News Release

EMBARGOED UNTIL RELEASE AT 8:30 A.M. EDT, THURSDAY, JUNE 26, 2014
BEA 14-29

Personal Income and Outlays, May 2014

Personal income increased $58.8 billion, or 0.4 percent, and disposable personal income (DPI) increased $55.6 billion,
or 0.4 percent, in May, according to the Bureau of Economic Analysis.  Personal consumption expenditures (PCE) increased
$18.3 billion, or 0.2 percent.  In April, personal income increased $49.9 billion, or 0.3 percent, DPI increased
$50.8 billion, or 0.4 percent, and PCE increased $2.3 billion, or less than 0.1 percent, based on revised estimates.

Real DPI increased 0.2 percent in May, the same increase as in April.  Real PCE decreased 0.1 percent in May,
compared with a decrease of 0.2 percent in April.

                                        2014
                                        Jan.            Feb.            Mar.            Apr.            May
                                                       (Percent change from preceding month)
Personal income, current dollars        0.3             0.4             0.5             0.3             0.4
Disposable personal income:
 Current dollars                        0.3             0.3             0.5             0.4             0.4
 Chained (2009) dollars                 0.2             0.3             0.3             0.2             0.2
Personal consumption expenditures:
 Current dollars                       -0.2             0.4             0.8             0.0             0.2
 Chained (2009) dollars                -0.3             0.3             0.6            -0.2            -0.1

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.
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                                Wages and salaries

Private wages and salaries increased $27.8 billion in May, compared with an increase of $17.9 billion in April.
Goods-producing industries' payrolls increased $7.4 billion, in contrast to a decrease of $1.5 billion; manufacturing
payrolls increased $5.0 billion, in contrast to a decrease of $2.8 billion.  Services-producing industries' payrolls
increased $20.4 billion, compared with an increase of $19.3 billion.  Government wages and salaries increased
$1.4 billion, compared with an increase of $1.2 billion.

                                Other personal income

Supplements to wages and salaries increased $3.7 billion in May, compared with an increase of $3.3 billion in April.

Proprietors' income increased $3.4 billion in May, compared with an increase of $8.0 billion in April.  Farm proprietors'
income increased $2.3 billion, compared with an increase of $2.2 billion.  Nonfarm proprietors' income increased $1.1 billion,
compared with an increase of $5.8 billion.

Rental income of persons increased $2.2 billion in May, compared with an increase of $2.4 billion in April.  Personal
income receipts on assets (personal interest income plus personal dividend income) increased $13.5 billion, compared
with increased of $16.9 billion.  Personal current transfer receipts increased $10.7 billion, compared with an increase of $3.3 billion.

Contributions for government social insurance -- a subtraction in calculating personal income --  increased $4.0 billion
in May, compared with an increase of $2.8 billion in April.

                                Personal current taxes and disposable personal income

Personal current taxes increased $3.2 billion in May, in contrast to a decrease of $0.9 billion in April.  Disposable personal
income (DPI) -- personal income less personal current taxes -- increased $55.6 billion, or 0.4 percent, in May, compared
with an increase of $50.8 billion, or 0.4 percent, in April.

                                Personal outlays and saving

Personal outlays -- PCE, personal interest payments, and personal current transfer payments -- increased $18.0 billion in May,
compared with an increase of $2.1 billion in April.  PCE increased $18.3 billion, compared with an increase of $2.3 billion.

Personal saving -- DPI less personal outlays -- was $620.3 billion in May, compared with $582.7 billion in April.  The personal
saving rate -- personal saving as a percentage of disposable personal income -- was 4.8 percent in May, compared with 4.5 percent
in April.  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 0.2 percent in May, the same increase as in April.

Real PCE -- PCE adjusted to remove price changes -- decreased 0.1 percent in May, compared with a decrease of 0.2 percent in April.
Purchases of durable goods increased 1.0 percent, in contrast to a decrease of 0.9 percent.  Purchases of motor vehicles and parts
accounted for more than half of the increase in May, and more than accounted for the decrease in April.  Purchases of nondurable
goods decreased 0.3 percent in May, compared with a decrease of 0.1 percent in April.  Purchases of services decreased 0.2 percent,
compared with a decrease of 0.1 percent.

The price index for PCE increased 0.2 percent in May, the same increase as in April.  The PCE price index, excluding food and energy,
increased 0.2 percent in May, the same increase as in April.

                                Price index: percent change from month one year ago

The May price index for PCE increased 1.8 percent from May a year ago.  The May PCE price index, excluding food and energy, increased
1.5 percent from May a year ago.

                                Revisions

Estimates have been revised for January through April.  Changes in personal income, in current-dollar and chained (2009) dollar DPI,
and in current-dollar and chained (2009) dollar PCE for March and April -- revised and as published in last month's release -- are shown below.

                                                                Change from preceding month
                                        March                                     April
                                        Previous   Revised   Previous   Revised   Previous   Revised   Previous   Revised
                                       (Billions of dollars)      (Percent)      (Billions of dollars)      (Percent)
Personal income:
 Current dollars                            76.3      78.0        0.5       0.5       43.7      49.9        0.3       0.3
Disposable personal income:
 Current dollars                            65.0      66.5        0.5       0.5       44.6      50.8        0.3       0.4
 Chained (2009) dollars                     38.1      39.7        0.3       0.3       18.3      23.5        0.2       0.2
Personal consumption expenditures:
 Current dollars                           117.6      95.3        1.0       0.8       -8.1       2.3       -0.1       0.0
 Chained (2009) dollars                     88.3      67.9        0.8       0.6      -28.7     -19.5       -0.3      -0.2

BOX._____________
                                Annual Revision of the National Income and Product Accounts

As part of the annual revision of the national income and product accounts (NIPAs), revised estimates of personal income and
outlays will be released in conjunction with preliminary estimates for June 2014 on August 1, 2014.  In addition to the regular
revision of estimates for the most recent 3 years and for the first 5 months of 2014, personal income and select components will
be revised back further.  More information is available in "Preview of Upcoming NIPA Revision" in the May Survey of Current Business
and on BEA's Web site.  The August Survey will contain an article describing the annual revision in detail.
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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.

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Next release – August 1, 2014 at 8:30 A.M. EDT for Personal Income and Outlays for June