Inflation Calculator
See what today's money will cost or be worth in the future at a given inflation rate — future price, purchasing power, and cumulative inflation.
Amount & inflation
The U.S. long-run average is roughly 3% a year. Use a different rate to test higher- or lower-inflation scenarios.
Enter an amount and a number of years to see how inflation changes its value.
The Inflation Calculator shows how rising prices change the value of money over time. Enter an amount, an annual inflation rate, and a number of years to see what the same purchases will cost in the future, what that money will be worth in today's dollars, and how much purchasing power is lost along the way.
How to use the Inflation Calculator
- Enter an amount in today's dollars.
- Set the annual inflation rate (3% is close to the U.S. long-run average).
- Enter how many years ahead you want to look.
- Read the future cost, today's-dollar value, and cumulative inflation.
Frequently asked questions
- How is the future cost calculated?
- Prices compound each year, so the future cost is amount x (1 + rate)^years. At 3% inflation, $1,000 of purchases today costs about $1,344 in 10 years.
- What does purchasing power mean here?
- It is what a fixed amount of money can buy. Dividing by (1 + rate)^years gives the value in today's dollars. $1,000 held in cash for 10 years at 3% inflation buys only about $744 of today's goods.
- Which inflation rate should I use?
- For long-term planning, many people use 2-3%, near the U.S. average and the Federal Reserve's 2% target. Try a higher rate like 5% to stress-test a budget or retirement plan.
- Does this use historical CPI data?
- No. It applies one steady average rate for every year, which works well for planning ahead. Real inflation varies year to year, so treat the results as an estimate.