New York Takes Drastic Action Due To Widespread Penny Shortage

New York lawmakers passed a bill to address the growing penny shortage.

The U.S. Mint struck its final penny in late 2025. At the time, the Treasury Department said there are approximately 300 billion pennies still in circulation, which exceeds the amount needed.

New York State Takes Drastic Action Due To Penny Shortage

Future Of The Penny In Doubt — Getty Images

Despite those comments from the Treasury Department, stores across New York started to report penny shortages.

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Some stores asked customers to use exact change only, while others held events where they would give you double the amount of pennies donated. 50 pennies would get you a one-dollar bill.

This week, the New York State Legislature passed the ⁠formally titled New Yorkers for Common Cents Act.

The bill requires merchants to round cash transactions up or down to the nearest nickel.

Lawmakers say the bill addresses the lack of circulating pennies following the U.S. Mint's decision to stop manufacturing the coin.

According to experts, billions of pennies remain in existence. But many are sitting in jars and drawers at home, rather than circulating, creating a widespread supply shortage for stores.

How Rounding Will Work

The bill mandates "symmetrical rounding," based on guidelines provided by the U.S. Treasury.

Round Down: Totals ending in .01, .02, .06, or .07 round down to the nearest 0 or 5 (e.g., $13.67 becomes $13.65)
Round Up: Totals ending in .03, .04, .08, or .09 round up to the nearest 0 or 5 (e.g., $13.69 becomes $13.70).
No Change: Totals ending in .00 or .05 remain the same

This only applies to people paying with cash. It doesn't apply if you pay with edit card, debit card, electronic funds transfer, mobile payment, check, money order, etc.

The bill passed the Senate 59-2 and the Assembly 133-4.