Regional Quarterly Report: GDP, personal income, and more.

By David G. Lenze  |  Volume 98, Number 10  |  October 19, 2018

State personal income for 2017

State personal income growth accelerated in 42 states, including the four largest states—California, Florida, New York, and Texas—in 2017.1 State personal income grew 4.4 percent on average in 2017, up from 2.6 percent in 2016 (table A). Inflation, as measured by the national price index for personal consumption expenditures, accelerated to 1.8 percent in 2017 from 1.1 percent in 2016. Across all states, personal income growth rates in 2017 ranged from −0.7 percent in North Dakota to 6.1 percent in Washington (table A).

Table A. Percent Change in Personal Income and Select Components by State
  2016 2017
Personal income Compensation Proprietors' income with IVA and CCAdj Dividends, interest, and rent Personal current transfer receipts Contributions for government social insurance Personal income Compensation Proprietors' income with IVA and CCAdj Dividends, interest, and rent Personal current transfer receipts Contributions for government social insurance
United States 2.6 2.7 −0.3 2.8 3.5 2.9 4.4 4.5 5.7 4.7 2.9 4.7
Alabama 2.0 2.4 −4.0 2.1 2.4 1.8 4.1 3.7 11.3 4.2 3.4 4.0
Alaska −2.0 −3.0 −6.4 1.8 −0.4 −3.1 2.0 0.0 7.9 3.8 4.6 1.0
Arizona 3.8 4.1 6.7 3.1 2.7 4.4 5.6 5.6 11.6 4.7 4.4 6.1
Arkansas 2.2 2.7 −9.0 2.0 3.8 0.9 3.8 3.8 4.5 5.5 2.1 3.1
California 4.0 4.2 2.9 4.3 3.5 4.2 4.6 6.0 4.6 4.8 −1.1 5.0
Colorado 1.9 3.0 −11.3 4.0 4.2 2.9 5.8 6.0 12.0 4.7 2.5 5.8
Connecticut 1.4 0.6 6.0 1.6 3.1 1.8 3.3 1.6 −0.5 5.1 1.7 2.3
Delaware 2.0 0.3 −0.9 1.9 4.3 0.7 4.1 4.4 −4.4 5.0 6.4 3.3
District of Columbia 4.1 3.6 8.7 0.9 7.2 3.4 4.7 4.0 8.6 4.6 1.6 4.1
Florida 3.7 4.2 3.7 2.6 4.3 4.7 5.0 5.0 5.3 4.9 5.0 4.8
Georgia 4.0 4.6 2.9 2.8 3.6 4.3 4.7 4.8 9.7 3.6 3.6 4.9
Hawaii 3.3 3.1 −0.1 4.5 3.7 2.3 3.7 3.4 4.7 4.1 3.9 3.9
Idaho 3.7 5.9 −6.0 4.0 4.3 4.9 5.5 6.6 2.4 5.4 4.5 6.1
Illinois 1.4 1.7 −1.0 2.0 0.7 1.6 3.0 3.4 −3.0 4.4 3.0 3.0
Indiana 3.4 3.9 3.0 2.7 2.4 2.2 4.1 4.6 1.6 5.0 3.0 4.0
Iowa 0.7 3.3 −19.2 3.2 2.6 4.2 2.0 3.0 −6.5 4.2 −0.4 2.9
Kansas 0.6 0.5 −6.9 2.7 3.4 −1.5 2.4 2.3 −0.1 4.0 2.3 2.6
Kentucky 1.5 2.3 −5.3 2.9 0.6 2.4 3.3 3.0 6.3 4.2 3.0 2.9
Louisiana −0.3 −1.4 −12.1 2.1 6.5 −1.3 2.5 2.0 0.2 3.6 4.2 2.5
Maine 2.8 3.1 −0.5 3.3 2.5 2.2 4.2 3.9 7.1 4.8 3.5 4.3
Maryland 3.7 2.9 13.8 1.7 5.4 3.1 4.1 3.5 8.2 5.0 2.4 3.8
Massachusetts 3.1 2.7 8.1 2.2 4.4 3.5 4.3 5.0 6.3 4.4 1.4 5.1
Michigan 3.1 3.8 −0.6 2.5 2.5 2.7 3.5 4.2 6.0 4.0 0.6 4.0
Minnesota 2.3 3.5 −10.0 3.1 3.5 2.6 4.0 4.7 −0.2 4.5 3.2 4.3
Mississippi 1.9 2.3 −8.1 2.7 3.3 1.6 2.3 2.3 3.6 3.8 1.0 2.8
Missouri 2.1 1.2 5.4 2.4 2.9 2.3 3.6 3.5 3.1 5.1 2.5 3.1
Montana 2.0 1.9 −8.4 2.8 7.9 −1.1 4.2 4.1 −1.3 4.3 7.0 4.7
Nebraska −0.8 2.8 −20.7 2.7 4.0 1.6 3.0 3.5 −1.2 4.2 3.9 4.7
Nevada 3.0 4.0 −12.9 3.5 5.4 3.8 5.8 5.1 19.7 4.8 4.4 3.8
New Hampshire 3.8 2.5 4.0 3.0 6.2 3.5 5.1 3.9 11.3 4.6 3.8 5.9
New Jersey 2.5 1.8 3.7 2.2 4.0 1.6 4.6 3.4 9.2 4.2 2.3 4.2
New Mexico 1.5 1.1 −3.2 2.3 2.4 0.1 2.4 2.3 6.1 3.6 0.1 1.6
New York 3.0 1.7 13.7 2.9 2.6 3.1 6.0 5.1 10.7 5.5 10.1 5.7
North Carolina 3.3 3.2 4.5 3.3 3.3 3.0 4.7 4.6 8.0 4.5 3.9 3.8
North Dakota −1.6 −5.9 4.3 0.5 3.9 −4.8 −0.7 2.7 −29.1 4.1 2.0 3.7
Ohio 1.8 2.0 −2.5 2.7 2.5 3.7 3.8 4.1 3.8 4.8 2.5 5.7
Oklahoma −4.4 −1.9 −27.4 1.0 3.4 −0.8 5.6 3.3 24.8 4.0 2.7 4.5
Oregon 4.8 5.2 7.5 4.7 3.0 4.9 5.2 5.5 11.6 4.6 2.6 7.5
Pennsylvania 2.3 0.9 4.3 1.9 5.3 2.0 3.9 4.0 7.9 5.2 0.5 5.3
Rhode Island 1.4 1.9 −6.3 2.3 0.5 1.7 4.1 3.6 −1.3 4.6 4.4 3.1
South Carolina 3.7 3.4 2.3 4.0 3.5 3.4 4.6 4.8 6.3 5.5 3.1 5.4
South Dakota 0.6 3.1 −12.4 2.9 4.2 3.0 1.6 3.7 −11.6 5.0 3.0 2.9
Tennessee 3.5 4.4 2.4 3.9 2.4 3.7 4.6 4.5 8.1 5.3 2.9 5.7
Texas 0.4 1.2 −9.7 1.3 5.4 2.3 4.1 4.5 3.9 4.6 2.5 5.3
Utah 5.4 6.2 1.0 4.5 5.7 5.5 5.0 5.8 3.1 5.1 3.3 7.5
Vermont 2.3 2.9 −0.9 2.8 2.0 2.5 3.2 3.0 8.3 3.8 1.4 4.4
Virginia 1.8 1.6 −4.6 2.1 3.9 1.8 4.0 4.0 3.3 4.5 4.2 4.6
Washington 5.1 6.0 −0.2 3.8 5.8 4.4 6.1 6.8 9.8 5.0 3.5 7.5
West Virginia −0.2 −1.9 −4.1 1.9 2.2 0.3 3.4 4.1 1.5 3.9 2.8 5.7
Wisconsin 2.1 2.8 −5.6 3.1 1.3 1.9 3.6 3.5 2.0 3.9 4.5 4.1
Wyoming −3.2 −5.1 −12.5 0.7 4.6 −3.9 2.4 2.3 −2.4 3.7 3.9 3.1
CCAdj
Capital consumption adjustment
IVA
Inventory valuation adjustment

These statistics reflect the initial results of the latest comprehensive update of the quarterly and annual state personal income statistics, released by the Bureau of Economic Analysis (BEA) on September 25, 2018; the results of the previous comprehensive update were released in September 2013. For more information, see the section “Updates to State Personal Income.”

Compensation of employees, the largest component of personal income, grew 4.5 percent on average in 2017, up from 2.7 percent in 2016.2 Growth was strongest in the states of Washington (6.8 percent), Idaho (6.6 percent), Colorado (6.0 percent), and California (6.0 percent). In all four states, growth accelerated from 2016. Growth was slowest in Alaska (less than 0.1 percent),3 Connecticut (1.6 percent), and Louisiana (2.0 percent).

Proprietors’ income, which represents the income earned from current production by unincorporated businesses that is received by persons, rose 5.7 percent for the United States in 2017 after falling 0.3 percent in 2016. Farm proprietors’ income continued to fall in 2017 in the farm belt (Iowa, Kansas, Minnesota, Nebraska, North Dakota, and South Dakota). Farm proprietors’ income fell $3.2 billion in these six states but rose $0.2 billion nationally (table B). Nonfarm proprietors’ income for the United States rose 5.8 percent in 2017, with the largest increases in Oklahoma (24.8 percent) and Nevada (19.6 percent). In Oklahoma, nonfarm proprietors’ income contributed more to personal income growth ($4.7 billion) than any other component, while in North Dakota, the declines in nonfarm and farm proprietors’ income ($1.232 billion) more than accounted for the state’s personal income decline (table C).

Table B. Proprietors' Income with IVA and CCAdj, Select States
[Millions of dollars]
  Change from previous year
Farm Nonfarm
2016 2017 2016 2017
United States −20,403 242 16,356 80,193
Iowa −2,541 −763 −462 −53
Kansas 353 −270 −1,504 248
Minnesota −1,909 −796 −476 763
Nebraska −1,302 −407 −1,872 257
North Dakota 539 −766 −366 −466
South Dakota −585 −216 −263 −477
CCAdj
Capital consumption adjustment
IVA
Inventory valuation adjustment
Table C. Change in State Personal Income by Component and by State, 2016–2017
[Millions of dollars]
  Change from previous year
2016 2017
Personal income Compensation1 Proprietors' income with IVA and CCAdj Dividends, interest, and rent Personal current transfer receipts Contributions for government social insurance Adjustment for residence Personal income Compensation1 Proprietors' income with IVA and CCAdj Dividends, interest, and rent Personal current transfer receipts Contributions for government social insurance Adjustment for residence
Farm Nonfarm Farm Nonfarm
United States 403,996 259,667 −20,403 16,356 88,021 95,025 34,465 −205 704,620 451,244 242 80,193 150,280 81,607 58,683 −263
Alabama 3,690 2,596 −595 84 706 1,046 258 110 7,925 4,181 456 933 1,418 1,506 586 16
Alaska −830 −829 2 −232 131 −27 −99 27 840 −2 −7 274 284 308 29 12
Arizona 10,181 6,688 83 1,171 1,637 1,478 926 51 15,661 9,604 344 1,961 2,595 2,478 1,346 26
Arkansas 2,521 1,716 −319 −372 510 1,037 80 28 4,544 2,497 484 −167 1,442 609 281 −41
California 86,114 55,055 −2,886 9,343 19,991 11,324 6,547 −166 104,716 82,908 2,592 8,092 23,159 −3,614 8,195 −227
Colorado 5,478 5,316 −390 −2,837 2,494 1,565 644 −26 16,790 10,891 139 2,923 3,062 977 1,307 106
Connecticut 3,501 857 −49 1,646 859 999 301 −510 8,200 2,202 3 −156 2,788 554 376 3,185
Delaware 905 90 −49 16 153 385 27 337 1,865 1,353 74 −237 421 595 129 −212
District of Columbia 2,094 3,067 0 633 82 439 326 −1,801 2,470 3,517 0 681 436 105 414 −1,854
Florida 34,034 20,601 −1,106 3,095 6,670 7,706 2,989 56 47,363 25,460 −150 3,137 12,633 9,337 3,164 110
Georgia 16,729 12,660 −716 1,673 2,128 2,652 1,421 −246 20,828 13,714 339 2,965 2,830 2,692 1,691 −21
Hawaii 2,327 1,386 −76 73 673 405 134 0 2,705 1,585 15 245 645 443 227 0
Idaho 2,444 2,049 −362 −135 573 513 247 53 3,758 2,450 20 167 815 559 326 74
Illinois 9,233 7,412 2,344 −2,893 2,668 698 789 −209 20,385 14,858 −1,079 −489 5,908 3,057 1,510 −361
Indiana 9,459 6,654 315 493 1,170 1,339 484 −28 11,844 8,237 −670 1,123 2,250 1,662 905 146
Iowa 974 2,894 −2,541 −462 874 630 473 53 2,886 2,677 −763 −53 1,178 −90 346 282
Kansas 867 427 353 −1,504 711 727 −165 −13 3,354 1,935 −270 248 1,061 501 287 165
Kentucky 2,651 2,429 −552 −79 791 256 336 142 5,814 3,260 172 535 1,179 1,268 422 −177
Louisiana −534 −1,697 56 −2,316 704 2,687 −183 −152 4,973 2,409 60 −26 1,239 1,844 335 −218
Maine 1,599 1,031 −87 65 355 323 98 11 2,483 1,360 −4 320 530 462 199 13
Maryland 12,584 5,795 −92 4,067 1,109 2,531 782 −43 14,379 7,319 65 2,637 3,308 1,197 999 851
Massachusetts 13,241 7,609 −20 2,923 1,925 2,779 1,151 −823 19,118 14,602 −9 2,449 3,847 950 1,740 −980
Michigan 13,375 10,130 −307 119 1,904 2,309 948 168 15,738 11,491 −395 2,131 3,164 532 1,441 256
Minnesota 6,621 6,573 −1,909 −476 1,685 1,567 623 −196 11,780 9,048 −796 763 2,496 1,463 1,051 −142
Mississippi 2,022 1,347 −73 −559 450 918 124 64 2,409 1,361 164 90 655 270 228 97
Missouri 5,351 2,022 295 768 1,148 1,477 486 128 9,481 5,961 148 482 2,478 1,328 662 −254
Montana 883 460 −215 −197 310 640 −41 −155 1,930 1,020 −327 270 484 608 167 43
Nebraska −724 1,577 −1,302 −1,872 505 543 121 −55 2,826 2,064 −407 257 802 548 356 −83
Nevada 3,827 3,067 −94 −973 1,097 1,120 355 −34 7,630 4,012 6 1,407 1,545 975 372 57
New Hampshire 2,817 1,068 −38 316 397 662 186 598 3,875 1,713 −1 818 624 430 324 615
New Jersey 13,400 5,423 −90 2,005 2,231 3,101 636 1,366 25,394 10,525 −9 4,895 4,350 1,820 1,714 5,528
New Mexico 1,231 538 15 −172 361 458 8 39 1,943 1,104 37 253 563 12 104 77
New York 35,633 13,247 −347 14,594 7,209 5,224 2,830 −1,464 72,737 39,795 134 12,539 14,043 20,826 5,374 −9,227
North Carolina 13,877 8,426 −701 2,065 2,569 2,760 1,051 −190 20,541 12,421 474 2,063 3,686 3,327 1,370 −61
North Dakota −663 −1,682 539 −366 42 208 −184 411 −283 717 −766 −466 355 111 136 −98
Ohio 9,152 6,743 −75 −956 2,346 2,581 1,451 −35 19,772 13,630 −326 1,811 4,288 2,626 2,328 72
Oklahoma −7,529 −1,831 −968 −6,226 311 1,058 −95 30 9,328 3,066 4 4,720 1,261 874 552 −45
Oregon 8,622 5,855 −305 1,424 1,749 1,070 778 −393 9,778 6,600 −207 2,071 1,769 949 1,249 −154
Pennsylvania 14,542 3,500 −931 3,703 2,072 6,516 1,000 682 25,369 15,734 447 4,803 5,794 613 2,688 667
Rhode Island 725 607 −13 −233 227 52 76 161 2,203 1,147 0 −49 466 469 142 312
South Carolina 7,062 3,895 59 251 1,396 1,513 513 461 9,238 5,599 0 884 1,977 1,378 840 239
South Dakota 238 678 −585 −263 274 257 88 −36 667 833 −216 −477 490 193 89 −68
Tennessee 9,970 7,291 −368 1,318 1,597 1,381 806 −443 13,571 7,797 36 3,219 2,255 1,684 1,272 −148
Texas 5,307 9,672 −3,571 −12,060 2,854 10,264 2,159 308 52,881 36,536 810 4,836 10,584 4,981 5,078 212
Utah 6,531 4,963 −289 390 1,154 912 558 −40 6,397 4,970 −6 324 1,366 555 805 −7
Vermont 706 518 −28 4 177 125 64 −27 999 554 −1 211 249 88 113 11
Virginia 7,860 4,498 −239 −1,056 1,849 2,349 623 1,083 18,060 11,455 −27 918 4,113 2,623 1,613 590
Washington 19,581 14,136 −966 915 3,335 3,271 1,411 302 24,533 17,071 −94 3,265 4,574 2,103 2,498 112
West Virginia −154 −722 −27 −139 198 412 18 142 2,290 1,544 −45 101 402 538 302 52
Wisconsin 5,550 4,783 −1,029 −83 1,587 593 408 107 9,848 6,060 −191 557 2,048 2,113 925 185
Wyoming −1,080 −920 −152 −337 73 192 −102 −38 787 397 −18 −64 371 172 77 5
CCAdj
Capital consumption adjustment
IVA
Inventory valuation adjustment
  1. Compensation is by place of work.

Property income (dividends, interest, and rent) increased 4.7 percent in 2017 after increasing 2.8 percent in 2016. Personal dividend income rose 3.1 percent, personal interest income rose 5.7 percent, and the rental income of persons increased 5.1 percent. All the growth in rental income was accounted for by imputed net rental income of owner-occupied housing; monetary rent fell 0.7 percent in 2017 (table D).

Table D. Growth of Dividends, Interest, and Rent
  Percent change Dollar change (millions of dollars)
2016 2017 2016 2017
Dividends, interest, and rent 2.8 4.7 88,021 150,280
Personal dividend income 4.1 3.1 42,398 32,899
Personal interest income 0.2 5.7 2,579 82,029
Imputed interest receipts1 −0.5 3.2 −5,064 30,916
Monetary interest receipts 1.6 10.6 7,643 51,113
Rental income of persons 6.6 5.1 43,044 35,352
Imputed rent2 7.6 7.7 33,864 36,895
Monetary rent 4.5 −0.7 9,180 −1,543
  1. Consists of imputed interest received from (1) finance and insurance companies and (2)employee pension plans.
  2. An imputation for the net rental income of owner-occupied housing.

Personal current transfer receipts, which consist primarily of Social Security, Medicare, and Medicaid benefits, grew 2.9 percent on average in 2017, down from 3.5 percent in 2016. Growth was fastest in New York, where transfer receipts grew 10.1 percent. Medical benefits accounted for almost all the increase in New York. Transfer receipts grew 4.6 percent in Alaska and was the component that contributed more than any other ($308 million) to personal income growth in the state (table C). In contrast, transfer receipts declined 1.1 percent in California, as medical benefits, income maintenance benefits, and unemployment insurance compensation all declined.

Contributions for government social insurance, a subtraction in the derivation of personal income, grew 4.7 percent in 2017 after rising 2.9 percent in 2016. The largest increases in contributions for government social insurance in 2017 were 7.5 percent each in Oregon, Utah, and Washington. The smallest increase was in Alaska (1.0 percent), reflecting the lack of growth in compensation in that state.

New York’s personal income growth (which is adjusted to a place-of-residence basis) was $9.2 billion lower than on a place-of-work basis in 2017 (table C). At the same time, New Jersey’s personal income growth was $5.5 billion higher and Connecticut’s was $3.2 billion higher than by place of work. The residence adjustment contributed more than any other component to Connecticut’s personal income growth in 2017.

On September 25, 2018, BEA released the initial results of its latest comprehensive update of the quarterly and annual state personal income statistics; the results of the previous comprehensive update were released in September 2013.

The first installment of the 2018 update consists of new and updated statistics for the years and quarters covered by the North American Industry Classification System (NAICS), that is, from the first quarter of 1998 through the second quarter of 2018. Additional updates, covering the Standard Industrial Classification (SIC) estimates for 1929–2001 (for the annual estimates) and covering the first quarter of 1948 through the fourth quarter of 2001 (for the quarterly statistics), are scheduled to be released in early 2019.

Comprehensive updates, which are conducted usually every 5 years, adopt various changes in definitions, classifications, statistical methods, and concepts that make the BEA economic accounts more informative and more accurately portray the evolution of the national and state economies.

Comprehensive updates also incorporate newly available and revised state source data that are more complete and more detailed than those previously available (table E). Especially noteworthy is the introduction of journey-to-work data from the American Community Survey 2011–2015 5-year file and Federal Deposit Insurance Corporation (FDIC) data for domestic deposits at commercial banks.

Table E. Regional Source Data Used to Estimate State Personal Income and Personal Current Taxes
Annual estimates
Wages and salaries by industry  
In general QCEW wage data.
Farm USDA farm labor expense data.
Agriculture and forestry support activities USDA farm labor expense data.
Rail transportation RRB state payroll and employment data; Census Bureau ACS Journey to work data.
Educational services CBP payroll data; Official Catholic Directory data.
Membership associations and organizations CBP payroll data; RRB payroll data.
Private households Census Bureau ACS data; Census Bureau population data.
Military DOD personnel data; Coast Guard personnel and payroll data.
State and local government Census Bureau Annual Survey of Public Employment and Payroll data; CES employment data.
   
Employer contributions for employee pension and insurance funds by industry  
Rail transportation FRA casualties data.
State and local government Census Bureau Annual Survey of Public Pensions contributions, pension service charges, and membership data; actuarial data from the CAFRs for a sample of state and local government retirement systems; MEPS employee contributions for health insurance data (certain states only).
All other industries NAIC earned premium data and NASI employers cost of self insurance data; MEPS employee contributions for health insurance data (certain states only).
   
Employer contributions for government social insurance by industry  
All industries Census Bureau State Government Finances data; QCEW data on contributions to unemployment insurance funds; OES data on employee wage distributions; CPS industry data on hours worked.
   
Proprietors' income  
Farm USDA gross income and expense data; USDA ARMS corporate farm income data; Census of Agriculture livestock purchased and corporate farm income data.
Nonfarm industries IRS data on net receipts and profits of proprietorships and partnerships; USDA Rural Development net income of agricultural cooperatives; USDA RUS net margin, or profit, of cooperatives that have outstanding loans.
   
Residence adjustment Census Bureau ACS Journey to work data; IRS wage data.
   
Dividends, interest, and rent USDA gross rental value of farm dwellings; IRS income tax data on dividends, taxable interest, S Corporation distributions, gross rents and royalties, and net royalty income; ACS data on the aggregate value of dwellings and mobile homes; OPM federal civilian retirement payments data and DOD military retirement payments data; SSA Social Security benefits data; FDIC deposits data; NCUA deposits data.
   
Personal current transfer receipts SSA data on Social Security benefits and Supplemental Security Income benefits; Census Bureau state and local government finance data on disability benefits, income maintenance benefits, state workers' compensation, and education benefits; CMS and DOD medical benefits data; DVA veterans benefits data; USDA SNAP data; USDA WIC data; IRS Refundable Earned Income Tax Credits and Child Tax Credit data; PBGC benefits data; DOL unemployment benefits data; DOE Pell Grants data; ACF TANF foster care and adoption assistance data; DOL black lung disability benefits data; Census Bureau population data; Department of the Treasury disability benefits for railroad employees; Railroad Retirement Board for unemployment compensation for railroad employees.
   
Employee and self-employed contributions for government social insurance SSA Earnings and Employment Data for Workers Covered under Social Security and Medicare and other unpublished SSA data; California state temporary disability insurance data; Census Bureau state temporary disability insurance data; CMS supplemental medical insurance enrollment data; personal contributions for state unemployment insurance data from the states; DVA veterans' insurance premiums data.
   
Personal current taxes IRS income tax data; Census Bureau quarterly tax collections and state tax collections data; Census Bureau state and local government finance data.
Quarterly estimates
Wages and salaries by industry  
In general QCEW wage data; CES employment data.
Transportation and warehousing DOT payroll data.
Military DOD personnel data; Coast Gurard payroll data.
   
Personal current transfer receipts DOL unemployment rate data; CMS medical benefits data.
ACF TANF
Administration for Children and Families, Temporary Assistance to Needy Families
ACS
American Community Survey, Census Bureau
ARMS
Agricultural Resource Management Survey
CAFR
Comprehensive Annual Financial Report
CBP
County Business Patterns, Census Bureau
CES
Current Employment Statistics survey, Bureau of Labor Statistics
CMS
Centers for Medicare and Medicaid Services
CPS
Current Population Survey, Census Bureau
DOD
Department of Defense
DOE
Department of Education
DOL
Department of Labor
DOT
Department of Transportation
DVA
Department of Veterans Affairs
FDIC
Federal Deposit Insurance Corporation
FRA
Federal Railroad Administration
IRS
Internal Revenue Service
MEPS
Medical Expenditure Panel Survey, Agency for Healthcare Research and Quality
NAIC
National Association of Insurance Commissioners
NASI
National Academy of Social Insurance
NCUA
National Credit Union Association
OASDHI
Old-Age, Survivors, Disability, and Hospital Insurance, Social Security Administration
OES
Occupational Employment Statistics, Bureau of Labor Statistics
OPM
Office of Personnel Management
PBGC
Pension Benefit Guaranty Corporation
QCEW
Quarterly Census of Employment and Wages, Bureau of Labor Statistics
RRB
Railroad Retirement Board
RUS
Rural Utilities Service
SNAP
Supplemental Nutritional Assistance Program
SSA
Social Security Administration
USDA
U.S. Department of Agriculture
WIC
Special Supplemental Nutrition for Women, Infants, and Children

The state personal income comprehensive update incorporated some of the changes that were adopted as part of the comprehensive update of the National Income and Product Accounts (NIPAs), which was released in July 2018.4 A detailed preview of the major changes to the state accounts was published in the August 2018 Survey of Current Business.5 The changes included the following:

Annual state personal income

  • For compensation of state and local government employees, the treatment of the defined benefit pension component is now harmonized with federal government employees (1) by measuring employer contributions to state and local pension plans using the same actuarial measure used for federal plans and (2) by introducing new state-level source data for pension service charges.6
  • For state personal interest income, estimates of the imputed value of depositors’ services received by persons are now based on state-level deposits data from the Federal Deposit Insurance Corporation.7
  • For workers’ compensation (a component of personal current transfer receipts), place-of-work source data are now converted to a place-of-residence basis using state-level employment outflow ratios.
  • For nonfarm proprietors’ income, the net income of tax-exempt rural telephone cooperatives is now classified in the telecommunications industry.
  • For personal current taxes, Nevada’s Modified Business Tax and New York’s Metropolitan Commuter Transportation Mobility Tax are now classified as payroll taxes.

Quarterly state personal income

  • For state unemployment insurance compensation, the seasonally adjusted unemployment rate from the Bureau of Labor Statistics’ Local Area Unemployment Statistics (LAUS) program is now used as the indicator series in the distribution of annual estimates to quarters.
  • For wages and salaries of federal government military and civilian employees, seasonal adjustment now removes the level increase in the first quarter of the year caused by the pay raises that these employees often receive in January.

The picture of personal income that is shown by the revised estimates is little changed from the picture shown by the previous estimates for most states, especially for the earlier years:

  • The annual revisions to state personal income varied between −1.9 percent and 1.6 percent in 1998–2007. For the United States, the revisions ranged from −0.2 percent to 0.2 percent.
  • The annual revisions were larger and ranged from −4.0 percent to 3.1 percent in 2008–2016 (table F). For the United States, the revisions ranged from −0.4 percent to 1.3 percent. Some of the largest upward revisions were to the District of Columbia and largely reflected the introduction of the new journey-to-work source data in the residence adjustment. North Dakota had the largest downward revisions for 2011–2016. These also largely reflected revisions to the residence adjustment. The new journey-to-work data revealed higher earnings outflows from North Dakota, particularly to Montana, related to the rapid expansion of energy production in the Bakken Formation during those years.
  • The revisions tended to be largest in 2017 for the United States and most states because the preliminary estimates for that year (released in March) were based on extrapolations of many components. Those extrapolations have now been replaced with source data released subsequently. State revisions ranged from −4.3 percent to 5.8 percent. The U.S. revision was 2.5 percent.
  • The largest downward revision to personal income in 2017 was in North Dakota (4.3 percent). It is mostly accounted for by the residence adjustment and nonfarm proprietors’ income (table G).
  • The largest upward revision to personal income in 2017 was in New York (5.8 percent). Nonfarm proprietors’ income contributed 2.6 percentage points of the revision and property income contributed 1.6 percentage points.
  • The comprehensive update raised the trend growth rate of the United States in 2008–2017 to 3.4 percent per year from 3.1 percent (table H). Most states had revisions to their trend growth rates no larger than the 0.3 percentage point national revision. New York’s 0.7 percentage point upward revision was the largest upward revision, while North Dakota’s −0.3 percentage point revision was the only downward revision to the state trend growth rates.8
  • Connecticut continues to have the slowest average annual personal income growth rate in 2008–2017 (1.9 percent) after the comprehensive update. Before the update, the growth rate was 1.7 percent. However, the District of Columbia now has the fastest growth rate in 2008–2017 (5.1 percent). Before the revision, North Dakota’s 4.8 percent growth was the fastest.
  • North Dakota ranks 18th in the revised per capita personal income estimates for 2017, down from 11th (table I). Aside from that change, the rankings of state per capita personal income for 2017 changed little. The 10 states with the highest and the 10 states with the lowest per capita personal incomes were the same in the revised estimates and in the previously published estimates.
Table F. Revisions to Personal Income, by State, 2008–2017
  Percent revision
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
United States −0.4 −0.2 0.7 0.6 0.7 0.8 1.2 1.1 1.3 2.5
Alabama −0.2 −0.2 0.4 0.6 0.9 0.8 0.9 1.0 1.0 2.1
Alaska −0.5 0.1 1.3 1.2 0.9 1.5 1.7 1.4 0.4 2.0
Arizona −0.5 −1.2 0.0 0.0 0.1 0.2 0.5 0.2 0.3 1.6
Arkansas −0.6 −0.7 0.2 0.0 −0.1 0.0 −0.1 0.0 0.1 0.6
California −0.6 −0.4 0.7 0.6 0.8 1.3 1.8 1.9 2.1 2.6
Colorado −0.4 0.0 1.5 1.2 1.1 0.9 1.5 0.5 0.5 2.1
Connecticut 0.0 −0.7 0.1 −0.1 0.0 −0.6 0.3 0.4 0.7 2.4
Delaware −2.5 −1.5 −0.7 0.3 0.9 0.8 1.4 1.3 0.8 1.1
District of Columbia −1.4 0.8 2.9 2.8 3.1 2.7 2.5 2.6 2.3 3.9
Florida −1.0 −1.3 −0.3 −0.9 −0.1 −0.5 0.2 −0.1 0.6 1.8
Georgia −0.5 −1.0 −0.4 −0.1 0.6 0.6 1.1 1.1 1.1 2.0
Hawaii 0.2 0.3 0.3 1.4 1.0 0.9 1.2 1.0 1.0 1.6
Idaho −1.2 −0.9 0.6 0.6 1.3 1.1 1.4 2.2 2.4 3.3
Illinois −0.1 0.2 0.9 1.0 1.0 1.2 1.5 1.8 1.5 2.6
Indiana 0.0 −0.2 0.8 0.7 1.0 0.9 1.0 1.1 1.2 2.2
Iowa −0.5 −0.4 0.5 0.3 0.8 0.6 1.0 1.0 0.7 2.3
Kansas −1.1 −0.5 0.5 0.2 0.4 −0.1 0.3 0.5 0.6 2.0
Kentucky −0.7 −0.4 0.3 0.3 0.3 0.8 1.3 1.2 1.3 3.1
Louisiana 0.2 0.2 0.8 0.9 1.0 1.5 1.2 0.0 0.8 0.4
Maine −0.1 −0.1 0.9 1.0 0.9 1.1 1.6 1.8 1.6 3.1
Maryland −0.2 −0.5 0.0 0.3 0.0 0.3 0.7 1.2 1.3 2.2
Massachusetts −0.8 −0.9 0.0 0.1 0.3 0.5 1.2 1.2 1.7 2.6
Michigan −0.1 −0.1 0.3 0.2 0.7 0.3 0.7 0.9 1.2 2.1
Minnesota −0.1 0.3 0.8 1.2 0.9 0.9 1.4 1.5 1.4 2.5
Mississippi −0.1 0.5 1.2 1.3 1.2 1.5 1.1 1.0 0.8 0.8
Missouri −0.7 −0.7 0.1 0.2 0.4 0.7 1.0 1.0 1.5 3.0
Montana −0.6 −0.1 1.2 0.9 1.0 1.5 2.5 2.3 2.2 3.4
Nebraska 0.1 0.1 0.9 1.0 0.7 1.1 0.8 1.7 −0.7 0.8
Nevada −0.2 0.1 1.7 1.9 1.4 1.3 1.8 2.1 2.1 3.4
New Hampshire −1.0 −1.0 0.4 0.2 0.1 −0.2 1.3 1.2 2.1 3.6
New Jersey −0.6 −0.8 0.1 0.0 0.2 0.5 1.1 0.8 1.1 3.2
New Mexico −0.3 0.7 1.3 0.9 1.0 1.3 1.5 1.2 1.4 2.0
New York −0.1 1.0 2.2 1.8 1.1 0.8 1.5 1.5 2.7 5.8
North Carolina −0.5 −0.3 0.9 0.6 0.8 0.8 1.1 1.1 1.2 2.1
North Dakota −1.4 −0.7 0.0 −1.1 −1.5 −3.5 −3.8 −3.7 −4.0 −4.3
Ohio 0.1 0.1 0.8 0.8 1.0 1.2 1.5 1.5 1.4 2.4
Oklahoma −0.5 1.2 1.7 1.5 0.9 0.9 0.7 0.5 −1.4 2.1
Oregon −0.4 0.0 1.0 1.0 1.0 1.0 1.3 1.5 2.0 3.8
Pennsylvania −0.8 −0.7 0.0 0.3 0.2 0.5 0.7 0.9 1.3 2.3
Rhode Island −0.5 −0.4 0.3 0.6 0.2 0.0 0.9 0.9 0.9 2.5
South Carolina 0.2 0.3 0.9 0.7 0.7 1.0 1.3 1.6 2.0 3.0
South Dakota −1.2 −0.7 0.0 −0.4 −0.2 0.7 1.7 1.6 0.9 1.1
Tennessee −0.9 −0.5 0.5 0.9 1.6 1.8 2.0 1.6 1.4 2.8
Texas −0.5 0.1 1.1 1.1 0.7 1.0 1.2 −0.2 −0.1 0.9
Utah 0.2 0.9 1.6 1.5 1.7 1.9 2.1 2.7 2.8 3.4
Vermont −0.5 −0.6 0.7 0.5 0.7 0.3 0.9 0.9 1.1 2.2
Virginia −0.4 −0.5 0.1 0.2 0.2 0.4 0.7 1.0 0.7 1.6
Washington −0.5 0.0 0.8 0.8 0.8 0.8 1.1 1.2 1.6 2.9
West Virginia 0.2 0.2 1.0 0.6 1.0 0.9 1.0 0.7 0.8 1.5
Wisconsin 0.1 0.2 1.0 0.8 0.9 0.7 1.0 1.2 1.3 2.3
Wyoming −0.6 −0.1 1.2 1.2 1.7 0.6 0.4 1.5 0.5 1.1
                     
Average revision −0.5 −0.2 0.7 0.7 0.7 0.7 1.1 1.1 1.1 2.2
Average absolute revision 0.5 0.5 0.7 0.8 0.8 0.9 1.2 1.2 1.3 2.4
Standard deviation of revision 0.5 0.6 0.7 0.7 0.6 0.8 0.9 0.9 1.1 1.3

Note. The annual revisions are calculated from the March 2018 release.

Table G. Contributions to the Revision to Personal Income by Component by State for 2017
  Revision (percent) Contributions to the revision (percentage points)
Personal income Wages and salaries Supplements to wages and salaries Nonfarm proprietors' income Farm proprietors' income Dividends, interest, and rent Personal current transfer receipts Contributions for government social insurance Adjustment for residence
United States 2.5 0.6 0.0 0.7 0.0 1.1 0.0 0.0 0.0
Alabama 2.1 0.6 0.2 0.3 −0.2 1.0 0.2 0.0 0.0
Alaska 2.0 0.4 0.4 0.1 0.0 1.0 0.1 0.0 0.1
Arizona 1.6 0.5 0.0 0.7 0.1 0.7 −0.4 0.0 0.0
Arkansas 0.6 0.5 0.1 −0.5 −0.4 0.9 −0.1 0.1 0.0
California 2.6 0.8 −0.1 0.9 0.3 1.3 −0.7 0.1 0.0
Colorado 2.1 0.4 −0.1 −0.4 0.2 1.5 0.2 0.1 0.2
Connecticut 2.4 0.6 0.1 0.8 0.0 0.7 −0.1 0.0 0.4
Delaware 1.1 0.3 −0.2 −0.4 0.0 0.9 0.4 0.3 −0.2
District of Columbia 3.9 0.6 −0.4 3.1 0.0 0.1 0.0 0.4 0.1
Florida 1.8 0.5 0.0 0.6 0.1 0.7 −0.2 0.0 0.0
Georgia 2.0 0.7 0.1 0.6 −0.2 1.0 −0.1 0.1 −0.1
Hawaii 1.6 0.3 0.0 0.6 0.0 0.8 0.0 0.0 0.0
Idaho 3.3 0.7 −0.3 0.3 −0.3 2.1 0.3 0.0 0.4
Illinois 2.6 0.6 0.3 0.1 0.2 0.9 0.6 0.1 −0.2
Indiana 2.2 0.6 −0.3 0.7 −0.1 1.0 0.0 0.1 0.3
Iowa 2.3 0.7 0.0 0.1 −0.2 1.2 0.1 0.1 0.3
Kansas 2.0 0.5 0.2 0.6 0.2 0.6 0.1 0.0 −0.2
Kentucky 3.1 0.5 −0.1 0.4 0.6 1.1 0.7 0.1 −0.3
Louisiana 0.4 0.5 0.2 −0.6 0.1 0.8 −0.5 0.0 −0.2
Maine 3.1 0.4 0.0 0.4 0.1 1.7 0.3 0.0 0.1
Maryland 2.2 0.4 0.0 1.5 0.0 0.6 −0.3 0.0 −0.1
Massachusetts 2.6 0.6 0.0 1.4 0.0 0.9 0.1 0.1 −0.4
Michigan 2.1 0.5 0.1 0.5 −0.1 1.0 0.0 0.0 0.0
Minnesota 2.5 0.8 0.0 0.4 −0.4 1.2 0.2 0.1 0.1
Mississippi 0.8 0.5 0.1 −0.4 −0.8 1.4 −0.2 0.0 0.2
Missouri 3.0 0.5 0.1 0.8 0.3 1.1 0.0 0.1 0.1
Montana 3.4 0.3 0.0 −0.2 0.0 1.9 0.6 0.3 0.4
Nebraska 0.8 0.5 0.1 −1.3 −0.2 1.6 0.2 0.0 −0.1
Nevada 3.4 0.4 −0.1 1.0 0.0 2.1 −0.1 0.2 −0.1
New Hampshire 3.6 0.1 0.1 1.5 0.0 1.1 0.1 −0.1 0.9
New Jersey 3.2 0.6 −0.1 1.0 0.0 0.6 0.1 0.0 1.0
New Mexico 2.0 0.3 −0.3 0.1 0.1 1.2 0.5 0.2 0.0
New York 5.8 1.3 −0.3 2.6 0.0 1.6 1.2 −0.1 −0.4
North Carolina 2.1 0.6 −0.1 0.3 −0.2 1.2 0.1 0.1 0.2
North Dakota −4.3 0.4 −0.2 −1.7 −1.0 −0.4 0.2 0.3 −2.1
Ohio 2.4 0.3 0.1 0.2 0.0 1.7 0.2 −0.1 0.0
Oklahoma 2.1 0.5 0.0 1.0 0.0 0.8 0.1 −0.1 −0.2
Oregon 3.8 0.7 0.9 1.3 −0.1 1.3 0.2 −0.2 −0.4
Pennsylvania 2.3 0.6 0.1 1.4 0.1 0.5 −0.4 −0.1 0.0
Rhode Island 2.5 0.2 −0.2 −0.2 0.0 1.2 0.7 0.1 0.7
South Carolina 3.0 0.6 0.2 0.7 0.0 1.6 −0.1 0.0 0.1
South Dakota 1.1 0.2 −0.5 −1.6 0.6 2.2 0.2 0.2 −0.1
Tennessee 2.8 0.5 −0.2 1.2 0.0 0.9 0.3 0.0 0.1
Texas 0.9 0.5 0.1 −0.6 −0.1 0.8 0.2 0.0 0.0
Utah 3.4 0.6 −0.3 0.0 0.1 2.9 0.0 −0.1 0.1
Vermont 2.2 0.5 −0.2 0.9 0.3 0.6 0.3 −0.1 −0.2
Virginia 1.6 0.5 0.0 0.4 0.0 0.6 0.2 0.0 −0.1
Washington 2.9 0.6 −0.1 1.2 0.0 1.0 0.0 −0.1 0.1
West Virginia 1.5 0.3 0.1 0.1 0.0 0.9 0.3 −0.1 −0.2
Wisconsin 2.3 0.3 0.3 0.1 −0.2 1.4 0.4 0.0 −0.1
Wyoming 1.1 0.4 −0.1 −0.7 0.4 0.8 0.4 0.1 −0.2
Table H. Revisions to Average Annual Growth Rates in Personal Income, 2008–2017
[Percentage points]
  Revised Previously published Revision1
United States 3.4 3.1 0.3
Alabama 2.6 2.4 0.3
Alaska 2.9 2.6 0.3
Arizona 3.2 3.0 0.2
Arkansas 3.3 3.2 0.1
California 4.4 4.0 0.4
Colorado 4.4 4.1 0.3
Connecticut 1.9 1.7 0.3
Delaware 3.2 2.8 0.4
District of Columbia 5.1 4.5 0.6
Florida 3.6 3.3 0.3
Georgia 3.6 3.3 0.3
Hawaii 3.3 3.2 0.2
Idaho 4.1 3.6 0.5
Illinois 2.6 2.3 0.3
Indiana 3.2 3.0 0.2
Iowa 2.7 2.4 0.3
Kansas 2.4 2.0 0.3
Kentucky 2.8 2.4 0.4
Louisiana 2.2 2.2 0.0
Maine 2.6 2.3 0.4
Maryland 3.1 2.8 0.3
Massachusetts 3.7 3.3 0.4
Michigan 3.0 2.7 0.3
Minnesota 3.4 3.1 0.3
Mississippi 2.2 2.1 0.1
Missouri 2.5 2.1 0.4
Montana 3.7 3.2 0.4
Nebraska 3.4 3.3 0.1
Nevada 3.4 2.9 0.4
New Hampshire 3.2 2.7 0.5
New Jersey 2.8 2.4 0.4
New Mexico 2.4 2.2 0.3
New York 3.7 3.0 0.7
North Carolina 2.9 2.6 0.3
North Dakota 4.4 4.8 −0.3
Ohio 2.9 2.6 0.3
Oklahoma 2.4 2.1 0.3
Oregon 4.1 3.6 0.5
Pennsylvania 3.0 2.6 0.4
Rhode Island 2.7 2.3 0.3
South Carolina 3.8 3.5 0.3
South Dakota 3.0 2.7 0.3
Tennessee 3.8 3.4 0.4
Texas 3.8 3.7 0.2
Utah 4.5 4.2 0.4
Vermont 2.8 2.5 0.3
Virginia 3.0 2.8 0.2
Washington 4.3 4.0 0.4
West Virginia 2.2 2.0 0.1
Wisconsin 2.9 2.6 0.2
Wyoming 2.6 2.4 0.2
  1. The revision is calculated from unrounded growth rates.
Table I. Revisions to Per Capita Personal Income for 2017
  Dollars Change in ranking
Previously published Revised
United States 50,392 51,640 …
Alabama 39,976 40,805 0
Alaska 56,042 57,179 0
Arizona 41,633 42,280 0
Arkansas 40,791 41,046 −2
California 58,272 59,796 0
Colorado 53,504 54,646 1
Connecticut 70,121 71,823 0
Delaware 49,125 49,673 0
District of Columbia 76,986 79,989 …
Florida 46,858 47,684 0
Georgia 43,270 44,145 1
Hawaii 51,939 52,787 1
Idaho 40,507 41,826 1
Illinois 52,808 54,203 1
Indiana 44,165 45,150 −1
Iowa 45,996 47,062 0
Kansas 47,603 48,559 0
Kentucky 39,393 40,597 0
Louisiana 43,491 43,660 −3
Maine 45,072 46,455 1
Maryland 59,524 60,847 0
Massachusetts 65,890 67,630 0
Michigan 45,255 46,201 −1
Minnesota 53,043 54,359 1
Mississippi 36,346 36,636 0
Missouri 43,661 44,978 0
Montana 43,907 45,385 1
Nebraska 50,395 50,809 0
Nevada 44,626 46,159 0
New Hampshire 57,574 59,668 0
New Jersey 62,554 64,537 −1
New Mexico 39,023 39,811 0
New York 60,991 64,540 1
North Carolina 43,303 44,222 1
North Dakota 54,643 52,269 −7
Ohio 45,615 46,732 0
Oklahoma 43,449 44,376 1
Oregon 46,361 48,137 2
Pennsylvania 52,096 53,300 1
Rhode Island 51,503 52,786 1
South Carolina 40,421 41,633 1
South Dakota 48,281 48,818 −1
Tennessee 44,266 45,517 0
Texas 46,942 47,362 −2
Utah 42,043 43,459 0
Vermont 51,114 52,225 0
Virginia 54,244 55,105 1
Washington 56,283 57,896 1
West Virginia 37,924 38,479 0
Wisconsin 47,850 48,941 1
Wyoming 56,724 57,346 −1

 

 

 

  1. State personal income, which is measured in current dollars, is the sum of net earnings by place of residence, property income, and personal current transfer receipts.
  2. Compensation accounted for 53 percent of state personal income in 2017 in Wyoming and 70 percent in North Dakota, the states with the smallest and largest shares.
  3. Mining compensation fell 7.2 percent in Alaska in 2017, and construction compensation fell 10.0 percent. As recently as 2015, these two industries accounted for one-sixth of total compensation in Alaska.
  4. See Pamela A. Kelly, Stephanie H. McCulla, and David B. Wasshausen, “Improved Estimates of the National Income and Product Accounts: Results of the 2018 Comprehensive Update,” Survey of Current Business 98 (September 2018).
  5. See David G. Lenze, “Preview of the 2018 Comprehensive Update of the Regional Economic Accounts,” Survey 98 (August 2018).
  6. The actuarial measure of normal cost for state and local government defined benefit pension plans is now based on the projected benefit obligation (PBO) method used for federal plans.
  7. Commercial banks, savings institutions, credit unions, and regulated investment companies often do not charge depositors an explicit fee for services such as check clearing and record keeping. These services are both a type of interest income in kind as well as a type of personal consumption expenditure (PCE). To enhance consistency between state personal income and state PCE, the new estimates will be used for both.
  8. Excluding 2017, the revision to New York’s trend growth rate was only 0.4 percentage point.