Recruitment, Relocation and Retention Incentives
Questions and answers
A service agreement is required in most cases when a retention incentive is paid. It is required when the agency pays the incentive—
- In a single lump-sum payment after completion of the full service period;
- In installments after the completion of periods of service (except when the incentive is paid in biweekly installments at the full retention incentive percentage rate established for the employee);
- In all cases where the 25 percent cap (or 10 percent for groups of employees) has been waived, no matter how payment is made; and
- In all cases when an employee is likely to leave for a different position in the Federal service.

