News Release
Personal Income and Outlays, February 2023
Personal income increased $72.9 billion (0.3 percent) in February, according to estimates released today by the Bureau of Economic Analysis (tables 3 and 5). Disposable personal income (DPI) increased $89.9 billion (0.5 percent) and personal consumption expenditures (PCE) increased $27.9 billion (0.2 percent).
The PCE price index increased 0.3 percent. Excluding food and energy, the PCE price index also increased 0.3 percent (table 9). Real DPI increased 0.2 percent in February and Real PCE decreased 0.1 percent; goods and services each decreased 0.1 percent (tables 5 and 7).
| 2022 | 2023 | ||||
|---|---|---|---|---|---|
| Oct. | Nov. | Dec. | Jan. | Feb. | |
| Percent change from preceding month | |||||
| Personal income: | |||||
| Current dollars | 0.9 | 0.4 | 0.3 | 0.6 | 0.3 |
| Disposable personal income: | |||||
| Current dollars | 1.1 | 0.6 | 0.4 | 2.0 | 0.5 |
| Chained (2012) dollars | 0.7 | 0.4 | 0.2 | 1.5 | 0.2 |
| Personal consumption expenditures (PCE): | |||||
| Current dollars | 0.7 | -0.2 | 0.0 | 2.0 | 0.2 |
| Chained (2012) dollars | 0.3 | -0.4 | -0.2 | 1.5 | -0.1 |
| Price indexes: | |||||
| PCE | 0.4 | 0.2 | 0.2 | 0.6 | 0.3 |
| PCE, excluding food and energy | 0.3 | 0.2 | 0.4 | 0.5 | 0.3 |
| Price indexes: | Percent change from month one year ago | ||||
| PCE | 6.1 | 5.7 | 5.3 | 5.3 | 5.0 |
| PCE, excluding food and energy | 5.1 | 4.8 | 4.6 | 4.7 | 4.6 |
The increase in current-dollar personal income in February was led by an increase in compensation (table 3), mainly from wages and salaries. Private wages and salaries for services-producing industries and government wages and salaries increased.
The $27.9 billion increase in current-dollar PCE in February reflected an increase of $25.8 billion in spending for services and an increase of $2.0 billion in spending for goods (table 3). Within services, increases in housing and health care were partly offset by a decrease in food services and accommodations. Within goods, increases in gasoline and other energy goods, “other” nondurable goods (led by pharmaceuticals), and food and beverages were partly offset by a decrease in motor vehicles and parts (mainly new and used light trucks). Detailed monthly PCE spending data are presented on Table 2.4.5U.
Personal outlays increased $40.7 billion in February (table 3). Personal saving was $915.8 billion in February and the personal saving rate—personal saving as a percentage of disposable personal income—was 4.6 percent (table 1).
Prices
From the preceding month, the PCE price index for February increased 0.3 percent (table 9). Prices for goods increased 0.2 percent and prices for services increased 0.3 percent. Food prices increased 0.2 percent and energy prices decreased 0.4 percent. Excluding food and energy, the PCE price index increased 0.3 percent. Detailed monthly PCE price indexes are presented on Table 2.4.4U.
From the same month one year ago, the PCE price index for February increased 5.0 percent (table 11). Prices for goods increased 3.6 percent and prices for services increased 5.7 percent. Food prices increased 9.7 percent and energy prices increased 5.1 percent. Excluding food and energy, the PCE price index increased 4.6 percent from one year ago.
Real PCE
The 0.1 percent decrease in real PCE in February reflected a decrease of 0.1 percent in spending on goods and a decrease of 0.1 percent in spending on services (table 7). Within goods, a decrease in motor vehicles and parts (specifically new motor vehicles) was partly offset by an increase in gasoline and other energy goods. Within services, the largest contributor to the decrease was food services and accommodations (mainly food services). Detailed monthly real PCE spending data are presented on Table 2.4.6U.
Updates to Personal Income and Outlays
Estimates have been updated for October through January. Revised and previously published changes from the preceding month for current-dollar personal income, and for current-dollar and chained (2012) dollar DPI and PCE, are provided 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 | 70.9 | 70.2 | 0.3 | 0.3 | 131.1 | 124.1 | 0.6 | 0.6 |
| Disposable personal income: | ||||||||
| Current dollars | 77.6 | 81.6 | 0.4 | 0.4 | 387.4 | 391.8 | 2.0 | 2.0 |
| Chained (2012) dollars | 31.3 | 34.4 | 0.2 | 0.2 | 213.2 | 223.9 | 1.4 | 1.5 |
| Personal consumption expenditures: | ||||||||
| Current dollars | -23.2 | 1.5 | -0.1 | 0.0 | 312.5 | 360.8 | 1.8 | 2.0 |
| Chained (2012) dollars | -47.1 | -27.4 | -0.3 | -0.2 | 161.0 | 206.0 | 1.1 | 1.5 |
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Next release: April 28, 2023, at 8:30 a.m. EDT
Personal Income and Outlays, March 2023