I am a big fan of putting the money towards something productive like savings or paying down debt and keeping a little bit to the side for a treat. I usually do the normal deductions for my bonus checks including 401(k) because I don’t know how/can’t be bothered to change it for one check. Last year I put 90% of the net bonus into savings and put the remaining 10% towards ski gear and early bird mountain passes for the upcoming winter. This year, I will probably repeat the mountain pass purchase (more than paid for itself this year since we went >5 times) and splurge on 1–2 Japanese kitchen knives during my upcoming trip to Japan (they are substantially cheaper there plus stores will refund sales tax). I am also looking forward to rebuilding my savings since I just wiped out like half of it on a down payment.