As part of a joint initiative launched today by the Treasury Department in partnership with the General Services Administration, federal employees who identify wasteful spending in the tax agency’s contracts that ultimately leads to cost reductions could receive a financial award of up to $10,000.
The Savings Award for Verified Efficiencies, or SAVE, program will be applicable across the Treasury Department, which has expanded upon GSA’s previous “Defend the Spend” initiative to create a system wherein eligible Treasury employees can submit cost-savings proposals that, upon verification, can lead to financial rewards.
“Through this strengthened partnership, Treasury and GSA are setting a new standard for responsible stewardship of public funds,” Treasury Secretary Scott Bessent said in a statement. “Together, we are building a cost-saving model that can be scaled across government. We look forward to working with our partners across the Trump Administration to ensure that every taxpayer dollar is spent wisely and efficiently.”
Under the program, non-Senior Executive Services, federal GS or GS-equivalent employees in Treasury can submit proposals for “contract cancellations, descopes or other cost-reducing actions within their program area.” Treasury is comprised of around 100,000 employees, most of whom work in its various bureaus, including the IRS and U.S. Mint.
Treasury’s Office of the Procurement Executive, or OPE, will review cost-savings proposals from eligible employees and can approve a SAVE record, after which GSA must independently review the case and coordinate with OPE to address issues and confirm details. GSA is responsible for validating that a contract termination or scope reduction occurred as described, confirming the accuracy of claimed savings and ensuring savings are directly attributable to the submitting employee’s actions.
According to GSA, its “concurrence is mandatory before any monetary award can be issued, ensuring transparency, fairness, and full compliance with acquisition regulations.” Approved actions that result in verified savings “can earn employees an award of up to 1% of the savings, capped at $10,000 per contract action.”
“We are proud to partner with Treasury on SAVE to facilitate the formal implementation of a proven, battle-tested process to help government ‘defend the spend,’” GSA Federal Acquisition Service Commissioner Josh Gruenbaum said. “Through this incentive program, the initiative places the tool directly in the hands of federal workers across agencies. By rewarding the federal workforce, we are democratizing savings efforts across government and strengthening our collective role as responsible fiduciaries to the American taxpayer.”
At least one other agency — the Office of Personnel Management led by director Scott Kupor — has attempted a similar incentivization program for its employees, awarding them up to $10,000 for a variety of savings-taking actions through Oct. 31.
For now, the SAVE program will apply only to the Treasury Department, but “successful elements of the Treasury program may be expanded government-wide,” according to GSA.
“The SAVE program exemplifies inter-agency collaboration at its best by combining GSA’s procurement expertise with Treasury’s fiscal oversight,” said GSA acting Administrator Mike Rigas. “By empowering frontline federal employees to act decisively on wasteful contracts, we are driving a cultural shift toward greater accountability and efficiency government-wide.”
