Lithuania commence rounding-off minor cash transactions to eliminate 1 cent and 2 cent coins from circulation
Lithuania's shaking things up! As of May 1, 2025, they're gradually moving away from the pesky 1 and 2 cent coins for cash transactions. Instead, the final amount will round up to the nearest multiple of 5 cents. So, if your purchase totals 6 or 7 cents, it'll round down to 0 or 5 cents, and if it's 3, 4, 8, or 9 cents, it'll bump up to 5 or 10 cents, respectively. Don't worry, though, you can still use the unwanted coins as you see fit.
This change is all part of the "Rounding of Cash Payment Amounts Act," which the Lithuanian parliament approved in March 2023. This initiative aims to make life a bit easier for businesses and consumers by simplifying transactions—hey, every little bit helps, right?
A Eurobarometer survey in January showed that 69% of Lithuanians were all for rounding and ditching the pesky coins, while 29% weren't so keen. The rest, well, they just didn't have an opinion.
Naturally, there are consequences for not playing by the rules. Infringements can earn you a warning or a fine ranging from 100-500 euros, and for businesses, it's a steeper 200-1,000 euros. And if you're caught breaking the rules twice, prepare for double the fines!
Seven other euro area countries are already on the rounding bandwagon, including Finland, the Netherlands, Slovakia, Italy, Ireland, Belgium, and Estonia. So, when you're in Lithuania, embrace the change and let the small change slide!
[1] "Lithuania to Round Off Cash Payments." Lithuania Tribune. March 2023.[3] "Lithuania to Abandon Small Change in Cash Payments." Reuters. March 2023.[4] "Lithuania Phases Out 1 and 2 Cent Coins." The Baltic Times. March 2023.
- The move towards rounding off cash payments in Lithuania was initiated by the "Rounding of Cash Payment Amounts Act," which was approved by the Lithuanian parliament in March 2023.
- According to a Eurobarometer survey conducted in January, 69% of Lithuanians support this initiative, while 29% hold a different opinion.
- As of May 1, 2025, businesses in Lithuania will need to abide by this law, with infringements leading to fines ranging from 100-500 euros for individuals, and 200-1,000 euros for businesses.
- This change aligns Lithuania with several other euro area countries that have already implemented rounding for cash payments, such as Finland, the Netherlands, Slovakia, Italy, Ireland, Belgium, and Estonia.
