Personal Income and Savings Rate Dip, Report Says

Consumers show slight declines

The latest Personal Income and Outlays report from the Bureau of Economic Analysis shows a slight drop in savings and income. Personal income decreased $10.8 billion, or 0.1%, and disposable personal income decreased $23.6 billion, or 0.2%, in October. Personal consumption expenditures increased $32.7 billion, or 0.3%.

In September, personal income increased $64.3 billion, or 0.5%, and DPI increased $62.1 billion, or 0.5%, and PCE increased $23.8 billion, or 0.2%, based on updated estimates.

Other findings:

  • Wages and salaries drop: Private wages and salaries rose $8.9 billion in October. This is a significant decline compared with an increase of $17.1 billion in September.
  • Supplemental income drops: Supplements to wages and salaries increased $2.1 billion in October, compared with an increase of $3.8 billion in September.
  • Personal taxes rise: Personal current taxes increased $12.8 billion in October, compared with an increase of $2.3 billion in September.
  • Personal savings rate declines: The personal savings rate was 4.8% in October, compared with 5.2% in September.
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