Home > News Release: Personal Income and Outlays, August 2011
EMBARGOED UNTIL RELEASE AT 8:30 A.M. EST, WEDNESDAY, NOVEMBER 23, 2011
BEA 11-56


James Rankin: (202) 606-5301 (Personal Income) piniwd@bea.gov

Kyle Brown: (202) 606-5302 (Personal Consumption Expenditures) pce@bea.gov

* See the navigation bar at the right side of the news release text for links to data tables, contact personnel and their telephone numbers, and supplementary materials.

PERSONAL INCOME AND OUTLAYS: OCTOBER 2011
Personal income increased $48.1 billion, or 0.4 percent, and disposable personal income (DPI)
increased $30.2 billion, or 0.3 percent, in October, according to the Bureau of Economic Analysis.
Personal consumption expenditures (PCE) increased $8.2 billion, or 0.1 percent.  In September,
personal income increased $15.5 billion, or 0.1 percent, DPI increased $7.8 billion, or 0.1
percent, and PCE increased $74.5 billion, or 0.7 percent, based on revised estimates.

Real disposable income increased 0.3 percent in October, in contrast to a decrease of 0.1
percent in September.  Real PCE increased 0.1 percent, compared with an increase of 0.5 percent.

                                        2011
                                        June            July            Aug.            Sept.           Oct.
                                                       (Percent change from preceding month)
Personal income, current dollars        0.1             0.1            -0.1             0.1             0.4
Disposable personal income:
 Current dollars                        0.1             0.0            -0.1             0.1             0.3
 Chained (2005) dollars                 0.2            -0.3            -0.4            -0.1             0.3
Personal consumption expenditures:
 Current dollars                       -0.2             0.9             0.2             0.7             0.1
 Chained (2005) dollars                -0.1             0.5            -0.1             0.5             0.1

This news release presents revised estimates of wages and salaries, personal taxes, and contributions for government
social insurance for April through June 2011 (second quarter).  These estimates reflect newly available second-quarter
wage and salary tabulations from the quarterly census of employment and wages from the Bureau of Labor Statistics.

                                Wages and salaries

Private wage and salary disbursements increased $33.6 billion in October, compared with an increase of
$28.2 billion in September.  Goods-producing industries' payrolls increased $6.3 billion, compared with an increase
of $5.6 billion; manufacturing payrolls increased $6.4 billion, compared with an increase of $2.4 billion.
Services-producing industries' payrolls increased $27.3 billion, compared with an increase of $22.6 billion.
Government wage and salary disbursements decreased $0.4 billion, compared with a decrease of $1.9 billion.

                                Other personal income

Supplements to wages and salaries increased $4.1 billion in October, compared with an increase of $3.2 billion in September.

Proprietors' income decreased $3.1 billion in October, compared with a decrease of $0.3 billion in September.  Farm
proprietors' income decreased $5.1 billion, in contrast to an increase of $0.4 billion.  Nonfarm proprietors' income
increased $2.0 billion, in contrast to a decrease of $0.7 billion.

Rental income of persons increased $3.2 billion in October, compared with an increase of $5.7 billion in September.
Personal income receipts on assets (personal interest income plus personal dividend income) increased $8.3 billion,
in contrast to a decrease of $14.3 billion.

Personal current transfer receipts increased $6.9 billion in October, in contrast to a decrease of $1.8 billion in
September.  Within current transfer receipts, government social benefits to persons for Medicaid increased $8.2 billion,
in contrast to a decrease of $4.4 billion.

Contributions for government social insurance -- a subtraction in calculating personal income --  increased
$4.5 billion in October, compared with an increase of $3.4 billion in September.

                                Personal current taxes and disposable personal income

Personal current taxes increased $17.8 billion in October, compared with an increase of $7.8 billion in September.
Disposable personal income (DPI) -- personal income less personal current taxes -- increased $30.2 billion, or
0.3 percent, in October, compared with an increase of $7.8 billion, or 0.1 percent, in September.

                                Personal outlays and personal saving

Personal outlays -- PCE, personal interest payments, and personal current transfer payments -- increased
$6.9 billion in October, compared with an increase of $77.9 billion in September.  PCE increased
$8.2 billion, compared with an increase of $74.5 billion.

Personal saving -- DPI less personal outlays -- was $400.2 billion in October, compared with $376.9 billion
in September.  Personal saving as a percentage of disposable personal income was 3.5 percent in October,
compared with 3.3 percent in September.  For a comparison of personal saving in BEA’s national income and
product accounts with personal saving in the Federal Reserve Board’s flow of funds accounts and data
on changes in net worth, go to http://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 October, in contrast to a decrease
of 0.1 percent in September.

Real PCE -- PCE adjusted to remove price changes -- increased 0.1 percent in October, compared with an increase
of 0.5 percent in September.  Purchases of durable goods increased 0.9 percent, compared with an increase of
3.3 percent.  Purchases of nondurable goods increased 0.2 percent, compared with an increase of 0.4 percent.
Purchases of services decreased less than 0.1 percent, in contrast to an increase of 0.1 percent.

PCE price index -- The price index for PCE decreased 0.1 percent in October, in contrast to an increase of
0.2 percent in September.  The PCE price index, excluding food and energy, increased 0.1 percent,
compared with an increase of less than 0.1 percent.

                                Revisions

Estimates of personal income have been revised for April through September; estimates for PCE have been revised
for July through September.  Changes in personal income, current-dollar and chained (2005) dollar DPI, and
current-dollar and chained (2005) dollar PCE for August and September -- revised and as published in last
month's release -- are shown below.

Estimates of wages and salaries were revised from April through September.  The revisions to second-quarter
wages and salaries reflect the incorporation of the most recently available BLS tabulations of the second-quarter
wages and salaries from the quarterly census of employment and wages.  Revised estimates for July, August, and
September reflect extrapolations from the revised second-quarter level of wages.  In addition, revisions to
August and September reflect revised BLS employment, hours, and earnings data.

                                                                Change from preceding month
                                        August                                    September
                                        Previous   Revised   Previous   Revised   Previous   Revised   Previous   Revised
                                       (Billions of dollars)      (Percent)      (Billions of dollars)      (Percent)
Personal Income:
 Current dollars                           -13.6     -11.3       -0.1      -0.1       17.3      15.5        0.1       0.1
Disposable personal income:
 Current dollars                           -12.8     -11.5       -0.1      -0.1       12.9       7.8        0.1       0.1
 Chained (2005) dollars                    -38.1     -36.4       -0.4      -0.4       -5.6     -11.0       -0.1      -0.1
Personal consumption expenditures:
 Current dollars                            24.2      17.9        0.2       0.2       68.7      74.5        0.6       0.7
 Chained (2005) dollars                     -3.8      -8.8        0.0      -0.1       44.3      48.4        0.5       0.5

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 receive
free e-mail summaries of BEA releases and announcements.

                                *          *          *

Next release – December 23, 2011 at 8:30 A.M. EST for Personal Income and Outlays for November

Release Dates for 2012

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January 2012....March 1                May 2012.....June 29            September 2012...October 29
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