3PL Rounding

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Overview
3PL Rounding

Overview

The rounding used for Invoice Lines in the 3PL module is the long-used standard for financial applications, commonly referred to as "bankers' rounding".

3PL Rounding

The approach the 3PL module uses to round Invoice Lines is known as “unbiased rounding”, or, more commonly, “bankers rounding”. Technically, it is “round half to even”.

It is used in financial applications because there is a tendency to see a lot of values that end in .5, .05, and even .005. If a rounding method just rounds these values upwards, when the rounded values are summed, you will get an artificially inflated total (or biased total).

By rounding to even, these biases converge and average each other out.

Here is an example of this in action:

	Raw Value	Naive Rounding	Unbiased Rounding
	123.40500000	123.41	123.40
	123.41500000	123.42	123.42
	123.42500000	123.43	123.42
	123.43500000	123.44	123.44
	123.44500000	123.45	123.44
	123.45500000	123.46	123.46
	123.46500000	123.47	123.46
	123.47500000	123.48	123.48
	123.48500000	123.49	123.48
	123.49500000	123.50	123.50
Total	1234.5000000	1234.55	1234.50

Last Updated:

06/06/2025