Inflation calculator

What is the Inflation Calculator?

Inflation is the gradual rise in prices over time, which means the same amount of money buys a little less each year. This calculator shows what an amount from one year is equivalent to in another year, based on a chosen average annual inflation rate, either projecting a past amount forward or looking at how much buying power an amount has lost or would need to keep up.

How to use it

1. Enter the amount you want to adjust.
2. Enter the from year and to year, the calculator works in either direction, forward or backward in time.
3. Enter an average annual inflation rate, or use one of the quick presets as a starting point.
4. Click Calculate to see the equivalent value, the cumulative inflation over the period, and how much purchasing power has changed.

Why this calculator uses a rate you provide

Real-world inflation isn't a constant, smooth rate, it fluctuates year to year based on economic conditions, and official measures like the Consumer Price Index (CPI) are published by government statistical agencies and updated regularly. Since this calculator runs entirely in your browser without pulling in a live historical database, it works from an average annual rate that you provide, which gives a reasonable projection or estimate but won't precisely match official historical inflation figures for a specific country and period.

For a rough starting point, many economists cite roughly 2 to 3% as a typical long-run average in stable, developed economies over recent decades, though actual rates have varied significantly higher and lower in different periods and countries.

Understanding the results

• Equivalent value - what your original amount corresponds to in the target year's money, at the rate you specified
• Cumulative inflation - the total percentage increase in prices over the entire period between your two years
• Change in value - the dollar difference between the original amount and the equivalent value
• Purchasing power of original amount today - if moving forward in time, this shows what percentage of its original buying power your amount retains by the later year

Common uses

• Understanding how much a past salary, price, or savings goal would be worth in today's money
• Estimating what a future expense might realistically cost after years of inflation
• Comparing prices or wages across different time periods on a like-for-like basis
• Building intuition for how inflation erodes the value of cash held over long periods
• Setting a more realistic long-term savings or retirement target that accounts for rising prices

Frequently asked questions

Can I calculate backward in time, like what $1,000 today was worth in 2000?

Yes, enter the earlier year as the "to year" and the later year as the "from year," the calculator automatically detects the direction and adjusts the amount accordingly, discounting it back rather than growing it forward.

Why does my result differ from an official inflation calculator?

Official calculators (like the one from the U.S. Bureau of Labor Statistics) use actual historical CPI data with real, non-constant year-to-year rates, while this tool applies one constant average rate across the whole period you choose, small differences are expected, especially over periods with unusually high or low inflation years.

What inflation rate should I use for the most accurate estimate?

Look up your country's actual historical average inflation rate for the specific period you're interested in from an official statistics source, then enter that figure here for a more accurate projection than a generic default.

Does this work for any currency?

Yes, the calculation is currency-agnostic since it's just working with a percentage rate applied to a number, use whatever currency your amount and rate assumption are based in.