Personal Income – Disposable Income – Personal Consumption Expenditures All Up in May 2023

The U.S. Bureau of Economic Analysis (BEA) reported on Friday (6-30-23), that according to their estimates, personal income (PI) increased $91.2 billion, or 0.4% in May. Disposable personal income (DPI), personal income less personal current taxes, increased $86.7 billion, or 0.4% in May. Personal consumption expenditures (PCE) increased $18.9 billion, or 0.1% in May.

The PCE price index increased 0.1% in May. Excluding food and energy, the PCE price index increased 0.3%. Real DPI increased less than 0.3% in May and real PCE decreased by less than 0.1%;  goods decreased 0.4% and services increased 0.2%.

Year-over-year (Apr. 2022 – Apr. 2023) the PCE price index for May increased 3.8%. Reflecting prices for goods increasing 1.1% and the prices for services increasing 5.3%. Food prices increased 5.8% and energy prices decreased 13.4%. Excluding food and energy, the PCE price index increased 4.6% from one year ago.

Personal outlays, the sum of PCD, personal interest payments, and personal current transfer payments increased $22.7 billion in May. Personal saving was $910.3 billion in May, and the personal saving rate—personal saving as a percentage of disposable personal income—was 4.6% in May.