Jacob Van Gorder Shappee was born in March 1840 in Horseheads, Chemung County, New York, to Guy M. and Mary Van Gorder Shappee. He studied at a school in Breesport and briefly in the Elmira business college before working on his father's farm.

Shappee enlisted at Big Flats, New York on September 3, 1864. He was mustered into the 85th New York Regiment on September 9, 1864 as a private, and honorably discharged on June 27, 1865 at New Berne, North Carolina. The regiment was posted at Roanoke Island until March 1865, after which it was headquartered at New Berne.

After completing his Civil War service, Shappee returned to Elmira, where he married Fannie J. Klock, the daughter of railroad contractor and Civil War regimental quartermaster Sanford Klock. Jacob worked as a tanner at Palmer & Decker's tannery for many years, from the late 1860s through at least 1892. He worked briefly as a flour merchant, but after 1897 his occupation is generally given as insurance agent; he was also engaged in real estate transactions and conveyances, and served as a notary public.

Shappee held various city offices in Elmira, and was engaged as a Republican in local politics. He was very active in charitable and fraternal organiations, including the Independent Order of Odd Fellows, the Grand Army of the Republic, the National Veterans Union of Elmira, the National Protective Legion, and the Progressive Legion. He held several offices in the Order of United Friends, including as grand marshal of the state and state deputy. His wife was similarly active, holding various offices in the United Order of Friends and the Protective Legion.

Jacob Shappee died in Elmira on May 18, 1917. His wife died there on January 7, 1927. Both Jacob and Fannie are buried in Woodlawn Cemetery in Elmira, where their headstones appear to have the wrong birthdates for both.