He served on the Chicago faculty from 1937 until his death in 1995 at the age of 84.
In 1999, NASA named the third of its four 'Great Observatories' after Chandrasekhar. This followed a naming contest which attracted 6,000 entries from fifty states and sixty-one countries. The Chandra X-ray Observatory was launched and deployed by Space Shuttle Columbia on July 23, 1999.
Chandrasekhar was the nephew of Nobel-prize winning physicist C V Raman.