For about two years running, joblessness and loss of job remain a big problem in America in spite of several efforts by the government to arrest the situation.

However, many experts who have consistently analyze the trend have failed to capture a significant progress in the U.S. job market – generally, paychecks have become more robust in the last years.

Experts have explained that there are indications of rise in personal income in the U.S., which affects consumers’ purchasing power at large thereby boosting consumer spending and opening up hiring windows for the economy.

A clear indication of this rise was the January 0.3% rise in consumer spending, according to the Commerce Department’s Monday announcement. This was the largest monthly consumer spending increase in real terms since May 2008.

January personal income rose by 0.1% while the consumer spending, unadjusted for inflation, rose by 0.5% as against Bloomerg News economists’ surveys’ forecast of 0.4% rise in consumer spending and personal income each.

Interestingly, the U.S. has continued to save at a remarkable rate, however with consumer spending rising faster than incomes, the U.S savings rate fell to 3.3% in January from December 4.2%.

"At the end of the day, we need income so people can spend money," said Sung Won Sohn, economics professor at Cal State University Channel Islands. "It is a sign that things are beginning to improve."

The personal income and consumer spending rise in January are signs of remarkable improvement in the American economy in the last years. 

Furthermore, according to Trim Tabs Investment Research analysis, income and employment taxes withheld from more than 130 million U.S. workers resulted to total salaries and wages increase of 0.7% in February compared to a year ago, which is the first increase since 2008, and it represents $42 billion extra dollars in consumers' pockets compared to a year ago.