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Cake day: February 13th, 2026

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  • Yes, they literally can’t stop.

    I was in Air Force maintenance for a while. And it’s because of ‘use it or lose it’ budgets.

    Every fiscal year, if your department doesn’t spend all of its allotted budget, then their budget will be reduced next fiscal year. Personal equipment, replacement parts, materials, etc all come from the same budget.

    But how much money your department actually needs may vary from year to year. Maybe in a good year not much breaks and you don’t spend much on replacement parts. So you have surplus budget left over in the last month of the fiscal year:

    A) You can do the right thing and submit your budget paperwork showing that you had some left over at the end of the year. Your budget will be reduced next year, which means if next year is a bad year that needs lots of replacement parts, you’re going to be running severely short.

    B) You take the whole crew up to the Supply store and go on a shopping spree, buying up anything ‘nice to have’ that could even somewhat conceivably be relevant to doing your job. (Such as … a very fancy combat knife that you could conceivably use because you can use it to open boxes.) You use up the entire budget for the fiscal year, and next year your budget stays the same. So when next year is a bad year that needs lots of replacement parts, you still have enough money in your budget to buy all the parts you need.

    This end-of-fiscal-year shopping spree is pervasive within not just the Air Force, but every government job where this ‘use it or lose it’ budgeting system is in place.

    On the face of it, ‘use it or lose it’ is supposedly a way to help the military save money, by reducing the budgets of departments that are being allocated more money than they need. But it creates a perverse incentive for each department to ‘need’ all the money it has been allocated. The ‘use it or lose it’ budgeting system will have to be reformed significantly if this is to be fixed.