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The Split

Labor share of nonfarm business income

What is the current Split?

LABOR SHARE OF BUSINESS INCOME
95 ↓ Worsening
of nonfarm business income now goes to labor

Labor Share of Nonfarm Business Income: 95 as of 2026-Q1, and worsening. Source: U.S. Bureau of Labor Statistics data retrieved via FRED (PRS85006173).

The Split falling to 95

Tracking worsening relative to recent baseline.

Source: U.S. Bureau of Labor Statistics data retrieved via FRED · Source data ↗

How has The Split changed over time?

CSV Chart
Labor's share of what business produces keeps shrinking
Index of labor's share of nonfarm business output (2017 = 100)
The Split
Historical data
Quarterly · U.S. Bureau of Labor Statistics data retrieved via FRED (PRS85006173)
Period Value YoY Change
Q1 2026 94.99 -2.881
Q4 2025 95.727 -1.213
Q3 2025 95.999 -0.658
Q2 2025 96.723 +0.121
Q1 2025 97.871 +0.989
Q4 2024 96.94 +0.716
Q3 2024 96.657 +0.406
Q2 2024 96.602 -0.107
Q1 2024 96.882 +0.327
Q4 2023 96.224 -0.676
Q3 2023 96.251 -1.915
Q2 2023 96.709 -0.79

Frequently Asked Questions

What is Labor Share of Nonfarm Business Income?

Labor share of nonfarm business income

Why does Labor Share of Nonfarm Business Income matter for financial distress?

Labor Share of Nonfarm Business Income is one of the indicators tracked by the American Distress Index (ADI), which measures five dimensions of U.S. household financial distress: Delinquency, Default & Legal, Debt Burden, Labor, and Safety Net & Buffer. Changes in this indicator contribute to the overall distress picture.

Where does the Labor Share of Nonfarm Business Income data come from?

This data comes from U.S. Bureau of Labor Statistics data retrieved via FRED (PRS85006173). More information: https://fred.stlouisfed.org/series/PRS85006173. The American Distress Index updates this indicator quarterly.

Ross Kilburn
Written by

Ross Kilburn, Founder

American Default Research · Seattle, Washington

Two decades working directly with financially distressed American households — from property preservation in 2003, to negotiating over 1,000 short sales during the Great Recession, to foreclosure defense marketing today. Author, The Ark Law Group Complete Guide to Short Sales (Auroch Press, 2013). Twice named to Puget Sound Business Journal Fast 50 for Ark Law Group. B.A., University of California, Berkeley, 1992. Founded American Default Research in 2026 to fill a gap in public data that had been empty since 2013.

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Why does The Split matter?

The Split is one of 98 live indicators tracked by American Default Research. The methodology page explains sources, update cadence, and how the index uses its published inputs.
View methodology →
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