Cars priced at $40,000 in 2018 $49,199.24 in 2023

Cars Inflation Calculator


Prices for Cars, 2018-2023 ($40,000)

According to the U.S. Bureau of Labor Statistics, prices for new cars were 23% higher in 2023 versus 2018 (a $9,199.24 difference in value).

Between 2018 and 2023: Cars experienced an average inflation rate of 4.23% per year. This rate of change indicates significant inflation. In other words, cars costing $40,000 in the year 2018 would cost $49,199.24 in 2023 for an equivalent purchase. Compared to the overall inflation rate of 3.94% during this same period, inflation for cars was higher.

In the year 2018: Pricing changed by -0.48%, which is significantly below the average yearly change for cars during the 2018-2023 time period. Compared to inflation for all items in 2018 (2.44%), inflation for cars was lower.

Price Inflation for New cars since 1935

Consumer Price Index, U.S. Bureau of Labor Statistics
Years with the largest changes in pricing: 1947 (49.78%), 2022 (11.07%), and 1948 (8.97%).

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Buying power of $40,000.00 since 2018

Below are calculations of equivalent buying power for Cars, over time, for $40,000 beginning in 2018. Each of the amounts below is equivalent in terms of what it could buy at the time:

YearUSD ValueInflation Rate

* Not final. See inflation summary for latest details.
** Extended periods of 0% inflation usually indicate incomplete underlying data. This can manifest as a sharp increase in inflation later on.

Raw Consumer Price Index data from U.S. Bureau of Labor Statistics for New cars:


Adjust cars prices for inflation

Start with the inflation rate formula:

CPI in 2023 / CPI in 2018 * 2018 USD value = 2023 USD value

Then plug in historical CPI values from above. The CPI for New cars was 141.968 in the year 2018 and 174.618 in 2023:

174.618 / 141.968 * $40,000 = $49,199.24

Therefore, according to U.S. Bureau of Labor Statistics, $40,000 in 2018 has the same "purchasing power" as $49,199.24 in 2023 (in the CPI category of New cars).

Source: U.S. Bureau of Labor Statistics began tracking the Consumer Price Index for New cars in 1935. In addition to cars, the index produces monthly data on changes in prices paid by urban consumers for a variety of goods and services.

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