The 1940 Jefferson Nickel, a coin with a rich history and enduring design, is a popular target for coin collectors. If you’ve stumbled upon one and are curious about “How Much Is A 1940 Nickel Worth?”, this guide breaks down the factors influencing its value, from its condition to its unique characteristics.
The Jefferson Nickel series began in 1938, replacing the Buffalo Nickel after 25 years of production. A design contest was held in 1937 to honor Thomas Jefferson, with German émigré Felix Oscar Schlag winning the $1,000 prize. His obverse design, resembling Jean-Antoine Houdon’s 1789 bust of Jefferson, remained virtually unchanged for 66 years. However, his initial reverse design featuring a three-quarters view of Monticello was rejected, leading to the now-familiar head-on portrayal.
In 1940, the Philadelphia Mint produced over 176 million Jefferson Nickels, marking a significant increase from the previous year. Despite this high mintage, the 1940 nickel didn’t yield any major varieties. However, its value today is determined by several factors.
Understanding the Value of a 1940 Jefferson Nickel: Four Pricing Tiers
To accurately assess the value of a 1940 Jefferson Nickel, we need to consider these four pricing tiers:
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Circulated Coins: These are the nickels you might find in your pocket change. Due to the large mintage and availability of higher-quality examples, circulated 1940 Jefferson Nickels typically hold only face value.
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Uncirculated Examples: These coins haven’t been in circulation and are often found at coin shops. Their value ranges from approximately $1.50 for a Brilliant Uncirculated specimen to around $15 for a “Gem” example.
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Numerical Mint State Coins: These coins have been graded and certified by reputable services like CACG, NGC, or PCGS. A “Gem” uncirculated grade generally corresponds to MS65 or higher. The terminal grade (the lowest grade worth submitting for certification) is MS67. While an MS65 may still retail for around $15, an MS67 can command premiums of $100 or more. For example, a PCGS-certified MS67 1940 nickel sold for $104 at a Heritage Auction in 2017.
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Numerical Mint State Coins with Full Steps Designation: These are the most sought-after Jefferson Nickels. The “Full Steps” designation refers to the clarity and completeness of the steps on Monticello on the coin’s reverse.
Full Steps nickels generally carry a premium, often twice that of their non-Full Steps counterparts. In a 2017 Heritage Auction, a PCGS MS67 Full Steps 1940 Jefferson nickel fetched $234.
At the extreme high end, a PCGS MS68FS (Full Steps) Jefferson Nickel sold for an impressive $6,462.50 at the 2016 ANA National Money Show in Dallas. This coin was nearly flawless, with only a minor imperfection near Jefferson’s eye.
What are “Full Steps” on a Jefferson Nickel?
The Full Steps designation is crucial for maximizing the value of a Jefferson Nickel.
The “steps” are located on the Monticello design between the stylobate (the flat pavement) and the foundation block. Factors like die condition, striking pressure, and contact with other coins influence whether a nickel earns the Full Steps designation.
PCGS uses “FS” to denote Full Steps, while NGC previously used “5FS” and “6FS” to differentiate between five and six full steps.
Design Elements of the 1940 Jefferson Nickel
Obverse: The obverse showcases a left-facing bust of President Thomas Jefferson, reminiscent of Jean-Antoine Houdon’s 1789 bust. The motto “IN GOD WE TRUST” arcs along the left side, while “LIBERTY” and the date “1940” appear on the right.
Reverse: The reverse features a front view of Monticello, Jefferson’s mansion in Charlottesville, Virginia. The motto “E PLURIBUS UNUM” is at the top, “MONTICELLO” is below the building, “FIVE CENTS” is beneath that, and “UNITED STATES OF AMERICA” runs along the bottom edge.
Felix Schlag’s initials weren’t added to the Jefferson Nickel until 1966.
Key Takeaways on the 1940 Nickel Value
The value of a 1940 Jefferson Nickel depends heavily on its condition and whether it has the Full Steps designation. Circulated coins are worth face value, while uncirculated examples can fetch a few dollars. However, certified Mint State coins, especially those with Full Steps, can be quite valuable. If you have a 1940 Jefferson Nickel, consider having it graded by a reputable service to determine its true worth.
