Inflation Calculator
See how inflation erodes the value of money over time: enter an amount, an assumed annual rate, and a number of years to get both the future nominal cost and the equivalent buying power in today's dollars. A quick way to picture what your savings will really be worth.
How to Use
- Enter the starting dollar amount you want to project.
- Enter the assumed annual inflation rate as a percent (the long-run US average is about 3.2%).
- Enter the number of years to look forward or backward.
- Read the forward result — what that amount will cost in future dollars — and the reverse result — today's buying power of that amount.
- Try a preset to compare the Fed's 2% target against high-inflation scenarios.
Show Work
Historical context
About the Inflation Calculator
The Inflation Calculator is a free tool for personal-finance and money decisions. It runs right in your web browser, so there is nothing to download. See how inflation erodes the value of money over time: enter an amount, an assumed annual rate, and a number of years to get both the future nominal cost and the equivalent buying power in today's dollars. A quick way to picture what your savings will really be worth.
How it works
Type your numbers into the boxes. The answer shows up right away — you do not have to press a button. If you change a number, the answer changes too. So you can try different numbers and watch what happens, or check an answer you worked out yourself. Just make sure each box has the right kind of number in it.
Want the deeper story? The Knowledge Base explains the ideas behind the tools in more detail.
Frequently Asked Questions
What inflation rate should I assume?
US CPI has averaged roughly 3.2% per year since 1913, while the Federal Reserve targets about 2% over the long run. For conservative long-range planning, 2.5%–3% is common. Recent years have seen spikes well above that, so it can be worth running a high (5%–6%) scenario to stress-test your plan.
What is the difference between nominal and real value?
Nominal value is the face-amount of dollars (what something will literally cost). Real value adjusts for inflation so you can compare buying power across years. $1,000 today and $1,000 in twenty years are the same nominal amount but very different real amounts — the future $1,000 buys far less.
How does inflation affect my savings and investments?
Money sitting in cash loses purchasing power at the inflation rate every year. To preserve real value, your investments need to earn at least the inflation rate; to grow real wealth they must beat it. This is why long-term savers look at "real" (inflation-adjusted) returns, not just the headline number.
Does this use actual historical CPI data?
No — it applies a single constant rate you choose, compounded annually. Real-world inflation varies year to year, so treat the output as a smooth estimate for planning rather than a precise historical figure.
How is the future amount calculated?
Future cost is the amount multiplied by (1 + rate) raised to the number of years, the same compounding formula used for interest. The reverse (today's value) divides by that same factor to discount future dollars back to present buying power.
How do I use the Inflation Calculator?
Simply type your numbers and read the result, which refreshes the instant you change something. There is nothing to submit and nothing to wait for.
Is it free? Does it work without internet?
Yes to both. It is free with no sign-up, and once the page has loaded it keeps working even with no internet.
Where does my data go?
Nowhere — every calculation runs on your own device. Nothing you enter is uploaded, logged, or stored.
Common Use Cases
Retirement planning
Estimate what a comfortable annual budget today will cost decades from now so your retirement target is set in realistic future dollars.
College savings goals
Project the future sticker price of tuition to size how much you need to save in a 529 or similar account.
Salary and raise negotiations
Check whether a raise actually outpaces inflation or just keeps you treading water in real terms.
Comparing historical prices
Run the reverse calculation to see what a past price or salary is worth in today's money.
Long-term big purchases
Gauge how much a house, car, or major expense might cost in 5, 10, or 20 years when budgeting ahead.
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