026)
ConnecticutLaw passed, starts later
- The new law adds a penny-rounding exception to Connecticut's cash-acceptance law.
- Until it takes effect, the Department of Consumer Protection says businesses short of pennies should round cash totals down, not up.
Source: Public Act 26-128 (HB 5349) · CT Department of Consumer Protection – Change for cash payments
DelawareNo state rule yet
- No state rounding law or guidance found. A 2026 legislative issue brief studied the effects of losing the penny.
Source: Delaware Legislative Council – Consequences of eliminating the penny
District of ColumbiaNo state rule yet
- No rounding law. D.C. has a cash-acceptance law, and Holland & Knight flags it as a place where rounding up could conflict with it.
Source: Holland & Knight (Aug 2026)
FloridaRounding law in effect
- Dealers may round cash payments to the nearest 5¢.
- Rounding this way is not a deceptive or unfair trade practice.
- Local rules such as Miami-Dade's cash rule still deserve a check.
Source: Florida Senate – SB 1074 (2026)
GeorgiaRounding law in effect
- In-person cash totals round to the nearest 5¢: 1, 2, 6, 7 down; 3, 4, 8, 9 up.
- Card payments are exact.
Source: Governor of Georgia – 2026 signed legislation · The Current GA – Georgia passes bill to round cash purchases
HawaiiRounding law in effect
- Sellers round the total cash amount, including taxes and fees, to the nearest 5¢.
- Card payments are exact.
IdahoRounding law in effect
- Sets cash rounding rules for businesses. Signed March 31, 2026.
IllinoisNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
IndianaRounding law in effect
- Retailers may round cash totals, including tax, to the nearest 5¢.
- The full tax is still owed; rounding gains or losses count as the retailer's income.
Source: Indiana Department of Revenue – Penny rounding for retailers
IowaGuidance only
- Revenue department sales tax guidance only; no rounding law.
Source: Holland & Knight (Aug 2026)
KansasNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
KentuckyRounding law in effect
- Part of the 2026 revenue bill: cash transactions round to the nearest 5¢ when pennies aren't available.
- Retailers still owe the correct sales tax.
Source: LegiScan – Kentucky HB 757 (2026) · Kentucky League of Cities – Revenue bill summary
LouisianaNo state rule yet
- No rounding law. A House resolution (HR 252) asks the attorney general to study the effects of the penny's end.
Source: CSG South – Penny elimination
MaineNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
MarylandRounding law in effect
- Merchants may round the total or the change, but not both.
- Sales tax is figured on the price before rounding.
Source: Comptroller of Maryland – Tax alert: penny shortage and rounding · Conduit Street – MD authorizes cash transaction rounding
MassachusettsGuidance only
- Revenue directive on sales tax only; a rounding bill (H 5450) has been filed.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
MichiganGuidance only
- Treasury notice only; a bill (SB 1014) that would have businesses round cash totals down is pending.
Source: Holland & Knight (Aug 2026)
MinnesotaGovernment payments only
- Rounding rules for cash payments to and from state agencies (1, 2, 6, 7 down; 3, 4, 8, 9 up).
- No state rule for private stores.
MississippiNo state rule yet
- No rounding law. Bills were filed in 2026.
Source: CSG South – Penny elimination
MissouriRounding law in effect
- Businesses may round cash totals to the nearest 5¢: 1, 2, 6, 7 down; 3, 4, 8, 9 up.
- Card payments are exact.
Source: KY3 – Missouri law lets businesses round cash totals
MontanaNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
NebraskaRounding law in effect
- Sellers (and employers paying cash wages) may round cash amounts to the nearest 5¢.
- Totals of 1 or 2 cents round up to 5¢.
- Cash only.
Source: Nebraska Revised Statute 58-103
NevadaNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
New HampshireNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
New JerseyGuidance only
- Treasury and Consumer Affairs guidance only; a bill (S 3977) is pending.
Source: Holland & Knight (Aug 2026)
New MexicoGovernment payments only
- Lets the tax department, Motor Vehicle Division and county treasurers round cash payments to the nearest 5¢.
- No state rule for private stores.
New YorkBill pending
- Passed both houses (Senate vote June 3, 2026); awaiting the governor.
- Would require in-person merchants to round cash totals: 1, 2, 6, 7 down; 3, 4, 8, 9 up.
- New York City has its own cash-acceptance law to check.
Source: NY Senate – Assembly Bill A9274A
North CarolinaGuidance only
- Revenue directive on sales tax only (Directive 26-1): tax is due on the full amount before rounding.
North DakotaNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
OhioBill pending
- A bill to round cash payments to the nearest 5¢ is pending.
OklahomaGovernment payments only
- Rounding rules for cash payments to government only.
- No state rule for private stores; the Tax Commission has sales tax guidance.
Source: Oklahoma House – ‘Common Cents’ now law · Oklahoma Tax Commission – End of penny production
OregonRounding law in effect
- Businesses may adopt a rounding policy for in-person cash sales, applied consistently.
- The policy must be posted, and customers paying exact change pay the exact amount.
- Adds an exception to Oregon's cash-acceptance law.
Source: Oregon Legislature – Enrolled HB 4178 · Oregon Capital Chronicle
PennsylvaniaBill pending
- Passed the House on June 25, 2026; now in the Senate.
- Would round in-person cash totals: 1, 2, 6, 7 down; 3, 4, 8, 9 up.
- Philadelphia has its own cash-acceptance law and tax guidance.
Rhode IslandNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
South CarolinaGuidance only
- Revenue department guidance only; a bill (H 4617) was filed.
Source: Holland & Knight (Aug 2026)
South DakotaGuidance only
- Revenue department guidance only.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
TennesseeRounding law in effect
- Lets businesses round cash totals when exact change isn't available: 1, 2, 6, 7 down; 3, 4, 8, 9 up.
- Sales tax is still reported to the penny.
Source: Tennessee General Assembly – HB 1744 · Tennessee House Republican Caucus – cash-rounding framework
TexasGuidance only
- Comptroller guidance on sales tax only; no rounding law.
Source: Holland & Knight (Aug 2026)
UtahGuidance only
- Department of Commerce business guide and a state-agency policy; no rounding law for stores.
Source: Utah Department of Commerce – Business guide to cash rounding
VermontRounding law in effect
- Businesses may round the final cash amount, including taxes and fees, to the nearest 5¢.
- Businesses that round must post the state-created notice at the register or entrance.
Source: NFIB – New Vermont law tackles cash sale penny problem · Vermont JFO – S.327 (Act 128) as enacted
VirginiaRounding law in effect
- Sets the standard way to round cash sales: 1, 2, 6, 7 down; 3, 4, 8, 9 up.
- Taxes, fees and charges are figured before rounding.
- Sellers who follow it aren't in violation of other state or local rules.
WashingtonRounding law in effect
- Retailers may round in-person cash totals to the nearest 5¢; for mixed payments only the cash part is rounded.
- Rounding is a statewide matter, so it overrides local rules.
- Rounding doesn't violate the Consumer Protection Act.
Source: Washington Legislature – HB 2334 · Washington State Standard – Ferguson signs penny bill
West VirginiaNo state rule yet
- No rounding law. Bills were filed in 2026.
Source: CSG South – Penny elimination
WisconsinGuidance only
- State agency guidance only; no rounding law.
Source: Holland & Knight (Aug 2026)
WyomingNo state rule yet
- No state rounding law or guidance found.
Source: Avalara – state-by-state rounding rules (updated Sept 23, 2026)
Notes on reading the data
- Laws differ in details. Some let a business round the cash total, others the change due, and some require a notice at the register. Open your state's entry rather than relying on the status label alone.
- Optional is not the same as required. Where a law only permits rounding, you can still give exact change when you have pennies.
- Only cash is rounded. Card, electronic and check payments are charged the exact amount in every state listed here.
- Dates matter. A law that starts later does not apply yet. Check the effective date before you change your register settings.
- Cities and counties can add rules. If you sell in several places, check each one. See the section on cities above.
- The page is a snapshot. It shows the review date at the top and bottom. Bills move quickly, so confirm with your state revenue department or a lawyer if money or a penalty depends on the answer.
The Common Cents Act and your state
The federal bill and state laws are separate. A state law can apply even while the federal bill waits for a signature, and some states have named their own laws after it. As of October 12, 2026:
- California: AB 1793, the California Common Cents Act, was signed on September 30, 2026. It requires merchants to round cash totals to the nearest 5 cents starting July 1, 2027.
- New York: a rounding bill passed both houses and was awaiting the governor when this page's state data was reviewed.
- Pennsylvania: a rounding bill passed the House on June 25, 2026 and went to the Senate.
- Oklahoma: its "Common Cents" law covers cash payments to state agencies from November 1, 2026 and to cities and counties from July 1, 2027, not private stores.
- Maryland and Arizona: rounding laws already in effect. Maryland lets merchants choose to round; Arizona requires it for businesses without pennies and requires a posted notice.
Open your state in the table above for its bill number, start date and sources. Check totals with the penny rounding calculator.
Penny rounding laws FAQ
Which states have penny rounding laws?
As of September 26, 2026, 16 states have rounding laws in effect for cash sales: Alabama, Arizona, Florida, Georgia, Hawaii, Idaho, Indiana, Kentucky, Maryland, Missouri, Nebraska, Oregon, Tennessee, Vermont, Virginia and Washington. Connecticut's law takes effect January 1, 2027 and California's on July 1, 2027. Minnesota, New Mexico and Oklahoma have rules only for payments to government.
Has the Common Cents Act passed?
It has passed Congress but is not law yet. H.R. 10167 passed the House on September 14, 2026 and the Senate on September 28, 2026 in the same form. As of October 12, 2026 the President had not signed it, so there is no federal penny rounding law in effect.
When does the Common Cents Act go into effect?
Not until it is signed into law. As of October 12, 2026 no effective date had been set because the bill was still awaiting the President's action. Until then, state laws on this page decide whether and how businesses round cash.
Does penny rounding apply to card payments?
No. Every state law and bill on this page applies rounding to cash only. Card, electronic and check payments are charged the exact amount.
Can a store round cash totals if my state has no law?
Often yes, especially rounding down, since the penny is still legal tender and businesses may give exact change (U.S. Treasury). The risk is rounding up where a state or city cash-acceptance law bars charging cash customers more than card customers. Check your state revenue department or attorney general.
Which states require rounding instead of just allowing it?
Arizona requires businesses without pennies at the register to round to the nearest 5 cents and post a notice. Georgia, Hawaii and Kentucky also set rounding for cash sales. California's new law will require it from July 1, 2027, and a New York bill would too. Most other laws let businesses choose.
About this data
We check each state against its legislature, revenue department or governor's office where we can, and against law-firm and tax-publisher trackers (Holland & Knight, Avalara, MultiState, CSG South). Trackers sometimes disagree. For example, some count New Mexico, Minnesota and Oklahoma as rounding states, but their laws cover only payments to government, so we list them separately. Each state's own source is linked in its details.
This data is available under CC BY 4.0. Please credit ToolClover with a link to this page.
Last reviewed: September 26, 2026. Spotted a change? Let us know and we'll update the page.