NORTHWEST TALLAHASSEE, FL — A new Florida law changing how some cash purchases are rounded could soon impact how residents pay for everyday items.
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Florida Senate Bill 1074 is now law. It was passed after the federal government stopped minting new pennies in 2025. The law allows cash transactions to be rounded to the nearest nickel when exact change is not available.
Examples include $10.01 rounded down to $10.00 and $10.03 rounded up to $10.05.
Scott Shalley, president and CEO of the Florida Retail Federation, says the change became necessary after retailers across the state started experiencing penny shortages.
"The important thing is absolutely that the retailer and the consumer are both treated fairly, and they needed guidance. That was the most important thing to establish a standard, and that's been dealt with nationwide, Florida like on a lot of things, was out in front," Shalley said.
Under the law, sales tax will still be calculated using the original purchase price, not the rounded total.
"Every penny counts for both the consumer and the business. The businesses that are trying to survive in economically challenge areas were on very thin margins, the pennies add up on both sides," Shalley said.
Many residents in northwest Tallahassee use cash to pay for everyday essentials like groceries and gas. Devans Plummer lives in ZIP code 32304, an area the Tallahassee Chamber has previously identified as having one of the highest concentrations of poverty in the state.
Plummer says there are times when he walks into a neighborhood store with only enough cash to pay for exactly what he needs. He hopes local store owners will show grace to customers who may not have extra money to cover a rounded-up purchase.
"I'm short. I'm having a bad day. I need ingredients to keep my day going. Can you please offer me a human mentality instead of denying me with my five cents?" Plummer said.
"Every penny counts for both the consumer and the business," Plummer added.
Shalley says customers should not be afraid to ask retailers about their rounding policies at the register. The law applies only to cash purchases and does not impact electronic payments.
"I don't think anybody's looking to make money. Nobody's just deserves to lose money, so we hope it all balances out," a resident said.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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