News Release
These data have been superseded. Please see our latest releases for current estimates and contact information.
Personal Income and Outlays, February 2014
Personal income increased $47.7 billion, or 0.3 percent, and disposable personal income (DPI) increased $42.3 billion, or 0.3 percent, in February, according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $30.8 billion, or 0.3 percent. In January, personal income increased $41.3 billion, or 0.3 percent, DPI increased $40.3 billion, or 0.3 percent, and PCE increased $20.0 billion, or 0.2 percent, based on revised estimates. Real DPI increased 0.3 percent in February, compared with an increase of 0.2 percent in January. Real PCE increased 0.2 percent in February, compared with an increase of 0.1 percent in January. 2013 2014 Oct. Nov. Dec. Jan. Feb. (Percent change from preceding month) Personal income, current dollars -0.1 0.3 -0.1 0.3 0.3 Disposable personal income: Current dollars -0.2 0.2 -0.1 0.3 0.3 Chained (2009) dollars -0.2 0.1 -0.3 0.2 0.3 Personal consumption expenditures: Current dollars 0.3 0.6 0.1 0.2 0.3 Chained (2009) dollars 0.3 0.5 -0.1 0.1 0.2 FOOTNOTE.________ Monthly estimates are expressed at seasonally adjusted annual rates, unless otherwise specified. Month-to-month dollar changes are differences between these published estimates. Month-to-month percent changes are calculated from unrounded data and are not annualized. Real estimates are in chained (2009) dollars. This news release is available on BEA's Web site at www.bea.gov/newsreleases/rels.htm. _________________ Wages and salaries Private wages and salaries increased $13.0 billion in February, compared with an increase of $17.2 billion in January. Goods producing industries' payrolls increased $5.2 billion in February and were unchanged in January; manufacturing payrolls decreased $0.3 billion in February, compared with a decrease of $2.8 billion in January. Services-producing industries' payrolls increased $7.8 billion, compared with an increase of $17.3 billion. Government wages and salaries increased $2.0 billion, compared with an increase of $1.2 billion. Other personal income Supplements to wages and salaries increased $2.9 billion in February, compared with an increase of $4.9 billion in January. Proprietors' income increased $7.7 billion in February, compared with an increase of $8.0 billion in January. Farm proprietors' income increased $2.0 billion in February, compared with an increase $2.1 billion in January. Nonfarm proprietors' income increased $5.6 billion in February, compared with an increase of $5.9 billion in January. Rental income of persons increased $3.1 billion in February, compared with an increase of $2.7 billion in January. Personal income receipts on assets (personal interest income plus personal dividend income) increased $2.5 billion, in contrast to a decrease of $13.1 billion. Personal current transfer receipts increased $18.6 billion in February, compared with an increase of $29.9 billion in January. Medicaid benefits increased $11.4 billion in February and $19.3 billion in January, primarily due to expanded coverage under the Affordable Care Act (ACA). For additional information, see the FAQ “How will the Affordable Care Act affect BEA’s measure of personal income and outlays?” at www.bea.gov. These increases in current transfer receipts were partly offset by the impact of the expiration of the Emergency Unemployment Compensation program that reduced unemployment benefit payments $2.5 billion in February and $16.7 billion in January. Contributions for government social insurance -- a subtraction in calculating personal income -- increased $2.0 billion in February, compared with an increase of $9.6 billion in January. The January estimate reflected increases in both employer and employee contributions for government social insurance. The January estimate of employee contributions for government social insurance was boosted $5.2 billion by increases in the social security taxable wage base (from $113,700 to $117,000), in the monthly premiums paid by participants in the supplementary medical insurance programs and other hospital insurance, and in contributions by the self-employed. The January estimate of employer contributions was boosted $1.7 billion by the increase in the social security taxable wage base. The total contribution of these factors to the January change in contributions for government social insurance was $6.9 billion. Personal current taxes and disposable personal income Personal current taxes increased $5.3 billion in February, compared with an increase of $1.2 billion in January. Disposable personal income (DPI) -- personal income less personal current taxes -- increased $42.3 billion, or 0.3 percent, in February, compared with an increase of $40.3 billion, or 0.3 percent, in January. Personal outlays and savings Personal outlays -- PCE, personal interest payments, and personal current transfer payments -- increased $33.8 billion in February, compared with an increase of $23.1 billion in January. PCE increased $30.8 billion in February, compared with an increase of $20.0 billion in January. Personal saving -- DPI less personal outlays -- was $544.5 billion in February, compared with $535.9 billion in January. The personal saving rate -- personal saving as a percentage of disposable personal income -- was 4.3 percent in February, compared with 4.2 percent in January. For a comparison of personal saving in BEA's national income and product accounts with personal saving in the Federal Reserve Board's financial accounts of the United States and data on changes in net worth, go to www.bea.gov/national/nipaweb/nipa-frb.asp. Real DPI, real PCE, and price index Real DPI -- DPI adjusted to remove price changes -- increased 0.3 percent in February, compared with an increase of 0.2 percent in January. Real PCE -- PCE adjusted to remove price changes -- increased 0.2 percent in February, compared with an increase of 0.1 percent in January. Purchases of durable goods increased 0.1 percent, in contrast to a decrease of 0.4 percent. Purchases of nondurable goods increased 0.3 percent, in contrast to a decrease of 0.9 percent. Purchases of services increased 0.2 percent, compared with an increase of 0.5 percent. An increase in health care services reflects an additional $13.0 billion in February and $20.0 billion in January for the estimated effect of the ACA on demand for these services. The preliminary monthly source data used to estimate health care services do not reflect the effects of the ACA. Information on Medicaid benefits and on ACA insurance exchange enrollments, as well as other related information was used to prepare the estimates of consumer spending on these services. The price index for PCE increased 0.1 percent in February, the same increase as in January. The PCE price index, excluding food and energy, increased 0.1 percent in February, the same increase as in January. 2013 Personal Income and Outlays Personal income increased 2.8 percent in 2013 (that is, from the 2012 annual level to the 2013 annual level), compared with an increase of 4.2 percent in 2012. DPI increased 1.9 percent, compared with an increase of 3.9 percent. PCE increased 3.2 percent, compared with an increase of 4.1 percent. Real DPI increased 0.7 percent in 2013, compared with an increase of 2.0 percent in 2012. Real PCE increased 2.0 percent, compared with an increase of 2.2 percent. Revisions Estimates have been revised for October 2013 through January 2014. Changes in personal income, in current-dollar and chained (2009) dollar DPI, and in current-dollar and chained (2009) dollar PCE for December and January -- revised and as published in last month's release -- are shown below. Change from preceding month December January Previous Revised Previous Revised Previous Revised Previous Revised (Billions of dollars) (Percent) (Billions of dollars) (Percent) Personal income: Current dollars -5.5 -9.9 0.0 -0.1 43.9 41.3 0.3 0.3 Disposable personal income: Current dollars -9.7 -13.2 -0.1 -0.1 45.2 40.3 0.4 0.3 Chained (2009) dollars -28.6 -32.0 -0.2 -0.3 29.9 24.4 0.3 0.2 Personal consumption expenditures: Current dollars 6.5 9.8 0.1 0.1 48.1 20.0 0.4 0.2 Chained (2009) dollars -12.1 -9.2 -0.1 -0.1 33.5 6.7 0.3 0.1 BEA's national, international, regional, and industry estimates; the Survey of Current Business; and BEA news releases are available without charge on BEA's Web site at www.bea.gov. By visiting the site, you can also subscribe to free e-mail summaries of BEA releases and announcements. * * * Next release - May 1, 2014 at 8:30 A.M. EDT for Personal Income and Outlays for March