SB 6230
In CommitteeSenate
Cash transactions/pennies
Adjusting the price of a cash transaction to eliminate the need for pennies.
This status may be delayed. See Action History below for the latest updates.
How does a bill become law?
- Introduced: The bill is filed and assigned a number.
- Committee: A subject-matter committee holds hearings, takes public testimony, and decides whether to advance the bill.
- Floor Vote: The full chamber (House or Senate) debates and votes on the bill.
- Opposite Chamber: The bill repeats the committee and floor vote process in the other chamber.
- Governor: The Governor reviews the bill and decides whether to sign or veto it.
- Signed: The bill has been signed into law.
AI Analysis
This bill requires businesses to round cash transaction totals to the nearest 5 cents to eliminate the need for pennies in change. It applies only when payment is made with physical U.S. coins and currency—not cards, apps, or checks—and takes effect on July 1, 2026.
- Requires rounding of cash transaction totals to the nearest 5 cents—down if the total ends in 1¢, 2¢, 6¢, or 7¢; up if it ends in 3¢, 4¢, 8¢, or 9¢.
- Applies only to cash payments (legal tender), not to credit/debit cards, digital payments, checks, or other non-cash methods.
- Applies to the final price after taxes, fees, and discounts—called the 'total price'.
- Defines 'legal tender' as all U.S. coins and currency, and 'transaction' as a single purchase (even if multiple items).
- Requires the Washington Department of Revenue to create rules for transactions that mix cash and other payment types.
Who is affected
- Businesses that accept cash — Retailers and service providers who accept cash payments must round final prices to the nearest nickel when customers pay with cash, but only if the total ends in 1¢, 2¢, 6¢, or 7¢ (round down) or 3¢, 4¢, 8¢, or 9¢ (round up).
- Cash-paying consumers — Customers paying with cash will see final prices rounded to the nearest 5 cents; those using cards, apps, or checks are unaffected.
- Washington Department of Revenue — The Washington Department of Revenue must create rules for mixed payments (e.g., cash + card) and enforce compliance.
Pro/Con Analysis
Stronger case for benefits
Potential Benefits (5)
Cash-paying consumers benefit from eliminating the need for pennies in change, reducing the time and effort required to count out small change—particularly helpful for low-income individuals who rely on cash and may lack access to digital payment tools.
FinancialPeopleRef: Sec. 1(1)(b) & Sec. 2(1)(b)Cash-paying consumers and small businesses benefit from simplified cash-handling: rounding reduces the need to count or dispense pennies, lowering the risk of counting errors and reducing time spent at registers—this disproportionately helps cash-dependent communities and micro-businesses with limited staff.
FinancialPeopleRef: Sec. 1(1)(a) & Sec. 2(1)(a)The state may experience a small net revenue gain from rounding up in some cases, though the bill’s fiscal note states the impact is minimal—this modest benefit supports public services without imposing new taxes.
FinancialLean peopleRef: Fiscal Impact sectionThe bill’s definition of “transaction” as a single purchase (even with multiple items) simplifies compliance for businesses and reduces ambiguity—this clarity helps small businesses avoid disputes and ensures consistent application across the state.
Business & EmploymentLean peopleRef: Sec. 1(4)(c) & Sec. 2(4)(c)By requiring DOR to create rules for mixed payments (e.g., cash + card), the bill promotes fairness and consistency in enforcement, reducing potential consumer confusion or disputes over partial payments.
Local GovernmentLean peopleRef: Sec. 1(3) & Sec. 2(3)
Potential Concerns (5)
Cash-paying consumers may pay slightly more in some transactions (when totals end in 3¢, 4¢, 8¢, or 9¢ and are rounded up), while others pay slightly less; on average, the rounding is mathematically neutral over many transactions, but individual consumers may experience small, unpredictable increases or decreases in out-of-pocket cash costs.
FinancialLean peopleRef: Sec. 1(1)(a) & Sec. 2(1)(a)Businesses must implement rounding procedures and train staff, which imposes administrative and operational costs—especially for small, cash-heavy businesses (e.g., food trucks, laundromats, small retailers) that lack automated cash-handling systems; these costs are disproportionately borne by low-revenue operators.
FinancialRef: Sec. 1(2) & Sec. 2(2)Local governments and law enforcement agencies may face increased enforcement burden in resolving disputes over rounding compliance, particularly where cash transactions dominate informal or gig economies, though the bill assigns primary enforcement authority to the Department of Revenue.
Local GovernmentLean peopleRef: Sec. 1(3) & Sec. 2(3)The bill does not address concerns about increased petty theft risk for cash-handling businesses (e.g., convenience stores, gas stations) due to higher volumes of nickel and dime transactions, which are lighter and easier to conceal than pennies—though this is speculative and not directly supported by the bill text.
Public SafetyLean peopleRef: Sec. 1(1)(a) & Sec. 2(1)(a)Businesses that rely heavily on cash (e.g., street vendors, small farms, tip-based service workers) may face higher transaction friction and slower cash-handling times, potentially reducing throughput and increasing labor costs per transaction—though the effect is likely modest for most.
Business & EmploymentRef: Sec. 1(2) & Sec. 2(2)
Who Is Most Affected
Low-income cash users benefit most: they avoid the hassle of counting pennies, reduce transaction time, and may benefit from rounding down in ~50% of cases (e.g., totals ending in 1¢, 2¢, 6¢, 7¢). However, some may face slight price increases in other cases—net effect is modestly positive overall.
Small, cash-dependent businesses (e.g., food trucks, laundromats, small retailers) benefit from simplified cash handling and reduced need for pennies, but face modest administrative costs to implement rounding—net effect is slightly positive due to time savings outweighing compliance costs.
Large retailers and chains with automated cash-handling systems face minimal disruption and can easily program rounding; they may benefit from slight revenue increases in some cases, but the effect is negligible due to scale and mixed payment usage.
The Washington Department of Revenue gains rulemaking authority and enforcement responsibility, but the fiscal impact is minimal—no significant new costs or benefits, though it strengthens DOR’s role in consumer transaction oversight.
Digital payment users (card, app, check) are unaffected—no change in behavior, cost, or experience—so this group experiences no impact, positive or negative.