U.S. Year-End Bonuses Shrink Across All Industries

Average bonus down 21% from previous year, with fewer workers receiving them amid economic turbulence.

The average cash bonus paid to employees in December was $2,145, down 21% from the previous year, according to payroll software company Gusto.
Every industry posted a decline in bonuses, ranging from 3.8% for technology firms to 36% for tourism and transportation companies.
Fewer workers received bonuses in most industries, with the biggest drop coming at arts and entertainment firms.
Factors driving the decline include soaring inflation, workers quitting at a record clip, and businesses not hiring as aggressively as they were a year ago.
The biggest payouts went to finance workers, with an average bonus of $13,255, down about 12% from the roughly $15,000 paid out in 2022 and 2021.