40 Percent Silver Half Dollars and War Nickels: What They’re Worth

When the Coinage Act of 1965 ended 90 percent silver in US dimes and quarters, it left two transitional coins in an awkward middle ground: the 1965-1970 Kennedy half dollar (40 percent silver) and the 1942-1945 wartime nickel (35 percent silver). Both coins contain genuine silver. Neither receives the same secondary-market treatment as their classic 90 percent counterparts. Understanding the difference can put real money in your pocket when you sort a mixed coin lot.

This guide covers how to identify each coin, how to calculate its melt value, and why the bidding dynamics work against sellers who do not shop around. If you arrived here after reading our 90 percent silver coins value guide, you already know the baseline. These coins are priced relative to that baseline, and almost always below it.

The Two Coins at a Glance

Both coins emerged from moments when Congress needed to reduce silver in US coinage without eliminating it entirely. The war nickel served a military procurement need. The 40 percent half was a compromise aimed at giving the market time to adjust. Neither was designed with the long-term collector in mind, which partly explains their modest secondary market.

Notice that a 40 percent Kennedy half dollar contains less than half the silver of a pre-1965 half, even though the two coins are nearly identical in physical size and weight. That gap matters at the dealer’s window.

How to Identify a 40 Percent Silver Kennedy Half Dollar

The dates to look for are 1965, 1966, 1967, 1968-D, 1969-D, and 1970-D. Coins dated 1971 and later contain no silver at all. The portrait of President Kennedy on the obverse is the same across all years, so the date is your first and most important checkpoint.

The edge is your second checkpoint. A 40 percent silver half dollar shows a faint silver-colored stripe along the coin’s edge. A post-1970 clad half reveals a visible copper stripe. The difference is subtle but consistent under good lighting.

The 1970-D deserves a separate mention. It was produced exclusively for mint sets and never released into general circulation. Circulated examples are essentially unknown, and even lightly used specimens in a mint set typically carry a premium above silver content alone. If you find a 1970 Kennedy half in a coin roll, it is almost certainly from someone who raided a mint set, and the coin’s condition matters more in that case.

Proof versions (1968-S, 1969-S, 1970-S) were struck at the San Francisco Mint for collectors. These also carry premiums in high grade and should be evaluated separately from bullion-priced examples. A cameo proof 1968-S in a PCGS or NGC slab is a different animal from a circulated 1966 in a mixed lot.

How to Identify a War Nickel (1942-1945)

The single most reliable identifier for a war nickel is the position and size of the mintmark on the reverse. On standard Jefferson nickels from that era, no mintmark appeared for Philadelphia-struck coins, and branch-mint coins showed a small D or S to the right of Monticello on the obverse. War nickels moved the mintmark to the reverse and enlarged it dramatically: a large capital P, D, or S appears above the dome of Monticello, clearly visible to the naked eye.

The P mintmark is historically significant. Philadelphia had never before used a P mintmark on circulating US coinage. The war nickel years were the first time Philadelphia coins were identified by mintmark, specifically to help identify the silver-alloy coins in circulation.

The alloy composition was 56 percent copper, 35 percent silver, and 9 percent manganese. Manganese gives older war nickels a slight golden or greenish tint in circulated examples. This discoloration is not damage; it is a normal characteristic of the alloy over decades of handling and storage.

Not every 1942 nickel is a war nickel. Regular copper-nickel composition nickels were struck through the first part of 1942 before the new alloy was introduced. A 1942 nickel without the large reverse mintmark is a standard nickel with no silver content. Date alone is not sufficient; always check the mintmark position.

Silver Content Compared Across US Coin Types

The chart below places both coins in context alongside the 90 percent silver family. The visual makes the silver-content gap concrete. A Morgan or Peace dollar contains roughly 5.2 times the silver of a 40 percent Kennedy half, and about 13.7 times the silver of a single war nickel.

Silver content data is derived from official US Mint specifications. The 90 percent Morgan/Peace dollar weighs 26.73 grams (0.7734 troy oz silver). The 90 percent half dollar weighs 12.50 grams (0.3617 troy oz silver). These figures are fixed and do not vary by date or mint.

How to Calculate Melt Value

Melt value is the dollar amount you would receive if a refiner processed the coin’s silver at that day’s spot price, with no margin applied. It is a theoretical maximum, not a dealer bid price. The formula is straightforward.

For a 40 percent Kennedy half dollar: multiply 0.1479 by the current silver spot price per troy oz. If silver trades at $30 per troy oz, the melt value is $4.44 per coin. At $25 per troy oz, it is $3.70. At $35 per troy oz, it is $5.18.

For a war nickel: multiply 0.0563 by the spot price. At $30 per troy oz, the melt value is $1.69 per coin. At $25 per troy oz, it is $1.41. At $35 per troy oz, it is $1.97.

You can automate this calculation for current spot prices using our silver value calculator, which updates in real time. Enter the number of coins and select the coin type to get a current melt value estimate for your lot.

For a bag or roll context: a $1,000 face value bag of 40 percent halves (2,000 coins) contains approximately 295.8 troy oz of silver. A $1,000 face value bag of 90 percent halves contains approximately 723.4 troy oz. The difference illustrates why dealers treat them as distinct product categories with distinct pricing.

Why Dealers Discount These Coins Below Melt

A refiner processing 90 percent silver has a straightforward job: the alloy is well-established, the yields are predictable, and the market for the refined product is deep. When the alloy drops to 40 percent or 35 percent, the refinery must run additional processing passes, use more reagents, and handle more base-metal waste per troy oz of recovered silver. Those costs flow back to whoever sold the mixed-alloy material.

The discount varies by buyer and market conditions, but a range of 5 to 15 percent below calculated melt is typical for 40 percent halves and war nickels in bulk. Some dealers offer closer to spot during strong silver markets when they can move inventory quickly. Others apply a steeper discount if they are accumulating for a refinery run. The spread is real and worth testing with multiple bids.

Compare this with 90 percent silver US coinage, which often trades at or slightly above spot melt when silver demand is elevated. The premium on 90 percent reflects lower refining friction, stronger collector crossover demand, and a more liquid wholesale market. The 40 percent and 35 percent coins lack those structural advantages.

There is also a sorting problem. When a dealer buys a mixed lot, they have to verify that the 40 percent coins are actually 40 percent (not post-1970 clad). That time and labor gets priced into the bid. Presenting pre-sorted, counted, and date-verified lots typically improves the offer you receive.

Collectible Exceptions Worth Knowing

Not every 40 percent half or war nickel belongs in the bullion bin. A few categories command prices well above melt.

The 1970-D Kennedy half is the most straightforward exception. Mintage was approximately 2.15 million coins, all struck for mint sets. Finding one in true uncirculated condition (MS-65 or better by PCGS or NGC standards) can return several times the silver melt value. Even circulated examples in collector-grade condition carry a modest premium over raw bullion price.

Proof 40 percent halves from the San Francisco Mint (1968-S, 1969-S, 1970-S) in deep cameo condition (DCAM designation) attract collector buyers willing to pay beyond silver content. A PR-69 DCAM example in a certified holder from a major grading service trades at a significant premium over melt. These coins should go to a coin dealer or auction house, not a bullion buyer.

Among war nickels, the 1943-P is the highest-mintage issue and generally trades closest to melt. The 1945-P in MS-65 or finer condition and certain varieties within the series attract collector attention. Full Steps Jefferson nickels (a grading designation for war-era nickels with distinct steps on Monticello) command a substantial premium in the highest grades. If you have war nickels that look unusually well-struck and uncirculated, consider having them graded before selling as bullion.

Error coins and die varieties exist across both series. A war nickel with a doubled die, repunched mintmark, or other attributable variety has numismatic value entirely separate from silver content. When in doubt about an unusual-looking example, a professional numismatist’s opinion costs little and could save you from underpricing a coin.

Sorting Your Mixed Lot Before You Sell

Selling a mixed coin lot without sorting first almost always costs money. Dealers who receive unsorted lots apply the lowest common denominator pricing to the whole batch, or they sort it themselves and deduct the labor. Either way, the seller absorbs the cost.

A practical approach: separate coins by type before approaching any buyer. Keep 90 percent silver in one group, 40 percent halves in a second, war nickels in a third, and clad (no silver) in a fourth. Count each group. This takes an hour for a typical shoebox lot and demonstrates to the buyer that you know what you have, which shifts the negotiation dynamic in your favor.

Get at least two bids, preferably three. Local coin dealers, coin shows, and online buyers all access the same spot market, but their overhead structures differ. A dealer who does heavy volume in Kennedy halves may offer better terms than one whose core business is 90 percent coinage. The coin dealer directory on Goldiew lists verified buyers by location.

For an objective price check across multiple buyers simultaneously, see the next section.