Actual Canadian here - Jeremy, you're correct, though business can choose to round off the amount to the nearest 5 cents in lieu of accepting pennies. :)

And Kyle, yes - it costs 1.6 cents to make a 1 cent coin, so we're better off. :)

And Relevant, you have to remember that this is a country that created the loonie (1-dollar coin) and twoonie (yup, 2-dollar coin) as legal tender. We have always had coloured money, and just recently started making bills out of polymer instead of paper.

Watch out, nickel, we're coming for you next.

I think the biggest shock will be when people realize their Tim Hortons bill is being rounded up by 2 cents. I'm Canadian, and it shocked me!

Items ending in 1, 2, 6, or 7 will be rounded down to the nearest nickel though too. Overall it's a neutral change.

I hope the US follows soon and gets rid of the penny. What is it really good for?

All this AND we haven't had Saturday mail delivery since February 1st, 1969. We're really setting the trends up here.