Personal Income Growth Slowed in March

Personal income increased $6.2 billion, or less than 0.1 percent in March, according to the Bureau of Economic Analysis—a sharp decline from February’s estimate. Personal consumption expenditures (PCE) increased $53.4 billion, or 0.4 percent, after a gain of 0.2 percent in February.

Although nominal disposable personal income (DPI) increased $1.6 billion, real DPI actually decreased 0.2% in March.

The price index (deflator) for PCE increased 0.2 percent in March, consistent with February’s increase. The PCE price index (deflator) excluding food and energy increased 0.1 percent, the same increase as in February.

Private wages and salaries increased $15.2 billion in March, down from $22.6 billion in February, as the services sector declined by nearly half.

Proprietors’ income decreased $1.5 billion in March after falling $7.7 billion in February. Rental income increased $3.2 billion in March. Personal income receipts on assets decreased by $33.1 billion, after increasing $29.7 billion in February.