Many Americans in the workforce are lucky enough to see a surprise bonus at the end of the year.
In 2020 only 12% of companies stated they would be giving their employees bonuses, but this year 23% of companies plan to give out year end bonuses.
A lot of companies have decided to increase the size of year end bonuses as well.
Google plans to give all of their employees and interns a bonus of $1,600.
Related: Thousands are expecting $500 stimulus checks this week, is one yours?
Tyson Foods is paying their employees that make hourly wages in their meatpacking plant between $300 and $700.
On top of that, they’re offering flexible schedules and raises.
Those receiving bonuses at the end of the year could use that payment to help their own finances.
Related: 803,000 Americans set to receive stimulus checks worth $575 million in all
Here are a few ways to put year end bonuses to good use
You could use that cash to pay off debt, save, or spend.
Credit card debt is one of the hardest things to pay off, and you could easily bring down that bottom line using extra cash.
The cash could also be put toward some sort of savings plan.
Related: Refinance your student loans to save $5,000 as interest rates hit new lows
If you have a 401k you could put it there, or even toward a 529 college plan for your kids. These could provide some tax advantages.
When it comes to spending, it’s wise to not make impulsive purchases.
Instead, spend the money on something that can put you ahead like classes or a personal trainer.
FingerLakes1.com is the region’s leading all-digital news publication. The company was founded in 1998 and has been keeping residents informed for more than two decades. Have a lead? Send it to [email protected]