Do financial incentives improve health?
Ask the Doctor
The timing of when the bonus is given appears to affect behavior change. People who receive payments separately (rather than lumped in with their paycheck) and repeatedly (like every month rather than just at the end of the trial period) are more responsive to incentives. Also, how the incentive is provided may affect a person's response. For example, over three months employees were given an incentive of about $1.50 each day they walked at least 7,000 steps (as measured by their smartphones). Some (chosen at random) received $2 every day they walked 7,000 steps. In contrast, others were given a "bank account" full of all the money they might win if they walked 7,000 steps each day and then had $2 taken away every day they did not walk 7,000 steps. Both types of incentive worked better than no incentive, but the latter way-losing money you would have won-proved more powerful.
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