# \$500,000 in 1925 → \$7,188,285.71 in 2018

## Inflation Calculator

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### U.S. Inflation Rate, \$500,000 in 1925 to 2018

According to the Bureau of Labor Statistics consumer price index, the dollar experienced an average inflation rate of 2.91% per year. Prices in 2018 are 1337.7% higher than prices in 1925.

In other words, \$500,000 in 1925 is equivalent in purchasing power to \$7,188,285.71 in 2018, a difference of \$6,688,285.71 over 93 years.

The current inflation rate is now 2.80%1. If this number holds, \$500,000 today will be equivalent to \$514,005.06 next year. The current inflation rate page gives more detail on the latest official inflation rates.

 Cumulative price change 1337.66% Average inflation rate 2.91% Converted amount (\$500,000 base) \$7,188,285.71 Price difference (\$500,000 base) \$6,688,285.71 CPI in 1925 17.5 CPI in 2018 251.59

#### Inflation rates for specific categories

Educational books and supplies · Dental services · Jewelry · More

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

### How to calculate the inflation rate for \$500,000 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 251.59 in 2018:

251.59 / 17.5 * \$500,000 = \$7,188,285.71

\$500,000 in 1925 has the same "purchasing power" or "buying power" as \$7,188,285.71 in 2018.

Here are calculations of buying power over time for \$500,000 in 1925 (price index tracking began in 1913). Each of these USD amounts below is equivalent in terms of what it could buy at the time:
Year USD Value Inflation Rate
1925 \$500,000.00 2.34%
1926 \$505,714.29 1.14%
1927 \$497,142.86 -1.69%
1928 \$488,571.43 -1.72%
1929 \$488,571.43 0.00%
1930 \$477,142.86 -2.34%
1931 \$434,285.71 -8.98%
1932 \$391,428.57 -9.87%
1933 \$371,428.57 -5.11%
1934 \$382,857.14 3.08%
1935 \$391,428.57 2.24%
1936 \$397,142.86 1.46%
1937 \$411,428.57 3.60%
1938 \$402,857.14 -2.08%
1939 \$397,142.86 -1.42%
1940 \$400,000.00 0.72%
1941 \$420,000.00 5.00%
1942 \$465,714.29 10.88%
1943 \$494,285.71 6.13%
1944 \$502,857.14 1.73%
1945 \$514,285.71 2.27%
1946 \$557,142.86 8.33%
1947 \$637,142.86 14.36%
1948 \$688,571.43 8.07%
1949 \$680,000.00 -1.24%
1950 \$688,571.43 1.26%
1951 \$742,857.14 7.88%
1952 \$757,142.86 1.92%
1953 \$762,857.14 0.75%
1954 \$768,571.43 0.75%
1955 \$765,714.29 -0.37%
1956 \$777,142.86 1.49%
1957 \$802,857.14 3.31%
1958 \$825,714.29 2.85%
1959 \$831,428.57 0.69%
1960 \$845,714.29 1.72%
1961 \$854,285.71 1.01%
1962 \$862,857.14 1.00%
1963 \$874,285.71 1.32%
1964 \$885,714.29 1.31%
1965 \$900,000.00 1.61%
1966 \$925,714.29 2.86%
1967 \$954,285.71 3.09%
1968 \$994,285.71 4.19%
1969 \$1,048,571.43 5.46%
1970 \$1,108,571.43 5.72%
1971 \$1,157,142.86 4.38%
1972 \$1,194,285.71 3.21%
1973 \$1,268,571.43 6.22%
1974 \$1,408,571.43 11.04%
1975 \$1,537,142.86 9.13%
1976 \$1,625,714.29 5.76%
1977 \$1,731,428.57 6.50%
1978 \$1,862,857.14 7.59%
1979 \$2,074,285.71 11.35%
1980 \$2,354,285.71 13.50%
1981 \$2,597,142.86 10.32%
1982 \$2,757,142.86 6.16%
1983 \$2,845,714.29 3.21%
1984 \$2,968,571.43 4.32%
1985 \$3,074,285.71 3.56%
1986 \$3,131,428.57 1.86%
1987 \$3,245,714.29 3.65%
1988 \$3,380,000.00 4.14%
1989 \$3,542,857.14 4.82%
1990 \$3,734,285.71 5.40%
1991 \$3,891,428.57 4.21%
1992 \$4,008,571.43 3.01%
1993 \$4,128,571.43 2.99%
1994 \$4,234,285.71 2.56%
1995 \$4,354,285.71 2.83%
1996 \$4,482,857.14 2.95%
1997 \$4,585,714.29 2.29%
1998 \$4,657,142.86 1.56%
1999 \$4,760,000.00 2.21%
2000 \$4,920,000.00 3.36%
2001 \$5,060,000.00 2.85%
2002 \$5,140,000.00 1.58%
2003 \$5,257,142.86 2.28%
2004 \$5,397,142.86 2.66%
2005 \$5,580,000.00 3.39%
2006 \$5,760,000.00 3.23%
2007 \$5,924,057.14 2.85%
2008 \$6,151,514.29 3.84%
2009 \$6,129,628.57 -0.36%
2010 \$6,230,171.43 1.64%
2011 \$6,426,828.57 3.16%
2012 \$6,559,828.57 2.07%
2013 \$6,655,914.29 1.46%
2014 \$6,763,885.71 1.62%
2015 \$6,771,914.29 0.12%
2016 \$6,857,342.86 1.26%
2017 \$6,993,885.71 1.99%
2018 \$7,188,285.71 2.78%*
* Not final. See inflation summary for latest details.

### News headlines from 1925

Politics and news often influence economic performance. Here's what was happening at the time: