S2732119th CongressWALLET

Bonuses for Cost-Cutters Act of 2025

Sponsored By: Senator Paul, Rand [R-KY]

Introduced

Summary

Redirect surplus agency salaries and expenses to the Treasury for deficit reduction while rewarding employees who find savings. This bill would create a formal process to identify "surplus salaries and expenses," let Inspectors General, designated officials, and agency Chief Financial Officers refer and, when eligible, transfer those amounts to the Treasury for deficit reduction or to lower federal debt in a no-deficit year, and set rules and limits on cash awards and officer eligibility.

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  • Households and taxpayers: Surplus amounts identified by agencies could be deposited into the general fund of the Treasury and used to reduce the federal deficit or, in a year with no deficit, to reduce the federal debt.
  • Federal employees: Workers who identify surplus funds could receive cash awards. Agencies could retain up to 10% of transferred amounts to pay those awards.
  • Agencies and oversight bodies: Inspectors General, designated agency employees, and CFOs would have new duties to identify and refer surplus funds. The bill would require the Office of Personnel Management Director to certify award programs annually and would direct the Government Accountability Office to report every 3 years.

*It would direct recovered surplus agency funds toward reducing the federal deficit or lowering the federal debt.*

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Bill Overview

Analyzed Economic Effects

2 provisions identified: 1 benefits, 1 costs, 0 mixed.

Move agency surplus money to Treasury

If enacted, agencies would create a process for employees to flag extra "salaries and expenses" money. Inspectors General would refer potential surplus to the agency Chief Financial Officer. If the CFO agrees, the agency head would transfer the amounts to the U.S. Treasury. The money would be used to reduce the federal deficit. If there is no deficit, the Treasury could use it to lower the national debt. An agency could keep up to 10% of transferred money to pay cash awards to the employee who found it. Agencies would issue standards for deciding what counts as surplus. Agencies must send two yearly reports about savings and awards, due October 1 and September 30. OPM would certify award program compliance each year. The Comptroller General must report every three years on the program. The whole program would start at enactment and end six years later.

Ban awards for top federal officials

If enacted, certain senior federal officers could not receive cash awards under this program. This includes officials at Level I of the Executive Schedule, agency heads, and commissioners or voting board members of independent agencies. This stops a small number of top officials from getting those awards.

Sponsors & CoSponsors

Sponsor

Paul, Rand [R-KY]

KY • R

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

No roll call votes available for this bill.

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