As a seasoned US coin collecting expert, I'm excited to take you on a journey through the fascinating world of the 1940 Jefferson nickel. While these coins may seem commonplace, they hold secrets that can make them surprisingly valuable. Let's dive into the history, features, and potential worth of these eight-decade-old pieces of American currency.
A Brief History of the 1940 Jefferson Nickel
The Jefferson nickel, first minted in 1938, was still relatively new in 1940. It replaced the iconic Buffalo nickel design, which had been in circulation since 1913. The transition to the Jefferson design was part of a broader effort to modernize US coinage and pay tribute to one of America's founding fathers.
1940 Nickel Mintage Statistics
In 1940, nickels were produced at three different US Mint facilities:
- Philadelphia: 176,485,000 (no mint mark)
- Denver: 43,540,000 (D mint mark)
- San Francisco: 39,690,000 (S mint mark, including proofs)
This high mintage explains why 1940 nickels are generally considered common. However, as we'll explore, certain factors can make some of these coins quite valuable.
Identifying Features of the 1940 Nickel
To determine the potential value of a 1940 nickel, it's crucial to examine its key features:
Obverse (Front) Design:
- Left-facing portrait of Thomas Jefferson
- "IN GOD WE TRUST" along the left rim
- "LIBERTY" and the date (1940) on the right, separated by a star
Reverse (Back) Design:
- Image of Jefferson's home, Monticello
- "E PLURIBUS UNUM" at the top
- "UNITED STATES OF AMERICA" at the bottom
- "FIVE CENTS" below Monticello
- Mint mark (if present) to the right of Monticello
Technical Specifications:
- Composition: 75% copper, 25% nickel
- Weight: 5 grams
- Diameter: 21.2 mm
- Edge: Plain
Grading the 1940 Nickel: The Key to Determining Value
The condition of a coin significantly impacts its value. As an expert collector, I always emphasize the importance of proper grading. Here are the key areas to examine when grading a 1940 nickel:
- Jefferson's hair: Look for frost and intricate detail
- Area above Jefferson's eye: Check for signs of wear
- Collar and shoulder: Inspect for lustre loss
- Monticello details: Examine the triangle above the door, columns, and foundation
Professional grading services use a scale from 1 (Poor) to 70 (Perfect Mint State). For most collectors, these broad categories are helpful:
- Good (G-4): Heavily worn but major design elements visible
- Fine (F-12): Moderate wear, some details clear
- Extremely Fine (XF-40): Light wear, most details sharp
- Uncirculated (MS-60 to MS-70): No wear from circulation, may have bag marks
1940 Nickel Value Guide: From Common to Extraordinary
The value of a 1940 nickel can vary widely based on its mint mark, condition, and any errors or special attributes. Here's a comprehensive breakdown of potential values:
1940 No Mint Mark (Philadelphia)
| Condition | Value Range |
|---|---|
| Circulated | $0.10 to $0.90 |
| MS-60 to MS-63 | $1.30 to $5 |
| MS-65 to MS-67 | $25 to $100 |
| MS-67+ FS | Up to $2,150 |
1940-D (Denver)
| Condition | Value Range |
|---|---|
| Circulated | $0.10 to $2 |
| MS-60 to MS-65 | $3.50 to $25 |
| MS-67 | Around $125 |
| MS-67 FS | About $275 |
1940-S (San Francisco)
| Condition | Value Range |
|---|---|
| Circulated | $0.10 to $1.80 |
| MS-60 to MS-63 | $3 to $7 |
| MS-67 | Up to $175 |
| MS-67 FS | Up to $1,250 |
1940-S Proof
| Grade | Approximate Value |
|---|---|
| PF-60 | $25 |
| PF-65 | $115 |
| PF-68 | Up to $7,950 |
Note: FS stands for "Full Steps," a designation for coins with complete detail on the steps of Monticello.
Rare 1940 Nickel Errors: The Holy Grail for Collectors
As an experienced collector, I can attest that errors can significantly increase a coin's value. Here are some notable 1940 nickel errors to watch for:
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Repunched Mint Mark: Especially common on 1940-S coins, these can be worth $45 to $800 depending on grade and the severity of the repunching.
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Full Steps: Six clear steps on Monticello are extremely rare and valuable. A 1940-D with Full Steps sold for an astounding $21,738 at auction in 2019.
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Off-Center Strike: The value increases with the percentage off-center:
- 10% off-center: Approximately $20
- 25% off-center: Around $50
- 50% off-center: Up to $120
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Reverse 1938: Very rare 1940-S proofs with the 1938 reverse die can fetch up to $25,000 in top grades. Only a handful are known to exist.
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Double Die Errors: While less common in 1940 nickels, they can occur and may be worth $50 to $200 depending on the strength of the doubling.
Expert Tips for Collectors
Drawing from my years of experience, here are some invaluable tips for collecting 1940 nickels:
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Invest in a good magnifying glass (at least 10x magnification) to examine coin details closely.
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Learn to distinguish between wear and strike weakness, especially on 1940-S coins which often have weaker strikes.
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Look for Full Steps examples, as these command significant premiums. Use a microscope if possible to verify all six steps are distinct.
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Consider having valuable coins professionally graded by PCGS or NGC for authentication and protection.
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Store your coins properly in non-PVC holders to prevent damage from environmental factors.
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Study die varieties specific to 1940 nickels. Resources like the Cherrypickers' Guide can be invaluable.
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Attend coin shows to network with other collectors and see a wide variety of specimens in person.
Where to Buy and Sell 1940 Nickels
For those looking to add 1940 nickels to their collection or sell their coins, consider these options:
- Local coin shops: Great for building relationships and getting hands-on experience
- Online marketplaces: eBay, Heritage Auctions, and Great Collections offer wide selections
- Coin shows and conventions: Excellent for networking and finding rare specimens
- Professional numismatic associations: The American Numismatic Association (ANA) has resources for buyers and sellers
Always research current market values using resources like the "Red Book" (A Guide Book of United States Coins) and deal with reputable sellers or buyers.
The Enduring Appeal of the 1940 Nickel
As we've explored, the 1940 Jefferson nickel offers more than meets the eye. While most examples may not make you rich, they provide an accessible entry point into the fascinating world of numismatics. Their historical significance, potential for valuable errors, and the thrill of hunting for high-grade specimens make them a perennial favorite among collectors of all levels.
The 1940 nickel serves as a tangible connection to a pivotal time in American history, minted on the eve of World War II. It represents a period of transition in US coinage and offers a glimpse into the economic and cultural landscape of pre-war America.
For the dedicated collector, the pursuit of a complete set of high-grade 1940 nickels from all mints, including errors and varieties, can be a rewarding challenge. It combines the thrill of the hunt with the satisfaction of preserving a piece of numismatic history.
Whether you're a seasoned numismatist or just starting your collecting journey, the 1940 Jefferson nickel provides an opportunity to hold a piece of American history in your hands – and perhaps uncover a hidden treasure in your pocket change. So the next time you receive change, take a moment to check those nickels. You never know what numismatic treasure you might discover!
Happy collecting, and may your search for the perfect 1940 nickel be both enjoyable and rewarding!
