#FUNDAMENTAL
Personal income increased $194.7 billion (0.8 percent at a monthly rate) in February, according to estimates released today by the U.S. Bureau of Economic Analysis. Disposable personal income (DPI)—personal income less personal current taxes—increased $191.6 billion (0.9 percent) and personal consumption expenditures (PCE) increased $87.8 billion (0.4 percent).
Personal outlays—the sum of PCE, personal interest payments, and personal current transfer payments—increased $118.4 billion in February. Personal saving was $1.02 trillion in February and the personal saving rate—personal saving as a percentage of disposable personal income—was 4.6 percent.
Disposable Personal Income, Outlays, and Saving
The increase in current-dollar personal income in February primarily reflected increases in personal current transfer receipts and compensation.
The $87.8 billion increase in current-dollar PCE in February reflected increases of $56.3 billion in spending for goods and $31.5 billion in spending for services.
Changes in Monthly Consumer Spending, February 2025
From the preceding month, the PCE price index for February increased 0.3 percent. Excluding food and energy, the PCE price index increased 0.4 percent.
Percent Change in PCE Price Indexes from Month One Year Ago
From the same month one year ago, the PCE price index for February increased 2.5 percent. Excluding food and energy, the PCE price index increased 2.8 percent from one year ago.
Personal Income and Related Measures
[Percent change from Jan. to Feb.]
Current-dollar personal income 0.8
Current-dollar disposable personal income 0.9
Real disposable personal income 0.5
Current-dollar personal consumption expenditures (PCE) 0.4
Real PCE 0.1
PCE price index 0.3
PCE price index, excluding food and energy 0.4
