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WASHINGTON (MarketWatch) -- U.S. incomes, spending and savings surged in May after the government sent out $48 billion in tax rebate checks to stimulate the economy, the Commerce Department said Friday. Personal incomes rose 1.9% in May. when insurance payments from hurricane damage flooded into bank accounts. Real disposable incomes (after-taxes and adjusted for inflation) increased 5.3%. Excluding the impact of the rebates and inflation, real disposable incomes were flat. Consumer spending rose 0.8% in May. After adjusting for the 0.4% rise in consumer prices, real spending rose 0.4%, the most in nine months. Core inflation rose 0.1% in May and is up 2.1% in the past year.