nickname puns IRL?

ive noticed its a somewhat common trope in anime for characters to give eachother pun nicknames based on the kanji their name is written with (example- (sorry to sound weeby) katsuki bakugo nicknaming izuku "deku" because its an alternate way his name can be read) is this something that people actually do irl commonly or is it just in fiction?

by fanface_aka_yoshi