EMBARGOED UNTIL RELEASE AT 8:30 A.M. EDT, Wednesday, June 29, 2016
BEA 16—33


* See the navigation bar at the right side of the news release text for links to data tables,
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Technical: James Rankin (301) 278-9087 (Personal Income) piniwd@bea.gov
  Harvey Davis (301) 278-9086 (Personal Consumption Expenditures) pce@bea.gov
Media: Jeannine Aversa (301) 278-9003   jeannine.aversa@bea.gov
PERSONAL INCOME AND OUTLAYS, MAY 2016
Personal income increased $37.1 billion, or 0.2 percent, and disposable personal income (DPI) increased
$33.9 billion, or 0.2 percent, in May, according to the Bureau of Economic Analysis.  Personal consumption
expenditures (PCE) increased $53.5 billion, or 0.4 percent.  In April, personal income increased
$75.4 billion, or 0.5 percent, DPI increased $68.6 billion, or 0.5 percent, and PCE increased
$141.2 billion, or 1.1 percent, based on revised estimates.

Real DPI increased 0.1 percent in May, compared with an increase of 0.2 percent in April.
Real PCE increased 0.3 percent, compared with an increase of 0.8 percent.

                                        2016
                                        Jan.            Feb.            Mar.            Apr.            May
                                                       (Percent change from preceding month)
Personal income, current dollars        0.4             0.1             0.3             0.5             0.2
Disposable personal income:
 Current dollars                        0.6             0.1             0.3             0.5             0.2
 Chained (2009) dollars                 0.4             0.2             0.3             0.2             0.1
Personal consumption expenditures:
 Current dollars                        0.1             0.2             0.0             1.1             0.4
 Chained (2009) dollars                 0.0             0.3            -0.1             0.8             0.3

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 BEAs Web site at www.bea.gov/newsreleases/rels.htm.
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                                Compensation

Wages and salaries increased $14.7 billion in May, compared with an increase of $40.4 billion in April.
Private wages and salaries increased $11.8 billion, compared with an increase of $38.7 billion.  Government
wages and salaries increased $2.9 billion, compared with an increase of $1.6 billion.

Supplements to wages and salaries increased $4.6 billion in May, compared with an increase of $6.0 billion in April.

                                Other personal income

Proprietors' income increased $1.2 billion in May, compared with an increase of $10.0 billion in April.
Farm proprietors' income increased $1.0 billion, the same increase as in April. Nonfarm proprietors' income
increased $0.1 billion in May, compared with an increase of $9.0 billion in April.

Rental income of persons increased $3.7 billion in May, compared with an increase of $3.3 billion in April.
Personal income receipts on assets (personal interest income plus personal dividend income) increased $9.7 billion,
compared with an increase of $8.5 billion.

Personal current transfer receipts increased $4.8 billion in May, compared with an increase of $12.2 billion in April.

Contributions for government social insurance -- a subtraction in calculating personal income -- increased $1.6 billion
in May, compared with an increase of $4.8 billion in April.

                                Personal current taxes and disposable personal income

Personal current taxes increased $3.1 billion in May, compared with an increase of $6.8 billion in April.  Disposable
personal income (DPI) -- personal income less personal current taxes -- increased $33.9 billion, or 0.2 percent, compared
with an increase of $68.6 billion, or 0.5 percent.

                                Personal outlays and personal saving

Personal outlays -- PCE, personal interest payments, and personal current transfer payments -- increased $57.0 billion
in May, compared with an increase of $144.6 billion in April.  PCE increased $53.5 billion, compared with an increase
of $141.2 billion.

Personal saving -- DPI less personal outlays -- was $730.6 billion in May, compared with $753.7 billion in April.
The personal saving rate -- personal saving as a percentage of disposable personal income -- was 5.3 percent, compared
with 5.4 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 0.1 percent in May, compared with an increase of 0.2
percent in April.

Real PCE -- PCE adjusted to remove price changes -- increased 0.3 percent in May, compared with an increase of 0.8
percent in April.  Purchases of durable goods increased 0.6 percent, compared with an increase of 2.6 percent. Purchases
of nondurable goods increased 0.5 percent, compared with an increase of 1.0 percent.  Purchases of services increased
0.1 percent, compared with an increase of 0.5 percent.

The price index for PCE increased 0.2 percent in May, compared with an increase of 0.3 percent in April.  The PCE

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

The May PCE price index increased 0.9 percent from May a year ago. The May PCE price index, excluding food and
energy, increased 1.6 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 for 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                            56.7      54.3        0.4       0.3       69.8      75.4        0.4       0.5
Disposable personal income:
 Current dollars                            49.6      48.1        0.4       0.3       63.5      68.6        0.5       0.5
 Chained (2009) dollars                     37.6      35.8        0.3       0.3       19.2      23.9        0.2       0.2
Personal consumption expenditures:
 Current dollars                             3.7      -0.3        0.0       0.0      119.2     141.2        1.0       1.1
 Chained (2009) dollars                     -3.5      -7.5        0.0      -0.1       73.3      93.3        0.6       0.8


BOX._____________________
                                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 "Preview of the Upcoming Annual NIPA Revision" included
in the May Survey of Current Business article on "GDP and the Economy".
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BEA's news release schedule is available at www.bea.gov/newsreleases/news_release_sort_national.htm

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Next release  August 2, 2016 at 8:30 A.M. EDT Personal Income and Outlays for June