KANSAS INVENTIONINDEX | DECEMBER 2025

December 2025: 1.71% (B grade)

Kansas inventionINDEX December 2025: 1.71% (B grade)

The inventionINDEX measures innovation output by comparing GDP growth with patent production growth. 

Anything over C grade is positive sentiment; anything under C is negative outlook/sentiment. Using that sentiment, it is possible to observe trends over time, and also compare states/countries. In doing so, we can predict which states have the best chance to recover economically from the pandemic (or any other economic incident that may occur).

Kansas inventionINDEX Scores – Last 12 months

 

Month inventionINDEX Score
December 2025 1.71%
Nov 25 1.82%
Oct 25 1.68%
Sep 25 1.74%
Aug 25 1.26%
Jul 25 1.66%
Jun 25 1.53%
May 25 1.50%
Apr 25 1.42%
Mar 25 1.26%
Feb 25 1.90%
Jan 25 1.76%
Dec 24 1.55%

The Kansas inventionINDEX concluded the 60-month period ending in December 2025 with a score of 1.71%, earning a solid B rating. This performance represents a moderate strengthening compared to the 1.55% recorded exactly one year prior, though it remains below the 2.05% mark seen at the start of 2024. Throughout the five-year history provided, the index has demonstrated significant cyclicality, moving between a high of 2.32% in October 2023 and a low of 1.05% in December 2021. The current score suggests a period of relative stability for the regional innovation ecosystem, maintaining a consistent mid-range position that avoids the deeper troughs observed in previous years.

When evaluating these results against the historical data, it is evident that Kansas experienced its most robust period of invention activity throughout 2023, where scores frequently touched the A and A- categories. The current score of 1.71% is a respectable recovery from the volatility seen during the autumn of 2024, when the index dipped into the C range at 1.13%. While the state has not yet returned to the peak performance levels of late 2023, the upward trajectory from the mid-2025 lows indicates a renewing momentum in intellectual property development and creative output within the state.

A higher grade on the inventionINDEX, such as the A ratings achieved in early and late 2023, signals a flourishing environment for economic expansion and technological advancement. These elevated scores suggest that the barriers to entry for new ideas are low and that the infrastructure supporting inventors is functioning at a high capacity. Positive outcomes of these superior ratings include increased interest from venture capitalists, a higher rate of patent filings, and a general strengthening of the state’s competitive edge in the national market. When the index reaches these heights, it often serves as a leading indicator for future job growth in high-tech sectors and a more resilient local economy.

Conversely, a lower score or a downward trend into the C or C+ range carries negative implications for the state’s long-term growth. Such scores, like the 1.05% seen in late 2021 or the 1.08% in March 2023, often reflect a stagnation in new product development or a lack of resources available to the creative workforce. Sustained periods of low scores can lead to a talent drain, as inventors seek more supportive environments elsewhere, ultimately resulting in a loss of potential tax revenue and industrial diversification. Maintaining the current B rating is therefore essential to prevent the erosion of the progress made over the last sixty months and to ensure that Kansas remains a viable hub for future breakthroughs.

 

Discussion:

In December, the Kansas inventionINDEX scored a positive sentiment which was higher than the previous year’s average and outperformed the upward trend for the year. This is in contrast to the prior 12 months, which experienced a slight downward trend. 

As the economy continues to stabilize in the post-pandemic era, it remains uncertain whether any backlog of applications still exists or if the department has returned to normal processing timelines. The inventionINDEX could also be affected by lingering consequences from the pandemic, such as company closures, reduced workforces, and limited R&D capabilities, which may still be impacting current operations.

Learn More:

Are you thinking of patenting any of your bright ideas? Did you know your research work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? To find out more, please check out our free online eligibility test.

Swanson Reed’s Kansas office provides R&D tax credit consulting and advisory services to Wichita, Overland Park, Kansas City, Olathe, Topeka, Lawrence, Shawnee, Manhattan, Lenexa,and Salina.

Feel free to book a quick teleconference with one of R&D tax specialists if you would like to learn more about R&D tax credit opportunities.

Who We Are:

Swanson Reed is the largest Specialist R&D tax credit advisory firm in the United States. With offices nationwide, we are one of the only firms globally to exclusively provide R&D tax credit consulting services to our clients. We have been exclusively providing R&D tax credit claim preparation and audit compliance solutions for over 30 years. 

Swanson Reed hosts daily free webinars and provides free IRS CE and CPE credits for CPAs.  For more information please visit us at www.swansonreed.com/free-webinars or contact your usual Swanson Reed representative.

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The Research & Experimentation Tax Credit (or R&D Tax Credit), is a general business tax credit under Internal Revenue Code section 41 for companies that incur research and development (R&D) costs in the United States. The credits are a tax incentive for performing qualified research in the United States, resulting in a credit to a tax return. For the first three years of R&D claims, 6% of the total qualified research expenses (QRE) form the gross credit. In the 4th year of claims and beyond, a base amount is calculated, and an adjusted expense line is multiplied times 14%. Click here to learn more.

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