Money
Inflation calculator
Enter an amount, an annual inflation rate, and a number of years. The page has no price index data built in, so the rate is yours to choose.
What this means
- Things that cost $1,000.00 today would cost $1,343.92 in 10 years.
- Cash that earns nothing would buy only what $744.09 buys today.
What if
About this calculator
What this calculator does
It applies a steady yearly price increase. It answers two linked questions: what today's purchases will cost later, and what today's cash will be worth later.
How it is calculated
future cost = A * (1 + r)^t
buying power = A / (1 + r)^t
How to read the result
Future cost is in future dollars. Buying power is in today's dollars. Both use the same rate, so they are two views of one change.
Where the rate comes from
This page does not include government price index data. Enter a rate from a source you trust, or test a few.
Sources and method
Standard arithmetic with no outside data. The formula is shown under How it is calculated, and unit tests check worked examples, including edge cases.
This page uses arithmetic only, with no outside data.
Questions
Does this use official inflation data?
No. You enter the rate. That keeps the page simple and avoids stale data.
Can inflation be negative?
Yes. That is deflation. Enter a negative rate to test it.
Why is buying power lower than the amount?
When prices rise, the same cash buys less. Buying power shows that loss in today's dollars.
Is the rate compounded?
Yes, once a year. Each year's increase builds on the last.