Personal Income and Spending Up 0.2% for March

Personal income, disposable personal income, and personal spending all bumped up 0.2% for March, according to a Commerce Department report (link opens in PDF) released today.

After the percentage increase in income outpaced the spending increase for February, this newest report puts making money and spending money on a more even keel. Market analysts had expected a 0.4% increase in personal income, and only a 0.1% bump in consumer spending. In terms of what people were paying, analysts' predictions of a 0.1% drop in the price index for personal consumption expenditures proved accurate.

On an absolute basis, private wages and salaries increased $14.9 billion overall (0.2%) from February to March, although the last three months have seen a $15 billion drop in annualized wages and salaries due to fiscal cliff tax-hike fears that drove up income in 2012.

Personal savings, the difference between disposable personal income and personal spending, remained steady at $329.1 billion in March, equivalent to a 2.7% savings rate.

Looking back over the last year, consumer spending has increased 3.5%, outstripping personal income's 2.5% bump by a full percentage point.


Read/Post Comments (0) | Recommend This Article (1)

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2394811, ~/Articles/ArticleHandler.aspx, 8/23/2016 9:42:16 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 26 minutes ago Sponsored by:
DOW 18,547.30 17.88 0.10%
S&P 500 2,186.90 4.26 0.20%
NASD 5,260.08 15.48 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes