🎁 Holiday bonus: In 1969, Law No. 148, the Christmas Bonus Law for Private-Sector Workers and Employees, was signed. Fifty-five years later, that extra money is still welcome. Here's what you need to know about when you qualify and how to invest it.
¿What is the deadline to pay the Christmas bonus in Puerto Rico?
Employers have from Sept. 15 to Dec. 15 of each year to pay the Christmas bonus.
Exemptions: Companies that qualify for Christmas bonus exemptions must meet the following requirements: they must not have made a profit in their business, industry or trade, or their profits must be insufficient to cover the bonus.
– See the list of employers exempt from paying the Christmas bonus for 2024
Key details: Christmas bonus entitlements vary by company, number of employees and length of employment.
Christmas bonus requirements in Puerto Rico
Employees who were already working before the 2017 Labor Reform was approved must work 700 hours (between October of one year and September of the next) to receive 6% of their total salary.
Those who started after the 2017 Labor Reform must work 1,350 hours between Oct. 1 of one year and Sept. 30 of the following year to receive 2% of their total salary.
For employers with 20 or fewer employees for more than 26 weeks, the Christmas bonus cap is $300.00.
If you want to stretch your dollar with your Christmas bonus
We looked for the best tips to help you avoid spending the bonus on the first purchase. Also, just because it's called a "Christmas bonus" doesn't mean you have to spend it during the holiday season.
Use all or part of it for investments: savings accounts, retirement, life insurance or other options.
Put 50% of the bonus toward necessities, 30% toward discretionary spending and 20% toward savings.
Pay off some debt.
Invest it in continuing education.
What about you, do you spend it all or save a little?
This content was translated with the assistance of Artificial Intelligence (AI).
