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.
- 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.