Americans' personal income growth and personal spending both rose May from the previous month, according to official figures released Friday.
Personal income climbed $114.1 billion, or 0.5%, at a monthly rate in May, according to the US Bureau of Economic Analysis.
The figure came in higher than market estimates of 0.4% and gained pace from a 0.3% monthly increase seen in April.
"The increase in current-dollar personal income in May primarily reflected increases in compensation, personal income receipts on assets, and government social benefits," the agency said in a statement.
Disposable personal income, which is personal income minus personal current taxes, rose $94 billion in May or 0.5%, from the previous month, when it was up 0.3%.
Personal spending, meanwhile, also referred to as personal consumption expenditures (PCE), gained $47.8 billion, or 0.2%, in May from the month before.
That figure showed a slight tick up from a 0.1% monthly gain in April, but came in slightly lower than the market expectations of a 0.3% gain.
"The $47.8 billion increase in current-dollar PCE in May reflected an increase of $34.2 billion in spending for services and a $13.6 billion increase in spending for goods," said the agency.
Within services, the largest contributors to the increase were health care, housing and utilities, and transportation services.
Within goods, the increase primarily reflected an increase in other non-durable goods, led by prescription drugs, while those was partly offset by a decrease in gasoline and other energy goods, said the agency.
Personal income figure for April, meanwhile, was revised down to $63 billion from $65.3 billion.
Disposable personal income for April, on the other hand, saw an upward revision to $52 billion from $40.2 billion. Personal consumption expenditures for April, however, had a downward revision to $26.3 billion from $39.1.
Personal outlays increased $56.4 billion in May, according to the US Bureau of Economic Analysis. The figure reflects the sum of personal consumption expenditures, personal interest payments, and personal current transfer payments.
Total personal saving, meanwhile, came in at $806.1 billion last month.
The personal saving rate, which shows personal saving as a percentage of disposable personal income, stood at 3.9% in May, up from 3.6% in April.
