The following is the unedited transcript of the news release from the Bureau of Economic Analysis.


Personal income increased $225.7 billion, or 1.9 percent, and disposable personal income (DPI) increased $600.3 billion, or 5.7 percent, in May, according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $77.4 billion, or 0.8 percent. In April, personal income increased $33.5 billion, or 0.3 percent, DPI increased $39.8 billion, or 0.4 percent, and PCE increased $41.1 billion, or 0.4 percent, based on revised estimates.


Real disposable income increased 5.3 percent in May, compared with an increase of 0.1 percent in April. Real PCE increased 0.4 percent, compared with an increase of 0.2 percent.


The May and April changes in disposable personal income (DPI) -- personal income less personal current taxes -- were boosted as a result of provisions of the Economic Stimulus Act of 2008. The federal government issued rebate payments of $48.1 billion in May ($577.1 billion at an annual rate) and $1.9 billion in April ($23.3 billion at an annual rate). These payments reduced personal current taxes and increased government social benefit payments. As a result, disposable personal income increased substantially. Excluding these special factors, which are discussed more fully below, disposable personal income increased $46.4 billion or 0.4 percent in May, after increasing $16.6 billion, or 0.2 percent, in April.

Wages and salaries

Private wage and salary disbursements increased $15.9 billion in May, in contrast to a decrease of $9.6 billion in April. Goods-producing industries'' payrolls increased $1.7 billion, in contrast to a decrease of $6.8 billion; manufacturing payrolls increased $1.1 billion, in contrast to a decrease of $2.7 billion. Services-producing industries'' payrolls increased $14.3 billion, in contrast to a decrease of $2.9 billion. Government wage and salary disbursements increased $3.7 billion, compared with an increase of $4.0 billion.

Other personal income

Supplements to wages and salaries increased $4.3 billion in May, the same increase as in April. Proprietors'' income increased $6.4 billion in May, compared with an increase of $4.3 billion in April. Farm proprietors'' income increased $3.0 billion, compared with an increase of $2.1 billion. Nonfarm proprietors'' income increased $3.4 billion, compared with an increase of $2.2 billion.

Rental income of persons increased $10.0 billion, compared with an increase of $9.8 billion.
Personal income receipts on assets (personal interest income plus personal dividend income)
increased $1.0 billion, compared with an increase of $0.6 billion.

Personal current transfer receipts increased $186.8 billion in May, compared with an increase
of $19.3 billion in April. Provisions of the Economic Stimulus Act of 2008 boosted the level of personal current transfer receipts by $179.6 billion at an annual rate in May and $7.8 billion at an annual rate in April. The increase reflected payments to individuals who either paid no income tax or whose payment exceeded the amount of income tax paid.

Contributions for government social insurance -- a subtraction in calculating personal income -- increased $2.4 billion in May, in contrast to a decrease of $0.9 billion in April.


Personal current taxes and disposable personal income

Personal current taxes decreased $374.5 billion in May, compared with a decrease of $6.4
billion in April. A reduction in federal income taxes accounted for the decreases in May and in April. Provisions of the Economic Stimulus Act of 2008 reduced the level of personal current taxes by $397.5 billion at an annual rate in May and $15.5 billion at an annual rate in April. The reduction in current personal taxes reflected rebate payments to eligible individual taxpayers.

Disposable personal income (DPI) -- personal income less personal current taxes -- increased
$600.3 billion, or 5.7 percent, in May, compared with an increase of $39.8 billion, or 0.4 percent, in April.

Personal outlays and personal saving