TAMPA, Fla. – Pinching pennies are no longer a thing in Florida as they are being phased out of circulation.
Read more Nancy Guthrie: 100 days since Savannah Guthrie’s mom went missing
The backstory:
Governor Ron DeSantis signed a bill that allows businesses to round up or down to the nearest nickel when you pay.
For totals ending in 1, 2, 6 or 7 cents in change round down, while totals ending in 3, 4, 8 or 9 cents round up to the nearest nickel.
This comes after the U.S. Mint halted penny production last year, because they cost more to produce than what they’re actually worth.
Read more Dems push back on $1 billion proposal for White House ballroom security
What they’re saying:
Abigail Hall, Associate Professor of Economics at the University of Tampa, says this change could impact how people pay.
“Cash consumers tend toward people of lower incomes. There is some concern here about inequality because for cash transactions, they’re subject to this rounding procedure,” Hall said.
READ: Hillsborough County launches mobile office for tax collector services
This does not impact how sales tax is calculated or affect official sales prices. The rounding also does not apply to people paying for items with credit cards.
Read more Supreme Court opens door for Alabama to potentially redraw congressional map
Eliminating the penny will save the U.S. Treasury $56 million annually.
About the Author
