Nevada Sets Rules for Casino Payouts Without Pennies
LAS VEGAS, Nev. The Nevada Gaming Control Board has issued guidance to casinos on handling payouts as pennies become scarce.
LISTEN TO THIS ARTICLE:The move allows rounding to the nearest nickel and sets new compliance requirements for operators managing cash transactions.
The Nevada Gaming Control Board released an industry notice this week outlining permitted rounding practices and procedural requirements for licensees that may no longer have access to pennies. The guidance follows the Treasury Department’s decision to discontinue penny production while reiterating that the penny remains legal tender.
Under the Board’s direction, casinos may round cash payouts to the nearest five-cent increment. Rounding may be up or down, but a licensee may not adopt a policy that only rounds down. Any rounding policy must be clearly communicated to patrons in advance. Acceptable methods for notice include signage across casino floors, notices where tickets or loyalty rewards are redeemed, and on-screen messages at kiosk redemption points.
The notice also addresses the accounting consequences of rounding. If a licensee elects to change gross gaming revenue to reflect amounts altered by rounding, it must keep documentation that substantiates the original payout and the rounded amount. That recordkeeping must be produced on request to agents of the Gaming Control Board.
Related: Nevada Regulators Warn Casinos of Rising Cyber Threats
More Regulation
Industry Reaction and Practical Effects
Casinos that deal heavily in cash and coin – from downtown table games to neighborhood slot parlors – are the most exposed to the operational effects of a penny shortage. Gaming operators will need to update cashier procedures, train staff on patron notifications, and modify back-office systems that calculate payouts and report taxable revenue.
"For many casinos, pennies have been the smallest but most frequent friction point at the cage and redemption kiosks", said a gaming compliance attorney based in Las Vegas. "The Board’s guidance gives operators a clear set of guardrails – allow rounding to the nearest nickel, prohibit systematic rounding down, and keep records – but it will still require process changes and careful auditing."
A finance director at a mid-size Strip property noted the operational trade-offs. "Rounding policies are not just a customer-service decision; they affect how we reconcile millions of small transactions. We will need software updates and training to ensure we can demonstrate the math to regulators when asked", he said.
The Board also made explicit how charitable donations should be treated. If a patron elects to donate the rounded amount to charity after a payout, the Board considers that a voluntary donation by the patron rather than an instance of rounding. In those cases, the donated amount cannot be deducted from gross gaming revenue. If a licensee requires charitable rounding and the patron cannot opt out, the policy must be disclosed clearly to patrons.
Regulatory scrutiny on even modest revenue discrepancies is a longstanding feature of Nevada’s gaming oversight. The Board reminded licensees that agents may request supporting records and that inadequate documentation could prompt further review or enforcement action.
Recordkeeping Requirements and Next Steps for Operators
Practically, the Board’s notice sets out three core obligations: adopt a rounding method that is fair and clearly posted; retain detailed documentation showing original and rounded payout amounts; and separately record any patron-directed charitable donations. Casinos should assess their point-of-sale and accounting systems now to ensure they can capture and report the necessary data.
Industry groups and individual operators will likely consult with auditors and compliance counsel over the coming weeks to align rounding policies with internal controls and tax reporting. For patrons, the immediate visible change will be clearer messaging at cages and kiosks explaining how small cash payouts will be handled in the absence of pennies.
RELATED TOPICS: Regulation
Latest News
Casinos & Games
Review this New Post
Leave a Comment
User Comments
Comments for Nevada Sets Rules for Casino Payouts Without Pennies