change in the rounding cash

Change in the rounding of cash payments from 1 July 2022

change in the rounding cash

As of July 1, 2022, the legislation in the area of rounding cash payments for goods and services is changing. This means a slight restriction of the use of 1 and 2 euro cent coins in the cash payment system. The rounding of such payments will be done in a mathematical way and thus neutral for both the trader and the buyer. The final amount of the purchase, which is paid in cash, will be rounded. If the rest of the euro cents is less than half the value of 5 euro cents, it will be rounded down. Conversely, if the cent balance is greater than or equal to half of 5 eurocents, it will be rounded up.

What is rounded?

  • cash payments for goods and services
  • combined payments - cash part
  • cash return

Due to the legislative regulation, the rounding of the price will be stated on the cash receipt as a mandatory information. The rounding obligation also applies to those who are not obliged to use the cash register. It is necessary to update the cash register software. Entrepreneurs need to order the installation as soon as possible so that the update is ready in time. If not, the cash register may be blocked from 1 July 2022.

The difference between the required amount to be paid in cash and the amount stated on the document will be booked as a rounding expense or rounding income. When calculating VAT, the amount before rounding will be used, which means that this change will not affect the calculation of VAT on the purchase of goods / services in cash. In the case of a combined payment in cash and card, the total amount is the sum of the payment by card and the rounded amount in cash.

Example 1: The purchase price is € 52.34 - the buyer wants to pay € 8.22 in cash and the rest by card. In this case, the value of € 8.22 is rounded mathematically down. He pays € 8.20 in cash and the remaining € 44.14 without rounding.

Furthermore, it can also be a combination of payment by meal vouchers and cash, in this case we proceed as follows:

Example 2: The purchase price is € 52.34 - the buyer pays with 2 meal vouchers together in total € 7.66 and pays the remaining € 44.68 in cash. As this is a cash payment for the goods, it needs to be rounded up to € 44.70. The final purchase price after rounding will be € 52.36.