On May 12, 2026, Governor Ron DeSantis signed SB 1074, known as the “nearest nickel” law, giving Florida businesses the ability to round cash transactions up or down to the nearest five cents. The legislation comes in response to the federal government’s decision to stop producing the one‑cent coin in 2025.
The law takes effect immediately and applies only to cash transactions. It does not alter the sales price, the amount of tax collected, or any surcharges or fees. Retailers and consumer advocates say the measure will reduce confusion at checkout and streamline accounting.
Key Points
- Effective date: May 12, 2026
- Scope: Cash transactions only; electronic payments remain unchanged
- Consumer impact: Purchases like $1.02 may round down to $1.00, while $1.03 may round up to $1.05
- Business support: The Florida Retail Federation praised the law as a model for adapting to currency changes
- Additional bills signed: DeSantis also approved education measures, including allowing marching band participation to count toward high school physical education requirements, and creating a School Board Members’ Bill of Rights
This law positions Florida as one of the first states to adapt to the end of the penny, ensuring smoother transactions for both businesses and consumers.
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