A Day in the Life in 1994: Here’s How Much It Would Cost You Today
If you don’t think 1994 was all that long ago, just look at the value of the dollar today versus back then. Thirty years ago, the dollar had a lot more purchasing power than it does now.
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A single dollar back in 1994 would be worth about $2.12 today. Let’s put it another way: One dollar today has about 47% of the same purchasing power as it did in 1994.
While the value of the dollar has changed over time, and the cost of living is significantly higher than what it was 30 years ago, not everything has increased in price at an equal rate. Here’s an estimate of how much life in 1994 would cost you today.
Also see how much it cost to fill up your gas tank going back to the 1980s.
Housing
The cost of housing has increased exponentially over the past three decades. According to the Federal Reserve Bank of St. Louis, the median sales price of homes sold in the U.S. was $130,000 in Q1 1994.
Using an inflation calculator, you’ll see that $130,000 back then would be roughly $276,000 now. That means you’d need a little over twice as much money to afford that same home.
However, the median sales price of a new home in July 2024 was $429,800, according to the U.S. Census Bureau. You would need $196,707 back then to afford today’s median home price.
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Fast Food
“In the past three decades, we have witnessed major fluctuations in inflation causing changes in prices of goods and services,” said Dayten Rynsburger, co-founder of Niche Capital CO. “This phenomenon has also been observed within fast food industry.”
Take Taco Bell as an example.
If you were around in the early 1990s, you probably remember the blue and purple splashed cups from Taco Bell. Chances are you also remember how cheap fast food was.
Back in the summer of 1994, Taco Bell put out a commercial highlighting the cost of a regular taco. It was just $0.49 (or $1.04 in today’s money). A supreme taco was $0.79 (or $1.68 today).
If you were to actually go to a Taco Bell today, you’d find even higher prices — depending on what you get, of course. A crunchy taco, for example, costs $1.79. A supreme crunchy taco costs $2.69.
Prices have inflated in other fast-food chains as well. At McDonald’s, a Big Mac cost about $2.40 back in 1994. Today, it retails at around $5.50.
Entertainment
According to the U.S. Bureau of Labor Statistics’ most recent data, the average American household spends $3,458 on entertainment each year. The equivalent of that would have been $1,631 a year in 1994.
Entertainment can cover a number of things, including going to a concert or the movies. With movies, you could expect to pay around $4 per ticket back in 1994. Today, that same ticket would be closer to $12 — higher in some parts of the country.
Groceries
The BLS found that the average annual expenditure on food — including food at home and food away from home — was $9,343 in 2022. That’s about $10,039 in today’s dollars.
Just taking into account groceries, the average household today spends about $5,703 a year, or $475 a month. The equivalent back in 1994 would have been $2,688, or $224 a month.
Using official data, here’s an example of how much food costs today versus in 1994:
Product | 1994 cost | 2024 cost |
|---|---|---|
Pound of ground beef | $1.46 | $3.31 |
Loaf of white bread | $0.75 | $1.59 |
Dozen Grade A eggs | $0.89 | $1.89 |
1/2 gallon of milk | $1.44 | $3.05 |
Pound of red delicious apples | $0.88 | $1.87 |
Jar of peanut butter | $1.86 | $3.95 |
Pound of ground roast coffee | $4.48 | $9.50 |
Actual costs may vary depending on where you live and where you shop. These are just estimates based on the purchasing power of today’s dollar.
Gasoline
The price of gasoline has risen faster than the average inflation rate. As of Aug. 27, 2024, the national average price of gasoline across all grades is about $3.35, according to data from AAA. Back in 1994, it was just $1.16.
Median Income in 1994 vs. Today
The U.S. Census reported that the median household income in 1994 was $32,264 a year. Today, it’s about $75,000. What this means on the surface level is that, to maintain a comfortable lifestyle similar to what you’d have had back in 1994, you’d need to earn a bit over twice as much in today’s dollars.
However, the costs of some everyday goods and services have risen faster than wages. Groceries and housing, for example, are much more expensive today than they were in 1994 — even accounting for the average inflation rate.
It’s also worth noting that the average annual expenditure in 1994 was $32,740. Today, it’s a little over $72,000.
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This article originally appeared on GOBankingRates.com: A Day in the Life in 1994: Here’s How Much It Would Cost You Today
