Personal Income and Outlays, March 2016

Historical release narrative reproduced from the official public-domain U.S. Bureau of Economic Analysis source. Statistical tables, charts, standard technical appendices and administrative material are omitted; formatting is adapted for reading. Figures retain the release's original vintage and may have been revised. Consult the linked source for the complete release and current data.

Personal income increased $57.4 billion, or 0.4 percent, and disposable personal income (DPI) increased $50.4 billion, or 0.4 percent, in March, according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $12.8 billion, or 0.1 percent. In February, personal income increased $12.0 billion, or 0.1 percent, DPI increased $11.4 billion, or 0.1 percent, and PCE increased $21.4 billion, or 0.2 percent, based on revised estimates.

Real DPI increased 0.3 percent in March, compared with an increase of 0.2 percent in February. Real PCE increased less than 0.1 percent, compared with an increase of 0.3 percent.

Compensation

Wages and salaries increased $29.2 billion in March, in contrast to a decrease of $4.6 billion in February. Private wages and salaries increased $26.3 billion, in contrast to a decrease of $8.0 billion. Government wages and salaries increased $2.8 billion, compared with an increase of $3.4 billion.

Supplements to wages and salaries increased $5.4 billion in March, compared with an increase of $3.0 billion in February.

Other personal income

Proprietors' income increased $0.6 billion in March, in contrast to a decrease of $2.4 billion in February. Farm proprietors' income decreased $0.9 billion, the same decrease as in February. Nonfarm proprietors' income increased $1.5 billion in March, in contrast to a decrease of $1.6 billion in February.

Rental income of persons increased $5.4 billion in March, compared with an increase of $5.2 billion in February. Personal income receipts on assets (personal interest income plus personal dividend income) increased $12.5 billion, in contrast to a decrease of $4.3 billion.

Personal current transfer receipts increased $7.6 billion in March, compared with an increase of $14.0 billion in February.

Contributions for government social insurance -- a subtraction in calculating personal income -- increased $3.3 billion in March, in contrast to a decrease of $1.2 billion in February.

Personal current taxes and disposable personal income

Personal current taxes increased $6.9 billion in March, compared with an increase of $0.6 billion in February. Disposable personal income (DPI) -- personal income less personal current taxes -- increased $50.4 billion, or 0.4 percent, compared with an increase of $11.4 billion, or 0.1 percent.

Personal outlays and personal saving

Personal outlays -- PCE, personal interest payments, and personal current transfer payments -- increased $11.2 billion in March, compared with an increase of $20.0 billion in February. PCE increased $12.8 billion, compared with an increase of $21.4 billion.

Personal saving -- DPI less personal outlays -- was $735.5 billion in March, compared with $696.4 billion in February. The personal saving rate -- personal saving as a percentage of disposable personal income -- was 5.4 percent, compared with 5.1 percent. 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 March, compared with an increase of 0.2 percent in February.

Real PCE -- PCE adjusted to remove price changes -- increased less than 0.1 percent in March, compared with an increase of 0.3 percent in February. Purchases of durable goods decreased 0.3 percent, in contrast to an increase of 0.4 percent. Purchases of motor vehicles and parts more than accounted for the decrease in March. Purchases of nondurable goods increased 0.7 percent in March, in contrast to a decrease of 0.3 percent in February. Purchases of services decreased 0.1 percent, in contrast to an increase of 0.4 percent.

The price index for PCE increased 0.1 percent in March, in contrast to a decrease of 0.1 percent in February. The PCE price index,

excluding food and energy, increased 0.1 percent, compared with an increase of 0.2 percent.

The March PCE price index increased 0.8 percent from March a year ago. The March PCE price index, excluding food and energy, increased 1.6 percent from March a year ago.

Revisions

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

Upcoming 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 2016 on August 2, 2016. This regular revision of the estimates will cover the most recent 3 years and the first 5 months of 2016. For more information, see the GDP Technical Note.