Incentivize Savings Act

What it does

This bill establishes requirements for allocating unexpended appropriations for federal agencies.

If appropriations are provided to a federal agency for a definite period and the agency does not spend the funds during the period of availability, the bill requires

• 49% of the funds to remain available for an additional fiscal year,

• 49% of the funds to be used for payments of principal and interest on the public debt, and

• 2% of the funds to be used for retention bonuses within the agency that do not exceed 10% of an employee's basic pay.

If an agency's unexpended appropriations are allocated under this bill, the agency's budget request for the fiscal year following the fiscal year in which the funds expired may not exceed the prior year's budget request with an adjustment for inflation.

Summary by the Congressional Research Service, Sep 17, 2025 (Introduced in House). CRS summarizes bills impartially; it does not take positions.