Increases Cash Awards for Cost-Saving Ideas
Official: Bonuses for Cost-Cutters and Fraud Preventers Act of 2026
This bill allows federal agencies to give cash awards to employees who identify ways to save money by pointing out wasteful expenses.
Bonuses for Cost-Cutters Act of 2025This bill expands the awards program for cost-saving identifications by federal employees of fraud, waste, or mismanagement to include identifications of certain operational expenses that are wasteful (i. e., that are identified as wasteful by an employee and that an agency determines are not required for the purposes for which the amounts were made available). An agency must propose any identified wasteful expenses for rescission. The bill also doubles the maximum cash award that may be made under the program.
1. Federal employees can earn cash awards up to $20,000 for identifying wasteful spending. 2. The bill defines wasteful expenses as unnecessary funds for salaries or operations. 3. Agencies must report on the wasteful expenses identified and the awards given. 4. The head of each agency is responsible for managing the cash award program.
This bill affects federal employees who report wasteful spending in their agencies.