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# \$1,000,000 in 1875 → \$23,361,272.73 in 2020

### U.S. Inflation Rate, \$1,000,000 in 1875 to 2020

According to the Bureau of Labor Statistics consumer price index, today's prices in 2020 are 2,236.13% higher than average prices since 1875. The U.S. dollar experienced an average inflation rate of 2.20% per year during this period, meaning the real value of a dollar decreased.

In other words, \$1,000,000 in 1875 is equivalent in purchasing power to about \$23,361,272.73 in 2020, a difference of \$22,361,272.73 over 145 years.

The 1875 inflation rate was -3.51%. The current inflation rate (2019 to 2020) is now 2.29%1. If this number holds, \$1,000,000 today will be equivalent in buying power to \$1,022,851.30 next year. The current inflation rate page gives more detail on the latest official inflation rates.

 Cumulative price change 2,236.13% Average inflation rate 2.20% Converted amount (\$1,000,000 base) \$23,361,272.73 Price difference (\$1,000,000 base) \$22,361,272.73 CPI in 1875 11.000 CPI in 2020 256.974 Inflation in 1875 -3.51% Inflation in 2020 2.29%

USD Inflation since 1635
Annual Rate, the Bureau of Labor Statistics CPI

### Buying power of \$1,000,000 in 1875

This chart shows a calculation of buying power equivalence for \$1,000,000 in 1875 (price index tracking began in 1635).

For example, if you started with \$1,000,000, you would need to end with \$23,361,272.73 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When \$1,000,000 is equivalent to \$23,361,272.73 over time, that means that the "real value" of a single U.S. dollar decreases over time. In other words, a dollar will pay for fewer items at the store.

This effect explains how inflation erodes the value of a dollar over time. By calculating the value in 1875 dollars, the chart below shows how \$1,000,000 buys less over the past 145 years.

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
1875 \$1,000,000.00 -3.51%
1876 \$972,727.27 -2.73%
1877 \$954,545.45 -1.87%
1878 \$909,090.91 -4.76%
1879 \$909,090.91 0.00%
1880 \$927,272.73 2.00%
1881 \$927,272.73 0.00%
1882 \$927,272.73 0.00%
1883 \$918,181.82 -0.98%
1884 \$890,909.09 -2.97%
1885 \$881,818.18 -1.02%
1886 \$854,545.45 -3.09%
1887 \$863,636.36 1.06%
1888 \$863,636.36 0.00%
1889 \$836,363.64 -3.16%
1890 \$827,272.73 -1.09%
1891 \$827,272.73 0.00%
1892 \$827,272.73 0.00%
1893 \$818,181.82 -1.10%
1894 \$781,818.18 -4.44%
1895 \$763,636.36 -2.33%
1896 \$763,636.36 0.00%
1897 \$754,545.45 -1.19%
1898 \$754,545.45 0.00%
1899 \$754,545.45 0.00%
1900 \$763,636.36 1.20%
1901 \$772,727.27 1.19%
1902 \$781,818.18 1.18%
1903 \$800,000.00 2.33%
1904 \$809,090.91 1.14%
1905 \$800,000.00 -1.12%
1906 \$818,181.82 2.27%
1907 \$854,545.45 4.44%
1908 \$836,363.64 -2.13%
1909 \$827,272.73 -1.09%
1910 \$863,636.36 4.40%
1911 \$863,636.36 0.00%
1912 \$881,818.18 2.11%
1913 \$900,000.00 2.06%
1914 \$909,090.91 1.01%
1915 \$918,181.82 1.00%
1916 \$990,909.09 7.92%
1917 \$1,163,636.36 17.43%
1918 \$1,372,727.27 17.97%
1919 \$1,572,727.27 14.57%
1920 \$1,818,181.82 15.61%
1921 \$1,627,272.73 -10.50%
1922 \$1,527,272.73 -6.15%
1923 \$1,554,545.45 1.79%
1924 \$1,554,545.45 0.00%
1925 \$1,590,909.09 2.34%
1926 \$1,609,090.91 1.14%
1927 \$1,581,818.18 -1.69%
1928 \$1,554,545.45 -1.72%
1929 \$1,554,545.45 0.00%
1930 \$1,518,181.82 -2.34%
1931 \$1,381,818.18 -8.98%
1932 \$1,245,454.55 -9.87%
1933 \$1,181,818.18 -5.11%
1934 \$1,218,181.82 3.08%
1935 \$1,245,454.55 2.24%
1936 \$1,263,636.36 1.46%
1937 \$1,309,090.91 3.60%
1938 \$1,281,818.18 -2.08%
1939 \$1,263,636.36 -1.42%
1940 \$1,272,727.27 0.72%
1941 \$1,336,363.64 5.00%
1942 \$1,481,818.18 10.88%
1943 \$1,572,727.27 6.13%
1944 \$1,600,000.00 1.73%
1945 \$1,636,363.64 2.27%
1946 \$1,772,727.27 8.33%
1947 \$2,027,272.73 14.36%
1948 \$2,190,909.09 8.07%
1949 \$2,163,636.36 -1.24%
1950 \$2,190,909.09 1.26%
1951 \$2,363,636.36 7.88%
1952 \$2,409,090.91 1.92%
1953 \$2,427,272.73 0.75%
1954 \$2,445,454.55 0.75%
1955 \$2,436,363.64 -0.37%
1956 \$2,472,727.27 1.49%
1957 \$2,554,545.45 3.31%
1958 \$2,627,272.73 2.85%
1959 \$2,645,454.55 0.69%
1960 \$2,690,909.09 1.72%
1961 \$2,718,181.82 1.01%
1962 \$2,745,454.55 1.00%
1963 \$2,781,818.18 1.32%
1964 \$2,818,181.82 1.31%
1965 \$2,863,636.36 1.61%
1966 \$2,945,454.55 2.86%
1967 \$3,036,363.64 3.09%
1968 \$3,163,636.36 4.19%
1969 \$3,336,363.64 5.46%
1970 \$3,527,272.73 5.72%
1971 \$3,681,818.18 4.38%
1972 \$3,800,000.00 3.21%
1973 \$4,036,363.64 6.22%
1974 \$4,481,818.18 11.04%
1975 \$4,890,909.09 9.13%
1976 \$5,172,727.27 5.76%
1977 \$5,509,090.91 6.50%
1978 \$5,927,272.73 7.59%
1979 \$6,600,000.00 11.35%
1980 \$7,490,909.09 13.50%
1981 \$8,263,636.36 10.32%
1982 \$8,772,727.27 6.16%
1983 \$9,054,545.45 3.21%
1984 \$9,445,454.55 4.32%
1985 \$9,781,818.18 3.56%
1986 \$9,963,636.36 1.86%
1987 \$10,327,272.73 3.65%
1988 \$10,754,545.45 4.14%
1989 \$11,272,727.27 4.82%
1990 \$11,881,818.18 5.40%
1991 \$12,381,818.18 4.21%
1992 \$12,754,545.45 3.01%
1993 \$13,136,363.64 2.99%
1994 \$13,472,727.27 2.56%
1995 \$13,854,545.45 2.83%
1996 \$14,263,636.36 2.95%
1997 \$14,590,909.09 2.29%
1998 \$14,818,181.82 1.56%
1999 \$15,145,454.55 2.21%
2000 \$15,654,545.45 3.36%
2001 \$16,100,000.00 2.85%
2002 \$16,354,545.45 1.58%
2003 \$16,727,272.73 2.28%
2004 \$17,172,727.27 2.66%
2005 \$17,754,545.45 3.39%
2006 \$18,327,272.73 3.23%
2007 \$18,849,272.73 2.85%
2008 \$19,573,000.00 3.84%
2009 \$19,503,363.64 -0.36%
2010 \$19,823,272.73 1.64%
2011 \$20,449,000.00 3.16%
2012 \$20,872,181.82 2.07%
2013 \$21,177,909.09 1.46%
2014 \$21,521,454.55 1.62%
2015 \$21,547,000.00 0.12%
2016 \$21,818,818.18 1.26%
2017 \$22,283,636.36 2.13%
2018 \$22,839,090.91 2.49%
2019 \$23,241,590.91 1.76%
2020 \$23,361,272.73 0.51%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.
Click to show 139 more rows

### Inflation by Country

Inflation can also vary widely by country. For comparison, in the UK £1,000,000.00 in 1875 would be equivalent to £116,147,281.71 in 2020, an absolute change of £115,147,281.71 and a cumulative change of 11,514.73%.

Compare these numbers to the US's overall absolute change of \$22,361,272.73 and total percent change of 2,236.13%.

### 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 1875 and 2020.

Compare these values to the overall average of 2.20% per year:

Category Avg Inflation (%) Total Inflation (%) \$1,000,000 in 1875 → 2020
Food and beverages 3.92 26,172.34 262,723,362.26
Housing 4.23 40,734.15 408,341,538.72
Apparel 2.02 1,715.77 18,157,673.55
Transportation 3.26 10,365.67 104,656,739.49
Medical care 5.14 142,335.56 1,424,355,609.85
Recreation 1.10 386.01 4,860,114.99
Education and communication 1.85 1,325.18 14,251,841.48
Other goods and services 5.04 124,048.77 1,241,487,677.57

The graph below compares inflation in categories of goods over time. Click on a category such as "Food" to toggle it on or off:

For all these visualizations, it's important to note that not all categories may have been tracked since 1875. This table and charts use the earliest available data for each category.

### How to Calculate Inflation Rate for \$1,000,000 since 1875

This inflation calculator uses the following inflation rate formula:

CPI in 2020CPI in 1875
×
1875 USD value
=
2020 USD value

Then plug in historical CPI values. The U.S. CPI was 11 in the year 1875 and 256.974 in 2020:

256.97411
×
\$1,000,000
=
\$23,361,272.73

\$1,000,000 in 1875 has the same "purchasing power" or "buying power" as \$23,361,272.73 in 2020.

To get the total inflation rate for the 145 years between 1875 and 2020, we use the following formula:

CPI in 2020 - CPI in 1875CPI in 1875
×
100
=
Cumulative inflation rate (145 years)

Plugging in the values to this equation, we get:

256.974 - 1111
×
100
=
2,236%

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

• Verney Cameroon becomes the first European to reach Benguela in Angola.
• Alexander Graham Bell makes the first sound transmission.
• The Pacific Stock Exchange is opened for the first time.

### 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: “\$1,000,000 in 1875 → 2020 | Inflation Calculator.” Official Inflation Data, Alioth Finance, 25 Jan. 2020, https://www.officialdata.org/us/inflation/1875?amount=1000000.