Pennies in Short Supply: Cash Rounding in Michigan | Independent Bank

Pennies are getting harder to source across the banking system. To keep cash moving smoothly for our Michigan customers and local businesses, we’re using a simple, customer-first approach for cash transactions whenever pennies aren’t available.

What should you expect at our branches?

Our teams will continue to provide coins and cash as available. When pennies are limited, we’ll explain options at the teller line and help you complete your transaction quickly. Most day-to-day banking will remain unchanged. 

How will rounding work on cash?

When a cash transaction requires pennies and we do not have them available, we will round to the nearest nickel in the customer’s favor. This rounding applies to cash only. Card, mobile, and check transactions will continue to settle for the exact amount.

Examples:

• If your loan payment total is $100.01 or $100.04, you’ll pay $100.00 in cash.

• If you’re receiving change and pennies are unavailable, we’ll round the change in your favor using the same approach.

What stays the same?

• Cards and mobile payments: Exact amounts settle as usual.

• Checks and deposits: No change.

• Accounts and fees: Your accounts, fees, and statements do not change due to coin availability.

Tips for Michigan businesses that accept cash

From coffee shops in Grand Rapids to retailers in Bay City, many local businesses handle a high volume of small cash sales. If pennies are limited in your area, these steps can make checkout easier:

• Post a simple sign at the register: “Nearest-nickel rounding on cash when pennies are unavailable.”

• Train cashiers to round only when needed. Your POS can still show totals to the penny.

• Document your approach in manager notes so teams handle cash consistently.

• Keep change-making flexible. If other coins are tight, encourage exact cash when possible.

Using Clover Payment Systems to automate cash rounding

Independent Bank is a Clover Point of Sale (POS) partner. If your business uses Clover, you can enable cash rounding so pennies are not needed at the register. This applies to cash only; card, mobile, and checks remain exact.

Here's How To Set up Nearest-Nickel Rounding in Clover:

1. Log in to your Clover Web Dashboard (Clover.com) or open the Setup app on your Clover device.

2. Go to Settings.

3. Open Payments or Payment types.

4. Select Cash and find Rounding options.

5. Choose Nearest 5 cents and set the rule to Nearest.

6. Save and test: totals ending in .01 or .02 should round down to .00; .03 or .04 should round up to .05.

Notes: Menu names vary by device and software version. If you don’t see Rounding under Cash, check Permissions, look in Payments for a Rounding setting, or contact Clover Support.

Not on Clover yet?
You can learn more about Clover solutions for Independent Bank customers here or by visiting your local branch.

FAQs About Pennies

Why are pennies limited?
The U. S. Department of Treasury announced that as of 2025, they are no longer producing pennies. As the circulation of pennies decreases, they will become more limited until they are eventually phased out completely. Our goal is to keep transactions moving with a simple, fair approach for customers.

Does rounding change my prices?
Nearest-nickel rounding only occurs on cash payments when pennies are not available. Card, mobile, and check payments continue to settle for the exact amount. Independent Bank will round to the nearest nickel in favor of the customer. 

Is rounding always in the customer’s favor?
Yes. At Independent Bank, when pennies are unavailable, we will round the cash total or change to the nearest nickel in the customer’s favor. This decision is left up to each individual business or merchant, so rounding may vary at other institutions. 

Will this affect my statements or tax records?
No. Electronic payments post to the penny. Cash transactions that are rounded at the register are reflected in your till totals like other cash sales.

How long will this last?
Timing can vary by area and demand. If penny availability increases, we’ll return to normal cash handling. With the U.S. Department of Treasury no longer producing pennies, they will eventually be phased completely out. Branch teams will share updates locally.

Can Clover POS handle cash rounding so I don’t need pennies?
Yes. Clover supports cash rounding so you can round to the nearest nickel on cash transactions. Card, mobile, and checks remain exact. In Settings, locate Cash payment rounding and choose nearest 5 cents. Menu names may differ by device. Test with sample amounts before going live.

How do I start with Clover if my POS doesn’t offer rounding?
Independent Bank partners with Clover. You can explore hardware, software, and rounding features on our partner page, or connect with your local banker.

We’re here to help

Have questions about change orders, cash handling, or POS options? Visit your nearest branch or contact us. We’ll work with you and your team to keep payments simple for your customers.