News Release

EMBARGOED UNTIL RELEASE AT 8:30 A.M. EST, Wednesday, March 1, 2017
BEA 17-08

Personal Income and Outlays, January 2017

Personal income increased $63.0 billion (0.4 percent) in January according to estimates released today
by the Bureau of Economic Analysis. Disposable personal income (DPI) increased $40.1 billion (0.3 percent)
and personal consumption expenditures (PCE) increased $22.2 billion (0.2 percent).

Real DPI decreased 0.2 percent in January and Real PCE decreased 0.3 percent. The PCE price index increased
0.4 percent. Excluding food and energy, the PCE price index increased 0.3 percent.

                                                                2016                 2017
                                                Sept.     Oct.     Nov.     Dec.     Jan.
                                                Percent change from preceding month
Personal income:
 Current dollars                                 0.4      0.4      0.2      0.3      0.4
Disposable personal income:
 Current dollars                                 0.4      0.4      0.2      0.3      0.3
 Chained (2009) dollars                          0.2      0.2      0.1      0.1     -0.2
Personal consumption expenditures (PCE):
 Current dollars                                 0.7      0.4      0.2      0.5      0.2
 Chained (2009) dollars                          0.5      0.2      0.2      0.3     -0.3
Price indexes:
 PCE                                             0.2      0.2      0.1      0.2      0.4
 PCE, excluding food and energy                  0.1      0.1      0.0      0.1      0.3

Price indexes:                                  Percent change from month one year ago
 PCE                                             1.2      1.4      1.3      1.6      1.9
 PCE, excluding food and energy                  1.7      1.7      1.6      1.7      1.7

The increase in personal income in January primarily reflected increases in wages and salaries and
personal current transfer receipts that were partially offset by an increase in contributions for
government social insurance, a subtraction in the calculation of personal income (table 3).

The decrease in real PCE in January primarily reflected decreases in spending for services, notably 
utilities, and durable goods (table 7).

Personal outlays increased $24.0 billion in January (table 3). Personal saving was $795.7 billion
in January and the personal saving rate, personal saving as a percentage of disposable personal
income, was 5.5 percent (table 1).

                                2016 Personal Income and Outlays

Personal income (table 6) increased 3.6 percent in 2016 (that is, from the 2015 annual level
to the 2016 annual level), compared with an increase of 4.4 percent in 2015. DPI increased
3.9 percent in 2016, compared with an increase of 3.8 percent in 2015. In 2016, PCE increased
3.8 percent, compared with an increase of 3.5 percent in 2015.

Real DPI increased 2.8 percent in 2016, compared with an increase of 3.5 percent in 2015.
Real PCE (table 8) increased 2.7 percent, compared with an increase of 3.2 percent.

Annual estimates of personal income and disposable personal income were revised up 0.1 percentage
point from the estimates presented last month; annual estimates of personal consumption expenditures
were unrevised.

                                Updates

Estimates have been updated for July through December. The percent change from the preceding
month for current-dollar personal income, and for current-dollar and chained (2009) dollar
DPI and PCE  -- revised and as published in last month's release -- are shown below.

                                                        Change from preceding month
                                                  November                                 December
                                Previous   Revised   Previous   Revised   Previous   Revised   Previous   Revised
                               (Billions of dollars)      (Percent)      (Billions of dollars)      (Percent)
Personal income:
 Current dollars                     9.2      27.9        0.1       0.2       50.2      47.5        0.3       0.3
Disposable personal income:
 Current dollars                     9.3      26.5        0.1       0.2       43.6      42.0        0.3       0.3
 Chained (2009) dollars              1.7      16.6        0.0       0.1       19.0      16.2        0.1       0.1
Personal consumption expenditures:
 Current dollars                    28.8      32.1        0.2       0.2       63.1      65.0        0.5       0.5
 Chained (2009) dollars             19.8      22.3        0.2       0.2       38.2      38.7        0.3       0.3

BOX.________________________
                                QCEW Data Included in the Third Quarter of 2016

This news release includes revised estimates of wages and salaries, personal taxes, and contributions
for government social insurance for July through September 2016 (third quarter). These estimates reflect
the incorporation of the most recently available third-quarter wage and salary tabulations from the
Quarterly Census of Employment and Wages (QCEW) program from the Bureau of Labor Statistics.
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                                Next release:  March 31, 2017 at 8:30 A.M. EDT
                                 Personal Income and Outlays:  February 2017