\$40,000 in 1925 → \$570,409.14 in 2018

Inflation Calculator

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U.S. Inflation Rate, 1925-2018 (\$40,000)

According to the Bureau of Labor Statistics consumer price index, the dollar experienced an average inflation rate of 2.90% per year. Prices in 2018 are 1326.0% higher than prices in 1925.

In other words, \$40,000 in the year 1925 is equivalent in purchasing power to \$570,409.14 in 2018, a difference of \$530,409.14 over 93 years.

Compared to last year's annual rate, the inflation rate in 2018 is now 1.95%1. If this number holds, \$40,000 today would be equivalent to \$40,779.13 next year. The current inflation rate page gives more detail on the latest official inflation rates.

 Cumulative price change 1326.02% Average inflation rate 2.90% Price difference (\$40,000 base) \$530,409.14 CPI in 1925 17.5 CPI in 2018 249.554

Inflation rates for specific categories

Wireless telephone services · Film and photographic supplies · Women's apparel · More

S&P 500 price · S&P 500 earnings · Shiller P/E

How to calculate the inflation rate for \$40,000 since 1925

This inflation calculator uses the following inflation rate formula:

CPI in 2018 / CPI in 1925 * 1925 USD value = 2018 USD value

Then plug in historical CPI values. The U.S. CPI was 17.5 in the year 1925 and 249.554 in 2018:

249.554 / 17.5 * \$40,000 = \$570,409.14

\$40,000 in 1925 has the same "purchasing power" as \$570,409.14 in 2018.