# \$100 in 1974 → \$509.34 in 2018

## Inflation Calculator

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👉 You may be interested in Inflation from 1974 to 2019

### U.S. Inflation Rate, \$100 in 1974 to 2018

According to the Bureau of Labor Statistics consumer price index, prices in 2018 are 409.34% higher than average prices throughout 1974. The dollar experienced an average inflation rate of 3.77% per year during this period, meaning the real value of a dollar decreased.

In other words, \$100 in 1974 is equivalent in purchasing power to about \$509.34 in 2018, a difference of \$409.34 over 44 years.

The 1974 inflation rate was 11.04%. The inflation rate in 2018 was 2.44%. The 2018 inflation rate is higher compared to the average inflation rate of 1.77% per year between 2018 and 2019.

Contents

 Cumulative price change 409.34% Average inflation rate 3.77% Converted amount (\$100 base) \$509.34 Price difference (\$100 base) \$409.34 CPI in 1974 49.300 CPI in 2018 251.107 Inflation in 1974 11.04% Inflation in 2018 2.44%

USD Inflation since 1913
Annual Rate, U.S. Bureau of Labor Statistics CPI

### Buying power of \$100 in 1974

This chart shows calculation of buying power equivalence, often referred to as "the value of a dollar" over time for \$100 in 1974 (price index tracking began in 1635).

According to the Bureau of Labor Statistics, each of these USD amounts below is equal in terms of what it could buy at the time:

Year Dollar Value Inflation Rate
1974 \$100.00 11.04%
1975 \$109.13 9.13%
1976 \$115.42 5.76%
1977 \$122.92 6.50%
1978 \$132.25 7.59%
1979 \$147.26 11.35%
1980 \$167.14 13.50%
1981 \$184.38 10.32%
1982 \$195.74 6.16%
1983 \$202.03 3.21%
1984 \$210.75 4.32%
1985 \$218.26 3.56%
1986 \$222.31 1.86%
1987 \$230.43 3.65%
1988 \$239.96 4.14%
1989 \$251.52 4.82%
1990 \$265.11 5.40%
1991 \$276.27 4.21%
1992 \$284.58 3.01%
1993 \$293.10 2.99%
1994 \$300.61 2.56%
1995 \$309.13 2.83%
1996 \$318.26 2.95%
1997 \$325.56 2.29%
1998 \$330.63 1.56%
1999 \$337.93 2.21%
2000 \$349.29 3.36%
2001 \$359.23 2.85%
2002 \$364.91 1.58%
2003 \$373.23 2.28%
2004 \$383.16 2.66%
2005 \$396.15 3.39%
2006 \$408.92 3.23%
2007 \$420.57 2.85%
2008 \$436.72 3.84%
2009 \$435.17 -0.36%
2010 \$442.30 1.64%
2011 \$456.27 3.16%
2012 \$465.71 2.07%
2013 \$472.53 1.46%
2014 \$480.19 1.62%
2015 \$480.76 0.12%
2016 \$486.83 1.26%
2017 \$497.20 2.13%
2018 \$509.34 2.44%
2019 \$518.35 1.77%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.

### Inflation by City

Inflation can vary widely by city, even within the United States. Here's how some cities fared in 1974 to 2018 (figures shown are purchasing power equivalents of \$100):

San Francisco, California experienced the highest rate of inflation during the 44 years between 1974 and 2018 (4.21%).

Detroit, Michigan experienced the lowest rate of inflation during the 44 years between 1974 and 2018 (3.54%).

Note that some locations showing 0% inflation may have not yet reported latest data.

### Inflation by Country

Inflation can also vary widely by country. For comparison, in the UK £100.00 in 1974 would be equivalent to £1,015.29 in 2018, an absolute change of £915.29 and a cumulative change of 915.29%.

In Canada, CA\$100.00 in 1974 would be equivalent to CA\$473.91 in 2018, an absolute change of CA\$373.91 and a cumulative change of 373.91%.

Compare these numbers to the US's overall absolute change of \$409.34 and total percent change of 409.34%.

### Inflation by Spending Category

CPI is the weighted combination of many categories of spending that are tracked by the government. This chart shows the average rate of inflation for select CPI categories between 1974 and 2018.

Compare these values to the overall average of 3.77% per year:

Category Avg Inflation (%) Total Inflation (%) \$100 in 1974 → 2018
Food 3.53 360.05 460.05
Shelter 4.50 592.81 692.81
Energy 4.07 477.98 577.98
Apparel 1.36 80.98 180.98
New vehicles 1.05 58.19 158.19
Used cars and trucks 0.61 30.73 130.73
Transportation services 4.50 594.72 694.72
Medical care services 5.91 1,151.44 1,251.44
Medical care commodities 4.77 675.74 775.74

It's important to note that not all categories may be tracked since 1974. This table and visualization use the earliest available data for each category.

### How to Calculate Inflation Rate for \$100, 1974 to 2018

This inflation calculator uses the following inflation rate formula:

CPI in 2018CPI in 1974
×
1974 USD value
=
2018 USD value

Then plug in historical CPI values. The U.S. CPI was 49.3 in the year 1974 and 251.10683333333 in 2018:

251.1068333333349.3
×
\$100
=
\$509.34

\$100 in 1974 has the same "purchasing power" or "buying power" as \$509.34 in 2018.

To get the total inflation rate for the 44 years between 1974 and 2018, we use the following formula:

CPI in 2018 - CPI in 1974CPI in 1974
×
100
=
Cumulative inflation rate (44 years)

Plugging in the values to this equation, we get:

251.10683333333 - 49.349.3
×
100
=
409%

### Alternate Measurements of Inflation

The above data describe the CPI for all items. Also of note is the Core CPI, which measures inflation for all items except for the more volatile categories of food and energy. Core inflation averaged 3.83% per year between 1974 and 2018 (vs all-CPI inflation of 3.77%), for an inflation total of 421.96%.

When using the core inflation measurement, \$100 in 1974 is equivalent in buying power to \$521.96 in 2018, a difference of \$421.96. Recall that for All Items, the converted amount is \$509.34 with a difference of \$409.34.

In 1974, core inflation was 8.25%.

### Comparison to S&P 500 Index

The average inflation rate of 3.77% has a compounding effect between 1974 and 2018. As noted above, this yearly inflation rate compounds to produce an overall price difference of 409.34% over 44 years.

To help put this inflation into perspective, if we had invested \$100 in the S&P 500 index in 1974, our investment would be nominally worth approximately \$9,804.63 in 2018. This is a return on investment of 9,704.63%, with an absolute return of \$9,704.63.

These numbers are not inflation adjusted, so they are considered nominal. In order to evaluate the real return on our investment, we must calculate the return with inflation taken into account.

The compounding effect of inflation would account for 80.37% of returns (\$7,799.31) during this period. This means the inflation-adjusted real return of our \$100 investment is \$1,905.32.

Investment in S&P 500 Index, 1974-2018
Original Amount Final Amount Change
Nominal \$100 \$9,804.63 9,704.63%
Real
\$100 \$1,905.32 1,905.32%

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

• Ayatollah Khomeini, appeals for an Islamic republic of Iran.
• The 1,000th victim of the Northern Ireland conflict between republican and loyalist paramilitaries is taken.
• President Richard Nixon announces his resignation.

### Data Source & Citation

Raw data for these calculations comes from the Bureau of Labor Statistics' (CPI), established in 1913. Inflation data from 1665 to 1912 is sourced from a historical study conducted by political science professor Robert Sahr at Oregon State University.

You may use the following MLA citation for this page: “1974 dollars in 2018 | Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 22 May. 2019, https://www.officialdata.org/1974-dollars-in-2018.