Federal Government Stops Printing Pennies, Impacting Kern County Businesses

Businesses may have to round up or down cash transactions without pennies available.

Jan. 28, 2026 at 8:39pm

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The federal government has stopped printing pennies, which could impact how businesses in Kern County, California handle cash transactions. Some businesses, like Happy Jack's Pie N' Burger, have already stopped using pennies to simplify the payment process. Going forward, businesses may have to round up or down change given back to customers paying in cash, though electronic payments can still be made to the penny.

Why it matters

The discontinuation of pennies could create confusion and inconsistency for cash-based businesses and customers in Kern County, as there is currently no clear legislation on how rounding should be handled. This change may disproportionately impact lower-income consumers who rely more on cash transactions.

The details

California State Treasurer Fiona Ma says there is legislation pending that would clarify how businesses should round cash transactions without pennies, similar to laws passed in Canada when they discontinued their penny. For electronic payments, businesses can still price goods and services to the penny even without physical pennies available.

  • The federal government has stopped printing pennies.
  • Legislation is currently pending in California to address how businesses should handle rounding cash transactions without pennies.

The players

Happy Jack's Pie N' Burger

A cash-only restaurant in Bakersfield, California that stopped using pennies decades ago to simplify the payment process.

Fiona Ma

The California State Treasurer, who says there is legislation in the works to clarify how businesses should round cash transactions without pennies available.

Senator Caballero

The California state senator who has introduced legislation to address the rounding of cash transactions without pennies, similar to laws passed in Canada.

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What they’re saying

“A lot easier, because when this place was booming, and the girls were trying add the sales tax to figure it out and add it on, it was becoming a problem.”

— Ruben Rosales, Owner, Happy Jack's Pie N' Burger (turnto23.com)

“If you are paying by cash and the penny is not available, then do businesses round up or round down? That's going to be the question. There is legislation right now pending by Senator Caballero that is going to clarify, similar to Canada, when Canada discontinued its pennies, it passed a law that said that they would round up to the nearest five cents.”

— Fiona Ma, California State Treasurer (turnto23.com)

What’s next

The California state legislature is expected to vote on the pending legislation addressing the rounding of cash transactions without pennies in the next legislative session.

The takeaway

The discontinuation of pennies by the federal government could create challenges for cash-based businesses and consumers in Kern County, California, highlighting the need for clear legislation to ensure consistency and fairness in how rounding is handled during transactions.