Abstract: The present invention is directed to a method and system for processing coupons by a self checkout system, where the self checkout system includes at least one self checkout station coupled to a server. In a first aspect, the present invention includes receiving a coupon from a customer by one of the at least one self checkout stations, attempting to validate the coupon against at least one item scanned by the customer, and storing the coupon in a coupon pool at the server if the coupon fails to validate against the at least one item, such that the stored coupon can be utilized at a subsequent sales transaction. In a second aspect, a self checkout system includes a server for managing the self checkout system and at least one self checkout station coupled to the server, where the self checkout station includes a scanner for scanning at least one item for purchase by a customer, a coupon reader for receiving a coupon from the customer, and a coupon manager.