Spending rose faster than purchasing power
September’s cash and real measures diverged.
- Event / announcement date
- 2026-10-29
September spending rose 0.5% from August in dollars but less than 0.1% after inflation, BEA reported October 29. Disposable income increased 0.2% nominally yet fell 0.3% in real terms; the saving rate was 3.8%. PCE’s price index rose 0.5% monthly and 3.6% year over year. [1]
BEA’s guide defines saving as income after taxes and outlays, including interest and transfers as well as purchases. Dividing that flow by disposable income produces the saving rate; it does not count personal bank balances. PCE also covers purchases made on residents’ behalf, not solely household checkout payments. [2]
The release revised July and August incomes using updated payroll and interest data. Comparisons with previous months therefore need a consistent estimate vintage. [1]
The source
- BEA: September income and spending ↗
Source date 2026-10-29 · reviewed October 29, 2026 · publication - BEA: Income and saving definitions ↗
Undated reference · reviewed October 29, 2026 · Undated reference.
About this item: News report. No first-hand reporting or independent testing is claimed. Corrections policy.
