Personal income increased $86.2 billion (0.3% at a monthly rate) in December, according to estimates released by the U.S. Bureau of Economic Analysis.
Disposable personal income (DPI)—personal income less personal current taxes—increased $75.7 billion (0.3%), and personal consumption expenditures (PCE) increased $91.0 billion (0.4%).
That number is critical since it’s one of the key numbers that the Fed looks at regarding potential interest rate cuts.
This report for December 2025, originally scheduled for January 29, 2026, was rescheduled due to the October–November 2025 government shutdown.
Personal outlays—the sum of PCE, personal interest payments, and personal current transfer payments—increased $90.2 billion in December. Personal saving was $830.8 billion in December, and the personal saving rate—personal saving as a% age of disposable personal income—was 3.6%.
The increase in current-dollar personal income in December primarily reflected increases in personal current transfer receipts and compensation.
The $91.0 billion increase in current-dollar PCE reflected an increase of $98.5 billion in spending on services and a decrease of $7.5 billion in spending on goods.
