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Looking back at the $20- What Could $20 Buy You Through History

By
Real Estate Agent with Laer Realty Partners Bowen

During the holidays in many places in South Florida, it is difficult to find $20 garage parking. Look back in history to see what $20 would buy dating back to the Colonial Era. The article was written by Nicole Villenueve from HISTORY FACTS. She presented the value of the $20 up until the 1980s.  What can $20 buy you today?

Imagine walking into a grocery store with $20 in your pocket. What can you buy? Today, you might be able to grab some pasta and vegetables for the night’s dinner and have leftovers for tomorrow’s lunch, if you’re lucky. The purchasing power of a dollar has changed dramatically from the early days of American history, largely due to the ever-increasing prices of the things we spend money on — that pesky reality we call inflation. Twenty bucks might not put much in your grocery bag now, but in the mid-20th century, it could easily stock your pantry — or even cover a visit to the doctor. Here’s what $20 could comfortably buy you at different times in U.S. history.

Colonial Era

The colonial American economy primarily used a mix of British currency (pounds, shillings, and pence), Spanish dollars, and various forms of local currency. There was no unified economic system; the value of money and exchange rates varied among colonies, and historians admit it’s a challenge to draw direct comparisons to modern prices. Using various online converters, we can loosely estimate $20 to be equivalent to about 100 shillings at the time. In the 1730s, 20 shillings could buy 50 acres of land in Maryland or about 3 pounds of beef in New England. In 1777, the same amount would outfit a man in a full suit of broadcloth in Rhode Island. 

Of course, while it’s fun to speculate, it’s nearly impossible to determine with any certainty how much $20 was worth in colonial America, as there was no standard national currency until the U.S. won independence at the end of the Revolutionary War.                                      

1870s

In 1785, the dollar was established as the official unit of currency of the newly formed United States, and the first coins were printed in 1794 when the Coinage Act established the U.S. Mint. (The first paper money came later, in 1861.) While the young country grappled with economic uniformity for decades, the U.S. dollar was well ingrained by the mid-19th century. 

By 1870, $20 could cover an entire month’s rent for a Lower East Side tenement apartment in New York City. Though the conditions in tenement buildings were often overcrowded, unsanitary, and unsafe, many working-class families and new immigrants called them home. Today, after centuries of both inflation and gentrification, the average rent in the same Manhattan neighborhood hovers around $5,000 a month. That $20 rent might sound like a great deal in comparison, but most laborers only earned about $50 a month — meaning 40% of their income often went to housing. Professionals such as doctors or lawyers were, of course, much better off, taking home a few hundred dollars a month. 

In rural areas, $20 was also sufficient means to buy a milking cow, providing a steady supply of milk, cheese, and butter for a household. A decent selection of clothing was also within reach with $20 to your name. Newspaper advertisements from San Francisco touted formal wear such as silk suits for $12.50, heavy woolen coats (known as ulsters) for $5, and twilled silk umbrellas for $1.50 each. Altogether, that was $19 worth of clothing. Today, $20 might only buy you a couple cups of coffee if you're living and working in a city; in rural areas, it might fuel a week’s worth of caffeine. Or if you’re shopping for clothes on a budget, 20 bucks could probably snag you a pair of jeans on sale.                                                                         

1920s

In the economic boom of the Roaring ’20s, consumer goods became increasingly accessible to everyday Americans. For the men and women who dressed up to go out and dance the Charleston, $20 could easily cover a stylish suit, coat, or dress for the occasion. The popularity of household appliances was also on the rise. Electric stoves didn’t outnumber gas ranges for another decade or so, but a smaller electric oven for the kitchen countertop cost around $10, putting home innovation and upgrades within reach for some Americans. The average U.S. income averaged between $3,000 and $5,000 a year throughout the decade, so to many, $10 here or $20 there wasn't just pocket change; it represented a decent chunk of their monthly income of just a few hundred dollars. 

In the 1920s, the popularity of cars exploded in the U.S., but $20 wasn’t near enough to buy a popular Ford Model T — that would run you a whopping $260. If you did have a car, though, $20 could fill the 10-gallon gas tank about 10 times over, making a road trip on America’s rapidly improving roadways a must.                                                                           

1950s

The average U.S. household income in 1950 was about $3,300, and $20 still had decent purchasing power for necessities and beyond. It was, for instance, possible to plan a full holiday meal for your family with much less than $20. In fact, according to the American Farm Bureau Federation, it cost just under $7 for a meal that included a 16-pound turkey, potatoes, stuffing, dinner rolls, cranberries, and pumpkin pie throughout the entirety of the 1950s. At that price, families could add some extra vegetables such as carrots, and maybe even a nice bottle of wine or champagne

As another example, $20 could buy 400 cans of Coca-Cola. Excessive, no doubt, but by the end of the 1950s, the U.S. indeed loved its canned sodas, and since Coke was still priced at just 5 cents a pop, just about anyone could enjoy one now and then. The cost of medical care was much lower in the 1950s as well — $20 could cover three or four checkups with your doctor, at about $5 to $6 a visit, or even a trip to the operating room for minor procedures.                                                                                                                                 

1980s

Music lovers today know that many live shows are a luxury expense or even out of reach — an average concert ticket costs well over $100. But in 1980, $20 could snag you two tickets to see some of the top acts of the day, including Peter Gabriel, Bob Seger, or the Grateful Dead. Today, meanwhile,  it might be able to get you a drink at big arena shows. 

For kids (or collectors), brand-new Transformers toys at the peak of their popularity in the ’80s were typically priced at about $10; for a more deluxe figure, $20 was the norm. And while $20 doesn’t go very far in the fast-food realm today, in the 1980s, it bought a lot: A McDonald’s value meal deal cost a mere $2.59, meaning $20 could feed a family of seven — or a family of five with money left over for ice cream afterward.                                           

Joe Mojica/justaskJoe                                                                                                                 Laer Realty Partners Bowen                                                                                                      Mobile:  561-431-4069                                                                                                              Office:  772-207-7669                                                                                                                Email:  FLproperties@joemojica.com               

         PROUDLY SERVING THE BEAUTIFUL & RICH TREASURE COAST OF  FLORIDA                                                                                

 

 

 

 

 

 

 

 

 

 

                                  

 

 

 

 

  

 

Show All Comments Sort:
Jeff Masich-Scottsdale AZ Associate Broker,MBA,GRI
HomeSmart Real Estate - Scottsdale, AZ
Arizona Homes and Land Group/ Buy or Sell

I go back to buying Bazooka Joe gum with a comic in it for 1 penny. Then we returned soda bottles we found an got a 2 cent return deposit to buy 2 more Bazooka Joe gums. The never ending cycle of youthful bliss.

Jan 16, 2025 07:40 PM
Joe Mojica

Jeff- amazing that you were able to return soda bottle for money. Today, as you know, everything is plastic.  Thanks for this tidbit of information. Joe

Jan 18, 2025 10:05 AM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Joe Mojica  no need to go back so far, I remember when I was a kid and my father would buy a gallon of gasoline for his car at .20c  and fill up his care, and needless to say he did not need to spend $20:)Endre

p.s.:  I filled up my car the other day and I was thrilled I paid less than $90 go figure....

Jan 16, 2025 10:33 PM
Joe Mojica

Endre - amazing that twenty cents could fill up your father's car. Like you, my car easily fills up (if gauge is on empty and depending on price) with $90.  Unbelievable!

Jan 18, 2025 10:07 AM
Brian England
Ambrose Realty Management LLC - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

$20 doesn't go very far at all these days and everything has pretty much doubled or tripled in price over the last 4 years.

Jan 17, 2025 04:28 AM
Joe Mojica

Yes, in South Florida just trying to park in a parking garage can easily cost $30 (especially during a holiday).  It is outrageous!

Jan 18, 2025 10:09 AM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Real Estate Broker

Good morning, Joe... I'm old enough to remember when my mother could feed a family of four in the 1950's on $25/week... and we did not have meatless days.

Jan 17, 2025 04:29 AM
Joe Mojica

Wow, to feed a family of four on $25 a week is unbelievable, and it included meat. Today, $25 might get you a dozen eggs and a package of bacon and it would not feed four people.  Thanks for your comment.   Joe

Jan 18, 2025 10:11 AM
Doug Rogers
RE/MAX Coastal Properties - Destin, FL
Your Real Estate Resource!

Today's twenty dollar bill is the equivalent of a five dollar bill when I was growing up

Jan 17, 2025 05:15 AM
Joe Mojica

Doug- thanks for your comment. I recall when I could go to McDonald's and get an entire meal and an ice cream cone and still have change left over.  Today, twenty dollars buys very little.

Jan 18, 2025 10:12 AM
Roy Kelley
Retired - Gaithersburg, MD

When I was a kid, one of my favorite lunches at a local business in Portsmouth, VA was two hot dogs, loaded, and a Coke for a quarter.

Jan 17, 2025 11:08 AM
Joe Mojica

A quarter for all that, wow!   Loaded hot dogs is unheard of today. Thanks for sharing.  Enjoy your weekend.

Jan 18, 2025 10:14 AM
George Souto
George Souto NMLS #65149 - Middletown, CT
Your Connecticut Mortgage Expert

Joe Mojica $20 barely pays for a quarter pounder, large fries, and a drink at McDonald's these days.

Jan 17, 2025 03:16 PM
Joe Mojica
Laer Realty Partners Bowen - Port St Lucie, FL
Your Home Adds Value to You

George- you are correct. I want to add that the burger buns are smaller, the meat has also decreased and there give less fries. Let's not forget the lack of friendly and helpful service.  Joe

Jan 18, 2025 10:15 AM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Joe Mojica  my typo gas was .20 cents a gallon and do the numbers 15 gallons or so for his chevy impala:)Endre

Jan 18, 2025 11:36 PM