Personal Income, Disposable Income, and Personal Consumption Expenditures All Increased in February 2022

The U.S. Bureau of Economic Analysis (BEA) reported on Thursday (3-31-22) that, according to their estimates, personal income (PI) increased $101.5 billion (0.5%) in February. Disposable personal income (DPI) increased $76.1 billion (0.4%) in February. Personal consumption expenditures (PCE) increased $34.9 billion (0.2%) in February.

Real DPI decreased -0.2% in February, while Real PCE decreased 0.4%; goods decreased 2.1% and spending on services increased 0.6%. The PCE price index for February increased 0.6%. Excluding food and energy, the PCE price index for February increased 0.4%.

Year-over-year, the PCE price index for February increased 6.4%, reflecting increases in both goods and services. Energy prices increased 25.7% while food prices increased 8.0%. Excluding food and energy, the PCE price index for January increased 5.4% from one year ago.

Personal outlays increased $37.3 billion in February. Personal saving was $1.15 trillion in February and the personal saving rate—personal saving as a percentage of disposable personal income—was 6.3.%