Casinos Adapt as US Mint Ends Penny Production in 2025
The US Mint stopped producing pennies in November 2025, leaving businesses to adapt. Major casino operators like MGM Resorts and Caesars Entertainment have now introduced temporary rounding rules for cash transactions. The change mirrors policies used in countries like Canada, where low-value coins were phased out years ago.
Under the new interim policy, MGM and Caesars will round cash change to the nearest nickel. If the total ends in 1 to 4 cents, customers receive a nickel. Amounts between 6 and 9 cents will be settled with two nickels or a dime. This approach follows Canada's 2012 model, where businesses round both up and down to keep totals fair.
The policy does not apply to digital payments or penny slot machines. Modern slots, though called 'penny slots,' operate on electronic credits and can easily adjust to nickel increments. Casinos expect minimal disruption since these machines are already profitable and simple to recalibrate.
However, the change may still cost casinos money. Estimates suggest a loss of around $137,000 per year for each property, based on 15,000 daily cash transactions and an average rounding cost of 2.5 cents. MGM's policy will remain until its systems update or clearer legal guidance arrives.
Countries that scrapped small coins, such as Canada and Australia, prepared carefully. They adjusted tax laws to ensure rounding did not affect tax calculations or cause price hikes. Rules like Canada's Excise Tax Act amendments and Australia's Taxation Administration Act required retailers to educate staff, display prices clearly, and face fines for non-compliance. These steps helped prevent inflation and kept transactions transparent.
For now, US businesses and governments must still settle transactions to the cent unless laws change. The penny's end in production does not erase its value in accounting or digital systems. Casinos and retailers will watch closely as rounding policies evolve and legal frameworks adapt.
