US personal income increased 0.2% month-over-month in June 2026, below market expectations of a 0.3% rise and decelerating from the 0.7% gain recorded in May. The advance was led by higher employee compensation, income receipts on assets, and government social benefits, partially offset by a decline in farm proprietors’ income.
Employee compensation rose by $32.3 billion, driven primarily by a $19.6 billion increase in private-sector wages and salaries. Income from assets climbed on the back of higher dividend and interest earnings, while government social benefits were boosted mainly by increased Medicare and Social Security payments. The drop in farm proprietors’ income reflected the timing of payments under the American Relief Act of 2025.
Disposable personal income also grew 0.2% in June, slowing from a 0.7% increase in May. In real terms, disposable personal income rose 0.3%, picking up from a 0.2% gain in the previous month.
