Can I Get a Reward for Reporting Fraud?

Legal Guides · Updated October 2026

Yes. Several federal and California programs pay whistleblowers a share of the money recovered because of their information, often 10 to 30 percent. Eligibility rules are strict, and how and when you report can decide whether you qualify. Here is how the main programs work.

On this page: Reward programs at a glance · False Claims Act · SEC and CFTC programs · IRS program · California programs · How to protect your eligibility · FAQ

Reward Programs at a Glance

Program	Covers	Typical award
False Claims Act (qui tam)	Fraud on federal programs and contracts	15–25% if the government intervenes; 25–30% if it does not
SEC Whistleblower Program	Securities fraud and violations	10–30% of sanctions over $1 million
CFTC Whistleblower Program	Commodities and derivatives fraud	10–30% of sanctions over $1 million
IRS Whistleblower Program	Significant tax underpayments	Generally 15–30% of amounts collected in larger cases
California False Claims Act	Fraud on the State of California and local governments	15–33% if the state intervenes; 25–50% if it does not

The False Claims Act (Qui Tam)

The federal False Claims Act lets a private person, called a relator, file a lawsuit on the government’s behalf against anyone who defrauds a federal program: Medicare and Medicaid billing, defense and government contracts, grants, loans and customs duties. Defendants can owe three times the government’s losses plus a penalty for each false claim, which is why recoveries, and relator shares, can be large. The case is filed under seal, and the first relator to file generally has priority. See how a qui tam case works.

SEC and CFTC Whistleblower Programs

The SEC pays awards when a whistleblower voluntarily provides original information that leads to a successful enforcement action with sanctions over $1 million. Awards range from 10 to 30 percent of the money collected, and can include related actions by other agencies. Tips are submitted on the SEC’s Form TCR. After the SEC posts a notice of a covered action, the whistleblower must apply for the award within a set period, currently 90 days.

You can report to the SEC anonymously, but to stay anonymous and still receive an award, you must be represented by a lawyer. The Commodity Futures Trading Commission runs a similar program for commodities, futures and derivatives fraud.

IRS Whistleblower Program

The IRS pays awards for information about tax underpayments. In larger cases, generally where more than $2 million is in dispute, awards range from 15 to 30 percent of the amounts collected. Smaller cases are handled under a discretionary program with lower awards.

California Programs

California’s False Claims Act covers fraud on the state, counties, cities and other local agencies, including Medi-Cal fraud and fraud on public contracts. California also allows qui tam claims for certain insurance fraud. These can be brought alongside a federal case when the same fraud affected both.

How to Protect Your Eligibility

• Act quickly. Qui tam cases generally favor the first to file, and the SEC rewards original information. Someone else may already be reporting the same conduct.
• Report the right way. Each program has its own forms, procedures and definitions. A report to the wrong place, or a public disclosure, can cost you an award.
• Keep it confidential. Do not discuss the matter publicly or with coworkers.
• Do not take documents without advice. Some information, such as privileged communications, cannot be used, and taking it can create legal problems.
• Know the limits. Some people, such as certain compliance and audit personnel, face additional eligibility rules under the SEC program.
• Protect your job, too. An award claim does not replace a retaliation claim. If you were punished for reporting, you may have both. See what to do if you face retaliation.

Awards are generally taxable income, and they are paid only after the government actually collects, which can take years. Learn more on our federal whistleblower lawyer page.

Frequently Asked Questions

How much is a whistleblower reward?

Generally 10 to 30 percent of the money recovered under the SEC and CFTC programs, and 15 to 30 percent under the federal False Claims Act, depending on the facts and whether the government takes over the case.

Do I have to be an employee to get a reward?

No. Contractors, competitors, patients and other insiders with original information can be eligible, depending on the program.

Can I stay anonymous?

You can report to the SEC anonymously through a lawyer and still claim an award. Qui tam cases are filed under seal, which keeps your identity confidential while the government investigates, though it may become known later.

How long does it take to get paid?

Often several years. Awards are paid only after the government completes its case and collects the money.

Does reporting fraud protect my job?

Federal and California laws prohibit retaliation against whistleblowers. A retaliation claim is separate from an award claim, and you may have both.

Related guides: How a qui tam case works · Retaliated against for reporting fraud? · SOX whistleblower deadlines

This guide provides general information about California and federal law as of October 2026. It is not legal advice, and reading it does not create an attorney-client relationship. Every situation depends on its facts, so speak with a lawyer about yours.