U.S. SECURITIES AND EXCHANGE COMMISSION
                                 Washington, D.C.  20594
 
                                       FORM 24F-2
                            ANNUAL NOTICE OF SECURITIES SOLD
                                 PURSUANT TO RULE 24F-2
 
                 READ INSTRUCTIONS AT END OF FORM BEFORE PREPARING FORM.
                                  PLEASE PRINT OR TYPE.
 
1.  NAME AND ADDRESS OF ISSUER:
  Capital Income Builder, Inc.
  333 South Hope Street
  Los Angeles, CA 90071
 
2.  NAME OF EACH SERIES OR CLASS OF FUNDS FOR WHICH THIS NOTICE IS FILED (if
the Form is being filed for all series and classes of securities of the issuer,
check the box but do not list series or classes:  __
 
3. INVESTMENT COMPANY ACT FILE NUMBER:  811-5085
   SECURITIES ACT FILE NUMBER:           33-12967
 
4(A).  LAST DAY OF FISCAL YEAR FOR WHICH THIS FORM IS FILED:
October 31, 1998
 
4(B).  CHECK BOX IF THIS NOTICE IS BEING FILED LATE (I.E., MORE THAN 90
CALENDAR DAYS AFTER THE END OF THE ISSUER'S FISCAL YEAR).  (SEE INSTRUCTION
A.2) 
 
NOTE: IF THE FORM IS BEING FILED LATE, INTEREST MUST BE PAID ON THE
REGISTRATION FEE DUE.
 
4(C).  __ CHECK BOX IF THIS IS THE LAST TIME THE ISSUER WILL BE FILING THIS
FORM.
 
5.  CALCULATION OF REGISTRATION FEE:
 
<TABLE>
<CAPTION>
<S>                                                                       <C>           <C>                 
(i)  Aggregate sale price of securities sold during the                                 $1,996,549,000      
       fiscal year pursuant to section 24(f):                                                               
                                                                                                            
(ii)  Aggregate price of securities redeemed or repurchased                                                 
       during the fiscal year:                                            $881,077,000                       
                                                                                                            
(iii)  Aggregate price of securities redeemed or repurchased                                                
       during any prior fiscal year ending no earlier than                                                  
       October 11, 1995 that were not previously used to                                                    
       reduce registration fees payable to the Commission:                $                                 
                                                                                                            
(iv)  Total available redemption credits [add items                                                         
      5(ii) and 5(iii):                                                                 $881,077,000        
                                                                                                            
(v)  Net sales -- if Item 5(i) is greater than Item 5(iv)                                                   
       [subtract Item 5(iv) from Item 5(i)]:                                            $1,115,472,000      
                                                                                                            
 (vi)  Redemption credits available for use in future years                                                 
       if item 5(i) is less than Item 5(iv) [subtract Item                                                  
       5(iv) from Item 5(i)]:                                             $(     )                          
                                                                                                            
(vii)  Multiplier for determining registration fee (See Instruction C.9):                 x .000278           
                                                                                                            
(viii)  Registration fee due [multiply Item 5(v) by Item                                                    
       5(vii)] (enter "0" if no fee is due):                                            $310,101.22         
</TABLE>
 
6.  PREPAID SHARES 
 
If the response to item 5(i) was determined by deducting an amount of
securities that were registered under the Securities Act of 1933 pursuant to
rule 24e-2 as in effect before [effective date of rescission of rule 24e-2],
then report the amount of securities (number of shares or other units) deducted
here: __________ If there is a number of shares or other units that were
registered pursuant to rule 24e-2 remaining unsold at the end of the fiscal
year for which this form is filed that are available for use by the issuer in
future fiscal years, then state that number here:_________
 
7.  Interest due -- if this Form is being filed more than 90 days after the end
of the issuer's fiscal year (see Insruction D):
 
            +$_________ 
 
8.  Total of the amount of the registration fee due plus any interest due [line
5(viiii) plus line 7]:
 
           =$310,101.22 
 
9.  Date the registration fee and any interest payment was sent to the
Commission's lockbox depository:
 
 CIK # 811968    December 23, 1998
 
 Method of delivery:
 
 X     Wire transfer
 __    Mail or other means 
 
                                   SIGNATURES
 
This report has been signed below by the following persons on behalf of the
issuer and in the capacities and on the dates indicated.
 
By (Signature and Title)*
/s/ Vincent P. Corti
    Vincent P. Corti
    Secretary
 
Date December 23, 1998 
 
* Please print the name and title of the signing officer below the signature.