Tax/Fee Rounding
Tax/Fee Rounding
For payment processing and tax rounding we utilize bankers rounding, also known as rounding to half even.
Original Rounding | Bankers Rounding |
---|---|
65.1758 | 65.18 |
225.3030 | 225.30 |
-119.754 | -119.76 |
=675.292 | =675.29 |
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In some cases an extra penny will seem to appear when calculating tax across multiple items on an order. This is due to the tax rate, for example, 8.25%, and the amount of items for which it is calculated across, for example, 3 cups of coffee, and the use of bankers rounding. (See below)
$4.99 x 3 = $14.97 4.99 x .0825 = .411675Â Â .411675 x 3 = 1.235025 $14.97 + $1.24 = $16.21 |
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Item | Price | Quantity | Tax Rate | Total |
---|---|---|---|---|
Coffee | $4.99 | 3 | 8.25% | $16.21 |
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