The capsule, a metal tin about the size of a shoe box, was found buried deep inside part of the Ruthven road bridge near Kingussie in the Cairngorms National Park.
It contained a folded newspaper dated September 22 1894 - when Queen Victoria was still on the throne - a paper scroll and a bottle of what appears to be whisky.
The artefacts, thought to have been placed in the bridge when it was constructed, have now been passed to the Highland Folk Museum in Newtonmore, where staff are working to investigate and preserve the contents of the capsule.
It was uncovered last week by staff from construction and infrastructure company Morgan Sindall, who are working to replace the bridge for Highland Council in a £622,000 project.
Robert Ogg, the company’s area director for infrastructure, said: “It is fascinating to think these items have been sitting in the bridge’s structure for 121 years.
“The changes which have occurred since it was placed there are extraordinary. If you think that the bridge was being used by horses back then, it gives you a sense of the time which has passed.
“We have actually been working with Kingussie primary school to create our own time capsule which we hope will last as long.”
The single-track road bridge spans the river Spey, linking the B970 and surrounding communities to Kingussie and the trunk road network.
Work on the bridge is expected to be completed this autumn.