1 — U.S. BUREAU OF LABOR STATISTICS • bls.gov

How Grouping CUs by Outlays Can 

Enhance Our Understanding of 

Economic Wellbeing

Consumer Expenditure Surveys Microdata Users’ Workshop

July 18th – 20th, 2023

Jake Schild 

Division of Price Index 

and Number Research

Aaron Cobet

Division of Consumer 

Expenditure Surveys
2 — U.S. BUREAU OF LABOR STATISTICS • bls.gov

Income before taxes and annual expenditures 

by income deciles, U.S. dollars, 2019

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

 Average annual

income before

taxes

 Average annual

expenditures

 All CU average

annual income

before taxes

 All CU average

annual

expenditures
3 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

Life Cycle Hypothesis
4 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

How to account for assets?

• Direct approach: 

Wealth estimates

• Indirect approach: 

Outlay estimates
5 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

Definitions of Expenditures and Outlays

ZTOTAL = 

FOOD + ALCBEV + 

HOUSNG + 

APPAR + 

TRANPT + 

HEALTH + 

ENTRMT + 

PERSCA + READ + EDUC + 

TOBACC + MISCEL + 

CASHCO + PERINS

ETOTAL = 

FOOD + ALCBEV + 

EHOUSNG + 

APPAR + 

ETRANPT + 

HEALTH + 

EENTRMT + 

PERSCA + READ + EDUC 

+ TOBACC + EMISCEL + 

CASHCO + PERINS
6 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

Expenditures versus Outlays

Concept Total Expenditures Total Outlays

Housing Mortgage interest payments Mortgage interest payments

Reductions in mortgage principle

Transportation Net outlay or purchase price

Net outlay for not financed

Downpayment for financed

Finance charges

Principal paid on loans 

Entertainment Net outlay or purchase price

Net outlay for not financed

Downpayment for financed

Finance charges

Principal paid on loans 

Miscellaneous Mortgage interest payments Mortgage interest payments

Reductions in mortgage principle
7 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

How to create outlay groups?

• Code: Public integrated income 

table SAS code with 2 changes: 

• Interview survey only

• Outlay groups instead of income 

groups

• Variable selection: 

• Groups: ETOTALCQ & ETOTALPQ

• Aggregates: UCCs
8 — U.S. BUREAU OF LABOR STATISTICS • bls.gov

Income before taxes and annual outlays

by income deciles, U.S. dollars, 2019

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

 Average annual

income before

taxes

 Average annual

outlays

 All CU average

annual income

before taxes

 All CU average

annual outlays
9 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

Expenditures and Outlays 

by income deciles, U.S. dollars, 2019

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

Expenditures

Outlays
10 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

Expenditures and Outlays by 

expenditure/outlay deciles, U.S. dollars, 2019

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

Expenditures

Outlays
11 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

Spending Categories

By Expenditure and Outlay Groups

0%

20%

40%

60%

80%

100%

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

Other

Transportation

Housing

Expenditures Outlays
12 — U.S. BUREAU OF LABOR STATISTICS • bls.gov

Income before taxes and annual outlays

by outlay deciles, mean, U.S. dollars, 2019

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

 Average annual

income before

taxes

 Average annual

outlays

 All CU average

annual income

before taxes

 All CU average

annual outlays
13 — U.S. BUREAU OF LABOR STATISTICS • bls.gov

Percentage of CU Members 

65 and over

0%

10%

20%

30%

40%

50%

60%

70%

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

Decile

Income Groups

Outlay Groups
14 — U.S. BUREAU OF LABOR STATISTICS • bls.gov

Percentage of Housing Tenure

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th

Decile

Income Groups

Outlay Groups

Income Groups

Outlay Groups

Owners

Renters
15 — U.S. BUREAU OF LABOR STATISTICS TATISTICS • bls.gov bls.gov

Conclusion

◼ Take Aways

 When grouped by outlays, income exceeds 

outlays across the distribution 

Life Cycle should be considered when defining 

resources and spending for welfare analysis

◼ Future Steps

Conduct a more detailed analysis comparing 

income and outlay groups 

Provide data users with an outlay STUB file 
Contact Information

16 — U.S. BUREAU OF LABOR STATISTICS • bls.gov

Jake Schild

Division of Price Index and Number Research

Schild.Jake@bls.gov

Aaron Cobet

Division of Consumer Expenditure Surveys

Cobet.Aaron@bls.gov