The "Incentivize Savings Act" aims to encourage Federal agencies to reduce spending by establishing specific rules for unexpended appropriations. When an agency does not fully spend its allocated funds, 49 percent of the remaining amount will be carried over and remain available for an additional fiscal year. Another 49 percent of these unexpended funds will be directed towards payments of principal and interest on the public debt , contributing to fiscal responsibility. The remaining 2 percent of the unexpended funds will be used to provide retention bonuses to employees within the saving agency. These bonuses are capped at 10 percent of an employee's basic pay, and any unspent bonus funds will also be applied to the public debt. Furthermore, agencies that benefit from these unexpended funds will face a constraint on their future budget requests, which cannot exceed the previous year's request adjusted for the Consumer Price Index, preventing agencies from artificially inflating budgets after saving funds.