Procedure 7.3.18 Penny Rounding in Cash Transactions

System Procedures
Chapter 7 - General Finance Provisions

for Board Policy 7.3

Part 1. Purpose
To establish a standard process for conducting business in cash that addresses the likelihood that pennies may not be available.

Part 2. Applicability
Cash payment due amounts will be rounded as specified in this procedure at locations where a need has been identified, provided that this procedure must be posted at each location where it will be followed. This procedure does not apply to payments made by electronic fund transfer, check, gift card, money order, credit card, or other similar instrument or method.

Part 3. Rounding Standards

  1. Rounding down. In any case other than those identified in provision 2 below, where the total transaction amount ends with 1 cent, 2 cents, 6 cents, or 7 cents as the final digit, the total amount will be rounded down to the nearest amount divisible by 5.
  2. Exceptions to rounding down. In any case in which the total transaction amount ends in $0.01 or $0.02, the total amount will be rounded up to $0.05.
  3. Rounding up. In any case in which the total transaction amount ends with 3 cents, 4 cents, 8 cents, or 9 cents as the final digit, the total amount will be rounded up to the nearest amount divisible by 5.

Related Documents:

To view related Minnesota statutes, go to the Revisor’s Office website. You can conduct a search from this site by typing in the statute number

  • Minnesota Statutes, Section 16A.402, Cash Transaction Rounding

Date of Adoption: 06/29/26
Date of Implementation: 07/01/26
Date of Last Review:

Date & Subject of Amendments:

 

No additional HISTORY.

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