US consumer spending increases US$63B, or 0.5%, in November from October as personal income rises US$30.1B, or 0.2%, disposable personal income climbs US$16.2B, or 0.1%: Dept. of Commerce

Allison Oesterle

WASHINGTON , December 23, 2013 (press release) – Personal income increased $30.1 billion, or 0.2 percent, and disposable personal income (DPI) increased $16.2 billion, or 0.1 percent in November according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $63.0 billion, or 0.5 percent. In October, personal income decreased $11.7 billion, or 0.1 percent, DPI decreased $25.6 billion, or 0.2 percent, and PCE increased $44.2 billion, or 0.4 percent, based on revised estimates.

Real disposable personal income increased 0.1 percent in November, in contrast to a decrease of 0.2 percent in October. Real PCE increased 0.5 percent in November, compared with an increase of 0.4 percent in October.

2013
                                        July            Aug.            Sept.           Oct.            Nov.
                                                       (Percent Change from preceding month)
Personal income, current dollars        0.1             0.5             0.4            -0.1             0.2
Disposable personal income:
 Current dollars                        0.3             0.6             0.5            -0.2             0.1
 Chained (2009) dollars                 0.2             0.5             0.4            -0.2             0.1
Personal consumption expenditures:
 Current dollars                        0.2             0.3             0.3             0.4             0.5
 Chained (2009) dollars                 0.1             0.2             0.2             0.4             0.5

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 BEA's Web site at www.bea.gov/newsreleases/rels.htm.
_________________

Wages and salaries

Private wages and salaries increased $26.1 billion in November, compared with an increase of $9.9 billion in October. Goods producing industries' payrolls increased $8.3 billion, compared with an increase of $1.4 billion; manufacturing payrolls increased $4.8 billion, compared with an increase of $1.5 billion. Services-producing industries' payrolls increased $17.8 billion, compared with an increase of $8.6 billion. Government wages and salaries increased $1.0 billion, in contrast to a decrease of $0.1 billion.

Other personal income

Supplements to wages and salaries increased $3.3 billion in November, compared with an increase of $2.3 billion in October.

Proprietors' income decreased $5.0 billion in November, compared with a decrease of $18.1 billion in October. Farm proprietors' income decreased $12.0 billion in November, compared with a decrease of $22.2 billion in October. Nonfarm proprietors' income increased $7.0 billion, compared with an increase of $4.0 billion.

Rental income of persons increased $1.9 billion in November, compared with an increase of $2.1 billion in October. Personal income receipts on assets (personal interest income plus personal dividend income) increased $5.9 billion, in contrast to a decrease of $5.4 billion. Personal current transfer receipts increased $0.6 billion, in contrast to a decrease of $1.0 billion

Contributions for government social insurance -- a subtraction in calculating personal income -- increased $3.7 billion in November, compared with an increase of $1.4 billion in October.

Personal current taxes and disposable personal income

Personal current taxes increased $14.0 billion in November, compared with an increase of $13.8 billion in October. Disposable personal income (DPI) -- personal income less personal current taxes -- increased $16.2 billion, or 0.1 percent in November, in contrast to a decrease of $25.6 billion, or 0.2 percent in October.

Personal outlays and savings

Personal outlays -- PCE, personal interest payments, and personal current transfer payments -- increased $62.6 billion in November, compared with an increase of $43.9 billion in October. PCE increased $63.0 billion, compared with an increase of $44.2 billion.

Personal saving -- DPI less personal outlays -- was $525.4 billion in November, compared with $571.8 billion in October.The personal saving rate -- personal saving as a percentage of disposable personal income -- was 4.2 percent in November, compared with 4.5 percent in October. 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 (formerly called flow of funds accounts) 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 November, in contrast to a decrease of 0.2 percent in October.

Real PCE -- PCE adjusted to remove price changes -- increased 0.5 percent in November, compared with an increase of 0.4 percent in October. Purchases of durable goods increased 2.2 percent in November, compared with an increase of 1.2 percent in October. Purchases of motor vehicles and parts accounted for over half of the November increase. Purchases of nondurable goods decreased less than 0.1 percent in November, in contrast to an increase of 0.8 percent in October. Purchases of services increased 0.4 percent, compared with an increase of 0.1 percent.

The price index for PCE increased less than 0.1 percent in November, in contrast to a decrease of less than 0.1 percent in October. The PCE price index, excluding food and energy, increased 0.1 percent in November, the same increase as in October.

Revisions

Estimates for personal income and DPI have been revised for July through October. Changes in personal income, in current-dollar and chained (2009) dollar DPI, and in current-dollar and chained (2009) dollar PCE for September and October -- revised and as published in last month's release -- are shown below.

   Change from preceding month
                                        September                                 October
                                        Previous   Revised   Previous   Revised   Previous   Revised   Previous   Revised
                                       (Billions of dollars)      (percent)      (Billions of dollars)      (percent)
Personal income:
 Current dollars                            64.3      63.1        0.5       0.4      -10.8     -11.7       -0.1      -0.1
Disposable personal income:
 Current dollars                            62.1      62.2        0.5       0.5      -23.6     -25.6       -0.2      -0.2
 Chained (2009) dollars                     44.7      44.8        0.4       0.4      -18.5     -20.9       -0.2      -0.2
Personal consumption expenditures:
 Current dollars                            23.8      37.4        0.2       0.3       32.7      44.2        0.3       0.4
 Chained (2009) dollars                     10.1      22.8        0.1       0.2       33.5      43.8        0.3       0.4

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