US Personal Income Rises Less Than Expected

US personal income rose 0.2% month-over-month in June 2026, falling short of market expectations for a 0.3% increase and slowing from a 0.7% gain in May. The increase was driven by higher employee compensation, income receipts on assets, and government social benefits, partly offset by a decline in farm proprietors' income. Employee compensation rose by $32.3 billion, led by a $19.6 billion increase in private-sector wages and salaries. Income from assets increased on higher dividend and interest earnings, while government social benefits were supported mainly by higher Medicare and social security benefits. The decline in farm proprietors' income reflected the timing of payments under the American Relief Act of 2025. Meanwhile, disposable personal income also rose 0.2%, slowing from 0.7% in May, while real disposable personal income increased 0.3%, accelerating from a 0.2% gain in the previous month.

US personal income increased by 0.7% month-over-month in May 2026, surpassing market expectations of a 0.4% rise and accelerating from a flat reading in April. It marked the strongest monthly gain since July 2025, driven largely by a surge in farm proprietors' income, which rose by $59.6 billion following payments under the American Relief Act of 2025. During the month, the USDA issued a second round of Supplemental Disaster Relief Program payments to producers. Proprietors' income with inventory valuation and capital consumption adjustments rose by $84.6 billion, while employee compensation increased by $66.8 billion, including a $57.1 billion gain in wages and salaries. Private-sector wages climbed by $48.7 billion, while government wages increased by $8.4 billion. Meanwhile, disposable personal income rose 0.7%, or $164.9 billion, rebounding from a 0.1% decline in April. Real disposable personal income also increased by 0.3%, following a 0.5% drop in the previous month.

US personal income was unchanged month-over-month in April 2026, falling short of market expectations for a 0.4% increase and following a slightly downwardly revised 0.5% gain in March. The flat reading was largely due to a $61.7 billion drop in farm proprietors’ income, reflecting lower payments under the Farmer Bridge Assistance Program after applications closed in mid-April. Proprietors’ income with inventory valuation and capital consumption adjustments also fell by $57.8 billion. The decline was partly offset by a $39.6 billion increase in compensation, including a $32.4 billion rise in wages and salaries. Private-sector wages and salaries increased by $28.5 billion, while government wages and salaries rose by $3.9 billion. Meanwhile, disposable personal income fell 0.1%, or $19.9 billion, after rising 0.5% in the previous month. Real disposable personal income declined 0.5%, deepening from an upwardly revised 0.2% decrease in March.