Inflation Calculator
See what inflation does to purchasing power — what today’s money will be worth, or what past money equals now.
How it works
Future price level = (1 + i)^t · Buying power = amount ÷ (1 + i)^t
Inflation compounds like interest in reverse: each year’s price rise builds on the last. i is the average annual inflation rate, t the number of years.
Worked example
At 3% inflation, $1,000 today buys only about $744 worth of goods in 10 years — and you would need $1,344 then to buy what $1,000 buys now.
Frequently asked questions
What has US inflation averaged?
Roughly 3% a year over the last century, with long calm stretches near 2% and spikes near 9% (1970s, 2022).
Why does 3% matter if it sounds small?
Compounding: at 3%, prices double about every 24 years. Cash savings earning less than inflation quietly lose value every year.
Is this calculator using real CPI data?
No — it projects a constant average rate you choose. For exact historical conversions, official CPI tables are the source.
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This is an educational estimate, not financial advice. Lenders use their own rounding, fees and credit terms — confirm exact figures with your lender or a licensed advisor.