Money Made Easy #9 | Year-End Bonuses, Windfalls and the Wealth Effect
December 5, 2025
This edition of Money Made Easy touches on year-end bonuses and other windfalls.
Every year, around November, employees are blessed with their year-end bonuses. Some are bigger than others, but all of them will be subjected to the most blatant and aggressive marketing and sales campaigns of the year.
You’ve probably already been bombarded by massive sales announcements and advertisements on social media, tv, radio, billboards, and even your cellphones and emails. You’ve probably noted a larger number of promotions and ad campaigns compared to previous months. That is by design. Sinasabay nila ang lahat ng sales sa paglabas ng mga bonus.
Why? It's because of a theory in Behavioral Economics called the ‘wealth effect.’ Let's get into it!
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