Inflation Calculator
See how inflation erodes your purchasing power over time.
Overview
Inflation compounds, so the purchasing power of a fixed sum decays geometrically rather than linearly. At three percent annually, money retains about 74 percent of its value after ten years and 55 percent after twenty. The reciprocal calculation gives the nominal sum required in a future year to command the goods a given amount buys today.
Future Cost
$
What costs this much in the future
Purchasing Power
$
What your money buys in the future
Value Lost
$
Purchasing Power Lost
%
Inflation Over Time
| Ano | Future Cost | Purchasing Power |
|---|---|---|
| $ | $ |
How to Use
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1
Enter your values
Type your numbers into the Inflation Calculator input fields.
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2
Adjust the options
Choose the units, method, or region that fits your situation, or apply a quick preset.
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3
Read the result instantly
The result updates as you type — no submit button, and nothing is sent to a server.
About
The real return on an investment is the nominal return adjusted for the same compounding. Subtracting the inflation rate from the nominal rate approximates the answer and is accurate enough at low rates; the exact Fisher relation divides the two growth factors instead, and the difference between the two methods widens as rates rise.
Measured inflation is an index over a representative basket, so an individual's experienced rate differs according to what they buy. Housing, education and medical costs have risen faster than headline indices across most developed economies, while consumer electronics have fallen.