Frequently Asked Questions (FAQs)
What is the Consumer Expenditure Survey?
The Consumer Expenditure Survey collects information from the Nation's households and families on their buying habits (expenditures), income, and household characteristics. The strength of the survey is that it allows data users to relate the expenditures and income of consumers to the characteristics of those consumers. The survey consists of two components, a quarterly Interview Survey and a weekly Diary Survey, each with its own questionnaire and sample.
How is the Consumer Expenditure Survey used?
Data from the Consumer Expenditure Survey are used in a number of different ways by a variety of users. One important use of the survey is for the periodic revision of the Bureau of Labor Statistics Consumer Price Index. The Bureau uses survey results to select new market baskets of goods and services for the Consumer Price Indes, to determine the relative importance of Consumer Price Index components, and to derive new cost weights for the market baskets. Market researchers find the data useful in analyzing the demand for groups of goods and services. The data allow them to track spending trends of different types of consumer units (see the response to question 3 for the definition of a consumer unit). Government and private agencies use the data to study the welfare of particular segments of the population, such as those consumer units with a reference person aged 65 and older or under age 25, or for low-income consumer units (see the response to question 4 for the definition of a reference person). Economic policymakers use the data
to study the impact of policy changes on the welfare of different socioeconomic groups. Researchers use the data in a variety of studies, including those that focus on the spending behavior of different family types, trends in expenditures on various expenditure components including new types of goods and services, gift-giving behavior, consumption studies, and historical spending trends.
What is a consumer unit?
A consumer unit consists of any of the following: (1) all members of a particular household who are related by blood, marriage, adoption, or other legal arrangements; (2) a person living alone or sharing a household with others or living as a roomer in a private home or lodging house or in permanent living quarters in a hotel or motel, but who is financially independent; or (3) two or more persons living together who use their incomes to make joint expenditure decisions. Financial independence is determined by spending behavior with regard to the three major expense categories: housing, food, and other living expenses. To be considered financially independent, the respondent must provide at least two of the three major expenditure categories, either entirely or in part.
The terms consumer unit, family, and household are often used interchangeably for convenience. However, the proper technical term for purposes of the Consumer Expenditure Survey is consumer unit.
Who is the reference person?
The reference person of the consumer unit is the first member mentioned by the respondent when asked "What are the names of all the persons living or staying here? Start with the name of the person or one of the persons who owns or rents the home." It is with respect to this person that the relationship of the other consumer unit members is determined.
What types of news releases and reports are available and in what form?
A number of types of news releases and reports are available from the Consumer Expenditure Survey.
The standard releases include the following:
MIDYEAR NEWS RELEASE. This new release covers expenditures from July of one year through June of the next
and includes a brief discussion of the latest survey results. The information generally is available on the
Consumer Expenditure Survey Web site on the day on which the midyear tables are released. The first midyear
news release was published in March 2013.
ANNUAL NEWS RELEASE. This annual release covers a calendar year of expenditures, and includes a brief
discussion of the latest survey results. The information generally is available on the Consumer Expenditure
Survey Web site on the day on which the annual data tables are released. The annual data are released in
August in the year following the reference year (for example, 2015 data will be available in August 2016).
ANNUAL REPORT. The report includes integrated data from the Diary and Interview portions of the Consumer Expenditure Survey in 15 standard tables. The tables show average expenditures, income, and characteristics for consumer units classified by 15 standard characteristics—age, composition of the consumer unit, deciles of income before taxes, education, Hispanic origin of reference person, housing tenure, type of area (urban or rural), before-tax income class, number of earners, occupation, population size of area, quintiles of income before taxes, race, region, and size of the consumer unit.
PUBLIC-USE MICRODATA (PUMD). Annual Diary and Interview Survey microdatathat is, data for individual consumer unitsare available.
The interview files contain demographic, income, and expenditure data. The demographic and income data are at the consumer unit and individual level. The expenditure data are in
two different formats: MTAB files that present monthly values in an item coding framework based on the Consumer Price Index pricing scheme, and EXPN files that organize expenditures
by the section of the Interview questionnaire in which they are collected. Expenditure values on EXPN files cover different periods, depending on the specific question
asked, and the files also contain relevant non-expenditure information not found on the MTAB files. The Diary files are structured in the same way as the
Interview files. Currently available are PUMD releases back to 1990 and for selected earlier years.
MONTHLY LABOR REVIEW, BEYOND THE NUMBERS, AND OTHER PUBLICATIONS. Analyses of Consumer Expenditure Survey data appear frequently as articles in the Bureau's Monthly Labor Review, the quarterly Beyond the Numbers, and occasionally in other publications.
What geographic data exist in the survey?
The Consumer Expenditure Survey includes a few lower levels of geographic data.
The data are sampled to be representative of the U.S. civilian non-institutionalized population at a national
level and a regional level. The four Census-defined regions are Northeast, Midwest, South and West.
Consumer expenditure data for these regions can be found in our One-Year tables.
For a list of which states are in which regions see the CE glossary.
Consumer expenditures for a selected group of the largest Metropolitan Statistical Areas (MSAs) are also
published. In 2015 there are 15 MSAs in the published tables which are broken up by region.
Consumer expenditure data for these MSAs are published in our Two-Year tables.
In addition to region, there are also geographic data for states and the 15 self-representing Primary Sampling Units
(PSUs) in the public-use microdata. Not all states are sampled, and some state codes are suppressed or
recoded for confidentiality reasons. Suppression or recoding of the state variable is necessary in some
instances because consumer units (CUs) could be indirectly identified due to the low number of respondents
from their geographic locale.
Important Note: The CU weights do not aggregate to equal state populations. They are regional weights.
Beginning with the 2006 data, the largest, category "A" PSUs have been included in the microdata. These coincide with the larger MSAs from the four regions.
For the list of PSUs in the microdata see the most recent interview data dictionary.
For additional information on geographic data included in the CE please see
our geography web page.
Is income information available from other sources?
If you want to relate the expenditures of consumers to their income and characteristics,
the Consumer Expenditure Survey is the primary source of data. However, for users interested
only in income information, data published by the Census Bureau of the U.S. Department of Commerce may
be a better source of information. Data from the Current Population Survey are based on a much larger
sample size. For income
information, visit the Web site www.census.gov/hhes/www/income.html, or contact the Census Bureau by telephone at (301) 457-2422. The Census Bureau also can provide income information from its Survey of Income and Program Participation, which focuses on low-income households. For information on this survey, visit the Web site at https://www.census.gov/sipp/, or telephone (301) 457-3242.
Does the Consumer Expenditure Survey include information on assets and liabilities?
Information on assets and liabilities is collected from respondents to the survey; however, like the income data, the assets and liabilities data are not as reliable
as the expenditure data. Respondents may be unable or unwilling to provide accurate information on their assets and liabilities. Net changes in assets and liabilities
are published in the Consumer Expenditure Survey biennial reports. The public-use microdata also include information on assets and liabilities. An alternative source of
data on assets, liabilities, and other financial information of consumers is the Survey of Consumer Finances, conducted by the Federal Reserve Board. For information, visit the Web site at www.federalreserve.gov/pubs/oss/oss2/scfindex.html, or contact the Federal Reserve Board by telephone at (202) 452-2247.
Are historical data from the Consumer Expenditure Survey available?
Yes. Prior to 1980, the Consumer Expenditure Survey was conducted about every 10 years.
Since that time, it has been an ongoing survey. Online data tables are available from
both the 1972-73 and later surveys. For information about the availability of any Consumer
Expenditure Survey data, including historical
data, contact the Division of Consumer Expenditure Survey.
Caution should be used in comparing data from the current survey with those gathered before the 1972-73
surveys, or even during the first few years of the current survey, due to changes in concepts and definitions.
For example, integrated data from the Diary and Interview Surveys have been published from 1972-73 and from
1984 onward; prior to 1972-73, data from each survey were published separately. The Consumer Expenditure Survey has electronic
versions of integrated tables for 1972-73 and annually from 1984 onward. Also prior to 1972-73,
published data covered only the urban portion of the population. Beginning in 1972-73 and from 1984 onward,
the published data are for the total population, urban and rural.
How are the Consumer Expenditure Survey data collected?
Data collection is carried out by the U.S. Census Bureau under contract with Bureau of Labor Statistics. Currently, in the Interview Survey, each consumer unit is interviewed every 3 months over four calendar quarters. In the initial interview, information is collected on demographic and family characteristics and on the consumer units inventory of major durable goods. Income and employment information is collected in the first and fourth interviews. In the fourth interview, a supplemental section is administered in order to account for changes in assets and liabilities over a one-year period.
In the Diary Survey, respondents are asked to keep track of all their purchases made each day for two consecutive 1-week periods. Participants receive each weekly diary during the initial visit by a Census Bureau interviewer.
How do the Census Bureau and BLS handle respondent confidentiality?
The information that respondents provide is used solely for statistical purposes. All Census Bureau data collectors and BLS Consumer Expenditure Survey staff take an oath of confidentiality and are
subject to fines or imprisonment for improperly disclosing information provided by respondents. Names and addresses are removed from all forms, and are not included in
any statistical release. As a further precaution, the Bureau of Labor Statistics applies certain restrictions to the public-use microdata. These
include geographical and value restrictions that prevent the identification of respondents.
Why are there two survey components?
The two survey components—the Interview Survey and the Diary Survey—are designed to collect different types of expenditures. The Interview Survey is designed to obtain data on the types of expenditures respondents can recall for a period of 3 months or longer. These include relatively large expenditures, such as those for property, automobiles, and major durable goods, and those that occur on a regular basis, such as rent or utilities. Each consumer unit is interviewed once per quarter for four consecutive quarters. The Diary Survey is designed to obtain data on frequently purchased smaller items, including food and beverages, both at home and in food establishments, housekeeping supplies, tobacco, nonprescription drugs, and personal care products and services. Each consumer unit records its expenditures in a diary for two consecutive 1-week periods. Respondents are less likely to recall such purchases over longer periods. Although the diary was designed to collect information on expenditures that could not be easily recalled over time, Diary respondents are asked to report all expenses (except overnight travel) that the consumer unit incurs during the survey week.
What are some of the limitations of the data?
The Interview and Diary Surveys are sample surveys and are subject to two types of errors, nonsampling and sampling. Nonsampling errors can be attributed to many sources, such as differences in the interpretation of questions, inability or unwillingness of the respondent to provide correct information, mistakes in recording or coding the data obtained, and other errors of collection, response, processing, coverage, and estimation for missing data. The full extent of nonsampling error is unknown. Sampling errors occur because the survey data are collected from a sample and not from the entire population.
Caution should be used in interpreting the expenditure data, especially when relating averages to individual circumstances. The data shown in the published tables are averages for demographic groups of consumer units. Expenditures by individual consumer units may differ from the average even if the characteristics of the group are similar to those of the individual consumer unit. Income, family size, age of family members, geographic location, and individual tastes and preferences all influence expenditures.
Do the data that are published come from both surveys?
Yes. Starting with 1984 tables, the Bureau of Labor Statistics has published data integrated from the Interview and Diary components of the survey. Because the two components are designed to capture different types of expenditures, integrating data from them combines the important features of both. The integrated data provide a complete accounting of consumer expenditures and income, which neither survey component alone is designed to do.
How are the data integrated?
Detailed expenditure data for some items, such as food items, are unique to the Diary Survey.
Data for other items, such as third-party reimbursements for medical care expenses or the cost of auto repairs,
are collected only in the Interview Survey. However, there is considerable overlap in coverage between the surveys.
Because of this overlap, integrating the data presents the problem of determining the appropriate survey component
from which to select the expenditure items. When data are available from both survey sources, the more reliable of
the two, as determined by statistical methods, is selected. As a result, some estimates are selected from the
Interview Survey and others, from the Diary Survey. A 2011 Consumer Expenditure Survey Anthology article describing the process is available (PDF)
as well as a list showing which survey was used as the source for
items in each year's published estimates (XLSX).
Sampling error is the difference between the survey estimate and the true population value.
The most common measure of the magnitude of sampling error is the standard error.
The primary purpose of standard errors is to provide users with a measure of the
variability associated with the mean estimates. This variability measures how close
different estimates would be to each other if it were possible to repeat the Consumer Expenditure Survey
over and over using different samples of consumer units. A small standard error indicates that
multiple samples would produce values that are consistently very close to each other,
whereas a large standard error would indicate that multiple samples would produce values that
are not close to each other.
The coefficient of variation is the standard error divided by the mean expenditure, and it is expressed as a percent. It gives the relative amount of variability instead of the absolute amount of
variability in the expenditure estimates.
Beginning with year 2000 data, the Consumer Expenditure Survey program has
made available standard error tables using
integrated data from both surveys. The separate standard error table format has been discontinued with the release of the 2012 data.
These separate data tables have been replaced by the combined expenditure, share, and standard error tables.
Also available is an article that describes standard errors of the expenditures and income estimates
in the 2016 Consumer Expenditure Survey.
Coverage: How good is it in the Consumer Expenditure Survey?
Coverage is the extent to which a survey represents its target population. Under-coverage is when some population
members do not have a chance of being selected for the sample, and over-coverage is when they have more than one chance of
being selected or their addresses are nonresidential. It is important to measure coverage because every segment
of the target population needs to be properly represented in order to minimize bias in the survey estimates. The target population of the Consumer Expenditure Survey
is the U.S. civilian noninstitutuional population.
The list of households from which the sample of the Consumer Expenditure Survey is drawn is based on the U.S. Census Bureau’s Master Address File (MAF) plus a group quarters file.
Do the data show cost-of-living differences among areas?
No. The Consumer Expenditure Survey data in published tables show average expenditures and incomes of consumer units.
The expenditure levels may vary across areas for a number of reasons. These include demographic and economic differences
in age levels, income levels, size of consumer units, tastes, and personal preferences. A commonly used method of
comparing the cost of living among areas involves developing an estimate of the cost of a similar
bundle of goods and services for each area. The Consumer Expenditure Survey makes no attempt to measure the cost of a
standard bundle of goods and services, but instead provides actual expenditure levels of consumer units.
Why do some expenditure levels, such as those for vehicle purchases, appear to be so low?
The data shown in the published tables are averages for all consumer units, or for all the consumer units in a particular demographic group. For example, the expenditures, income, and characteristics for the group with a reference person under age 25 are averaged across all consumer units with that characteristic. Because not all consumer units purchase each item during the survey period, the average expenditure for an item is generally considerably lower than the expenditure by those consumer units that purchased that item. The less frequently an item is purchased, the greater the difference between the average for all consumer units and the average for those purchasing the item.
Are reimbursed expenditures, such as those for medical expenses or car repairs, included in the published totals?
No. Expenditures shown in the published tables are direct out-of-pocket expenditures. The amounts are net of reimbursements.
Why do average annual expenditures exceed income for some of the demographic groups? How can consumer units spend more than they earn?
Data users may notice that average annual expenditures presented in the income tables sometimes exceed income before taxes
for the lower income groups. Consumer units whose members experience a spell of unemployment may draw on their savings to maintain their expenditures. Self-employed consumers may experience business losses that result in low or even negative incomes, but are able to maintain their expenditures by borrowing or relying on savings. Students may get by on loans while they are in school, and retirees may rely on drawing down savings and investments.
I understand that, beginning with publication of the 2004 tables, the Consumer Expenditure Survey results
include imputed income data. What does this mean for the typical user?
Nonresponse is a common problem in household surveys, particularly for questions regarding income. Nonresponse means that the respondent either does not know, or refuses to provide, the information requested. Prior to publication of the 2004 tables, the Consumer Expenditure Survey handled nonresponse to income questions by publishing income data for complete income reporters only. To be classified as a complete income reporter, the respondent had to provide a value for at least one major source of income for the consumer unit. However, not all complete reporters provided a full accounting of income for all sources for which receipt was reported.
Starting in 2004, the Consumer Expenditure Survey introduced multiple imputation to fill in the blanks resulting from nonresponse to income questions. In this method several estimates are made each time the respondent reports the receipt of, but no value for, a particular source of income. The estimates are made based on characteristics of the member or consumer unit for which receipt is reported. The average of these estimates is used to provide the final figures shown in the tables. Because all consumer units now have actual or imputed values for income data available to produce means and other information, the old complete income reporter data are no longer published in tables.
The introduction of multiply imputed data allows for use of the full set of income data from all consumer units, and therefore
more accurate comparisons of income and expenditures. For example, instead of producing estimates for complete income reporters,
some of whom are still missing income information, income data are now provided in tables for all consumer units with these
blanks filled in, resulting in smaller gaps by which expenditures exceed income for low income
consumer units. (See FAQ 21.) In addition, when examining income by demographicsuch as age or composition of consumer unitincome data now are presented for all consumer units within that category rather than for complete reporters only. Consider, for example, consumer units whose reference person is under 25 years old. Prior to 2004, the age tables show average annual expenditures for all consumer units in this age group, but income is shown only for complete reporters in this age group. Starting in 2004, both
expenditure and income data are shown for all consumer units within this age group. Therefore, the data
are more appropriately compared. For additional information, see Income Imputation Introduced With 2004 Data.
Why are 2013 incomes taxes so different than earlier years?
New with the 2013 data: The Consumer Expenditure Survey introduced new estimates of state and federal
tax liabilities using the TaxSim calculator produced by the National Bureau of Economic Research. Beginning with the second
quarter of 2013, all state and federal tax amounts used in the tables are estimates based on the expenditures and income and
family characteristics. The Consumer Expenditure Survey introduced these estimates to improve the quality of the tax liabilities, which suffered from
low response rates, and to improve the estimates of after-tax income. The Consumer Expenditure Survey gratefully acknowledges the support of the National Bureau of Economic Research for
improving the tax estimates.
Prior to the 2013 tables, the published income tax data were collected in the Consumer Expenditure Survey from
respondents and were subject to large non-response errors. The Consumer Expenditure Survey did not impute values
for federal and state income taxes when the amounts were unanswered. Missing values happened, for example, when
the respondents did not know their level of income tax or were unwilling to share that information with the interviewer.
When the Consumer Expenditure Survey computed the income taxes shown in the standard tables through 2012, these missing values had been
treated as zeroes which, subsequently, lowered the sample means for income taxes. An alternative source of data on
income taxes as well as other taxes is Tax Stats, produced by the Statistics of Income Division of the Internal Revenue Service.
For more information on individual income taxes,
visit the web site at www.irs.gov/taxstats/indtaxstats/article/0,,id=96981,00.html
Why doesnt the Bureau of Labor Statistics publish more detailed expenditures?
Average expenditures on items at finer levels of detail might not be as reliable as those published for more
aggregate levels because there are sometimes few reports of expenditures on more detailed items. A small
number of unusually large purchases of infrequently reported items or an increase in the number of consumers
reporting such expenditures might cause a large change in the average expenditure from one period to the next.
The tables published on the Consumer Expenditure Survey Web site show the
expenditure component level at which the estimates are considered to be reliable. However, even in those tables,
data in some cells are footnoted as being likely to have large sampling errors due to the scarcity of reports. More detailed tables are available upon request. (See FAQ 26.)
How can I convert Consumer Expenditure Survey Text data tables into XLS format?
The Consumer Expenditure Survey data tables in Text format can be converted into XLS format (which can be used in Microsoft Excel or other spreadsheet applications) by taking the following steps:
- Highlight and copy the text data table.
- Paste the copied table into an Excel spreadsheet.
- Highlight the column that the data were pasted in.
- In the "Data" menu in Excel, select "Text to Columns" option.
- Choose "fixed width" in the text to columns wizard.
- Column dividers should default to the appropriate column positions. If not, click on the places you want the columns to be located.
- Select finish.
How can I obtain additional Consumer Expenditure Survey information?
Consumer Expenditure Survey information can be obtained by contacting the Division of Consumer Expenditure Surveys, Bureau of Labor Statistics.
Information can also be obtained from any of the eight regional offices of the Bureau of Labor Statistics.
How are Consumer Expenditure Survey data used to estimate experimental poverty thresholds?
Consumer Expenditure Survey data are used to estimate experimental poverty thresholds based on recommendations
by the National Academy of Sciences and observations of a 2010 Interagency Technical Working Group.
The most recent measure, referred to as the Supplemental Poverty Measure, is not designed to replace the current,
official poverty estimates published each year by the U.S. Census Bureau, but rather is intended to provide
additional information on poverty in the U.S. Details on the experimental poverty measures can be obtained from
the BLS Division of Price and Index Number Research.
How is CE redesigning its survey? (Gemini)
The CE program is exploring a new design to improve the quality of its estimates. Some key features of the redesign include combining the separate Interview and Diary samples into one, reducing the diary keeping period to one week, providing online personal diaries to allow each household member to enter their own expenses, encouraging respondents to refer to their records when reporting expenses, restructuring the interview to take place over two visits to the household, and having each household participate in the survey for only two waves. The CE redesign (also called the Gemini Project) is currently undergoing field testing. For more information, see the Gemini Project to Redesign the Consumer Expenditure Survey.
Last Modified Date: December 11, 2017