$240,000 in 1940 is worth $5,405,160 today

Value of $240,000 from 1940 to 2024

$240,000 in 1940 is equivalent in purchasing power to about $5,405,160 today, an increase of $5,165,160.00 over 84 years. The dollar had an average inflation rate of 3.78% per year between 1940 and today, producing a cumulative price increase of 2,152.15%.

This means that today's prices are 22.52 times as high as average prices since 1940, according to the Bureau of Labor Statistics consumer price index. A dollar today only buys 4.440% of what it could buy back then.

The inflation rate in 1940 was 0.72%. The current inflation rate compared to the end of last year is now 2.44%. If this number holds, $240,000 today will be equivalent in buying power to $245,857.52 next year. The current inflation rate page gives more detail on the latest inflation rates.


Inflation from 1940 to 2024
Cumulative price change2,152.15%
Average inflation rate3.78%
Converted amount
$240,000 base
$5,405,160
Price difference
$240,000 base
$5,165,160.00
CPI in 194014.000
CPI in 2024315.301
Inflation in 19400.72%
Inflation in 20242.44%
$240,000 in 1940$5,405,160 in 2024

USD inflation since 1940
Annual Rate, the Bureau of Labor Statistics CPI
Download

Buying power of $240,000 in 1940

This chart shows a calculation of buying power equivalence for $240,000 in 1940 (price index tracking began in 1635).

For example, if you started with $240,000, you would need to end with $5,405,160 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When $240,000 is equivalent to $5,405,160 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 1940 dollars, the chart below shows how $240,000 is worth less over 84 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:

Dollar inflation: 1940-2024
YearDollar ValueInflation Rate
1940$240,000.000.72%
1941$252,000.005.00%
1942$279,428.5710.88%
1943$296,571.436.13%
1944$301,714.291.73%
1945$308,571.432.27%
1946$334,285.718.33%
1947$382,285.7114.36%
1948$413,142.868.07%
1949$408,000.00-1.24%
1950$413,142.861.26%
1951$445,714.297.88%
1952$454,285.711.92%
1953$457,714.290.75%
1954$461,142.860.75%
1955$459,428.57-0.37%
1956$466,285.711.49%
1957$481,714.293.31%
1958$495,428.572.85%
1959$498,857.140.69%
1960$507,428.571.72%
1961$512,571.431.01%
1962$517,714.291.00%
1963$524,571.431.32%
1964$531,428.571.31%
1965$540,000.001.61%
1966$555,428.572.86%
1967$572,571.433.09%
1968$596,571.434.19%
1969$629,142.865.46%
1970$665,142.865.72%
1971$694,285.714.38%
1972$716,571.433.21%
1973$761,142.866.22%
1974$845,142.8611.04%
1975$922,285.719.13%
1976$975,428.575.76%
1977$1,038,857.146.50%
1978$1,117,714.297.59%
1979$1,244,571.4311.35%
1980$1,412,571.4313.50%
1981$1,558,285.7110.32%
1982$1,654,285.716.16%
1983$1,707,428.573.21%
1984$1,781,142.864.32%
1985$1,844,571.433.56%
1986$1,878,857.141.86%
1987$1,947,428.573.65%
1988$2,028,000.004.14%
1989$2,125,714.294.82%
1990$2,240,571.435.40%
1991$2,334,857.144.21%
1992$2,405,142.863.01%
1993$2,477,142.862.99%
1994$2,540,571.432.56%
1995$2,612,571.432.83%
1996$2,689,714.292.95%
1997$2,751,428.572.29%
1998$2,794,285.711.56%
1999$2,856,000.002.21%
2000$2,952,000.003.36%
2001$3,036,000.002.85%
2002$3,084,000.001.58%
2003$3,154,285.712.28%
2004$3,238,285.712.66%
2005$3,348,000.003.39%
2006$3,456,000.003.23%
2007$3,554,434.292.85%
2008$3,690,908.573.84%
2009$3,677,777.14-0.36%
2010$3,738,102.861.64%
2011$3,856,097.143.16%
2012$3,935,897.142.07%
2013$3,993,548.571.46%
2014$4,058,331.431.62%
2015$4,063,148.570.12%
2016$4,114,405.711.26%
2017$4,202,057.142.13%
2018$4,306,800.002.49%
2019$4,382,700.001.76%
2020$4,436,771.431.23%
2021$4,645,202.864.70%
2022$5,016,957.148.00%
2023$5,223,465.714.12%
2024$5,405,160.003.48%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.
Click to show 78 more rows

This conversion table shows various other 1940 amounts in today's dollars, based on the 2,152.15% change in prices:

Conversion: 1940 dollars today
Initial valueEquivalent value
$1 dollar in 1940$22.52 dollars today
$5 dollars in 1940$112.61 dollars today
$10 dollars in 1940$225.22 dollars today
$50 dollars in 1940$1,126.08 dollars today
$100 dollars in 1940$2,252.15 dollars today
$500 dollars in 1940$11,260.75 dollars today
$1,000 dollars in 1940$22,521.50 dollars today
$5,000 dollars in 1940$112,607.50 dollars today
$10,000 dollars in 1940$225,215.00 dollars today
$50,000 dollars in 1940$1,126,075.00 dollars today
$100,000 dollars in 1940$2,252,150.00 dollars today
$500,000 dollars in 1940$11,260,750.00 dollars today
$1,000,000 dollars in 1940$22,521,500.00 dollars today

Inflation by City

Inflation can vary widely by city, even within the United States. Here's how some cities fared in 1940 to 2024 (figures shown are purchasing power equivalents of $240,000):

  • San Francisco, California: 4.02% average rate, $240,000 → $6,598,330.74, cumulative change of 2,649.30%
  • Seattle, Washington: 3.99% average rate, $240,000 → $6,402,657.99, cumulative change of 2,567.77%
  • Boston, Massachusetts: 3.83% average rate, $240,000 → $5,638,609.22, cumulative change of 2,249.42%
  • Atlanta, Georgia: 3.79% average rate, $240,000 → $5,479,162.55, cumulative change of 2,182.98%
  • New York: 3.78% average rate, $240,000 → $5,433,453.06, cumulative change of 2,163.94%
  • Philadelphia, Pennsylvania: 3.74% average rate, $240,000 → $5,233,744.88, cumulative change of 2,080.73%
  • Chicago, Illinois: 3.70% average rate, $240,000 → $5,070,041.33, cumulative change of 2,012.52%
  • Houston, Texas: 3.67% average rate, $240,000 → $4,966,024.20, cumulative change of 1,969.18%
  • Detroit, Michigan: 3.67% average rate, $240,000 → $4,941,620.54, cumulative change of 1,959.01%

San Francisco, California experienced the highest rate of inflation during the 84 years between 1940 and 2024 (4.02%).

Detroit, Michigan experienced the lowest rate of inflation during the 84 years between 1940 and 2024 (3.67%).

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 £240,000.00 in 1940 would be equivalent to £16,837,262.63 in 2024, an absolute change of £16,597,262.63 and a cumulative change of 6,915.53%.

In Canada, CA$240,000.00 in 1940 would be equivalent to CA$4,778,934.17 in 2024, an absolute change of CA$4,538,934.17 and a cumulative change of 1,891.22%.

Compare these numbers to the US's overall absolute change of $5,165,160.00 and total percent change of 2,152.15%.


Inflation by Spending Category

CPI is the weighted combination of many categories of spending that are tracked by the government. Breaking down these categories helps explain the main drivers behind price changes.

This chart shows the average rate of inflation for select CPI categories between 1940 and 2024.

Compare these values to the overall average of 3.78% per year:

CategoryAvg Inflation (%)Total Inflation (%)$240,000 in 1940 → 2024
Food and beverages4.002,591.426,459,397.74
Housing4.263,239.108,013,838.55
Apparel2.17504.961,451,913.38
Transportation3.571,808.464,580,296.30
Medical care4.875,327.1313,025,122.27
Recreation1.37212.42749,796.91
Education and communication1.74327.411,025,787.96
Other goods and services4.975,790.7414,137,778.61

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 1940. This table and charts use the earliest available data for each category.



How to calculate inflation rate for $240,000 since 1940

Our calculations use the following inflation rate formula to calculate the change in value between 1940 and today:

CPI today CPI in 1940
×
1940 USD value
=
Today's value

Then plug in historical CPI values. The U.S. CPI was 14 in the year 1940 and 315.301 in 2024:

315.30114
×
$240,000
=
$5,405,160

$240,000 in 1940 has the same "purchasing power" or "buying power" as $5,405,160 in 2024.

To get the total inflation rate for the 84 years between 1940 and 2024, we use the following formula:

CPI in 2024 - CPI in 1940CPI in 1940
×
100
=
Cumulative inflation rate (84 years)

Plugging in the values to this equation, we get:

315.301 - 1414
×
100
=
2,152%

Comparison to S&P 500 Index

The average inflation rate of 3.78% has a compounding effect between 1940 and 2024. As noted above, this yearly inflation rate compounds to produce an overall price difference of 2,152.15% over 84 years.

To help put this inflation into perspective, if we had invested $240,000 in the S&P 500 index in 1940, our investment would be nominally worth approximately $1,879,922,215.06 in 2024. This is a return on investment of 783,200.92%, with an absolute return of $1,879,682,215.06 on top of the original $240,000.

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 95.56% of returns ($1,796,449,879.06) during this period. This means the inflation-adjusted real return of our $240,000 investment is $83,232,335.99. You may also want to account for capital gains tax, which would take your real return down to around $70,747,486 for most people.

Investment in S&P 500 Index, 1940-2024
Original AmountFinal AmountChange
Nominal$240,000$1,879,922,215.06783,200.92%
Real
Inflation Adjusted
$240,000$83,472,335.9934,680.14%

Information displayed above may differ slightly from other S&P 500 calculators. Minor discrepancies can occur because we use the latest CPI data for inflation, annualized inflation numbers for previous years, and we compute S&P price and dividends from January of 1940 to latest available data for 2024 using average monthly close price.

For more details on the S&P 500 between 1940 and 2024, see the stock market returns calculator.


Data source & citation

Raw data for these calculations comes from the Bureau of Labor Statistics' (CPI), established in 1913. Price index data from 1774 to 1912 is sourced from a historical study conducted by political science professor Robert Sahr at Oregon State University and from the American Antiquarian Society. Price index data from 1634 to 1773 is from the American Antiquarian Society, using British pound equivalents.

You may use the following MLA citation for this page: “$240,000 in 1940 → 2024 | Inflation Calculator.” Official Inflation Data, Alioth Finance, 25 Oct. 2024, https://www.officialdata.org/us/inflation/1940?amount=240000.

Special thanks to QuickChart for their chart image API, which is used for chart downloads.

in2013dollars.com is a reference website maintained by the Official Data Foundation.


Ian Webster

About the author

Ian Webster is an engineer and data expert based in San Mateo, California. He has worked for Google, NASA, and consulted for governments around the world on data pipelines and data analysis. Disappointed by the lack of clear resources on the impacts of inflation on economic indicators, Ian believes this website serves as a valuable public tool. Ian earned his degree in Computer Science from Dartmouth College.

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» Read more about inflation and investment.

Inflation from 1940 to 2024
Cumulative price change2,152.15%
Average inflation rate3.78%
Converted amount
$240,000 base
$5,405,160
Price difference
$240,000 base
$5,165,160.00
CPI in 194014.000
CPI in 2024315.301
Inflation in 19400.72%
Inflation in 20242.44%
$240,000 in 1940$5,405,160 in 2024