Taxes

Inflation Calculator

See how inflation erodes purchasing power over time.

Calculator

$
%
years

Future cost

$180.61

Purchasing power in 20 yrs

$55.37

Value lost

$44.63

What is inflation?

Inflation is the rate at which prices rise over time, reducing purchasing power. This calculator shows how much a given amount will be worth in the future, or what a past amount is worth today.

Example

$100 today is worth about $55.20 in 20 years at 3% annual inflation.

Money-saving tips

  • Invest to outpace inflation — savings accounts often lose purchasing power.
  • Use real (inflation-adjusted) returns when planning long-term goals.
  • The historical US inflation average is about 3% per year.

Common mistakes

  • Using nominal returns without adjusting for inflation.

Financial definitions

Real return
Investment return after subtracting inflation.

Frequently asked questions

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