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EverCalc
💰 Finance & Money

Inflation Calculator

See how inflation changes the buying power of money over time. Find what an amount today will be worth in the future at a given inflation rate.

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0.5%3%5%7.5%10%15%

To match today's $1,000.00 in 20years you'll need

$1,806.11

Prices rise 80.6% total over 20 years at 3%/yr

Buying power of $1,000.00 after 20 years

$553.68

In today's dollars — purchasing power eroded by 44.6%

How it works: The future cost multiplier is (1 + rate)^years. At 3% annual inflation over 20 years, prices multiply by 1.8061. Use this to plan savings goals that keep pace with rising costs.

Frequently Asked Questions

What is a typical inflation rate to use?

Historically, US inflation has averaged around 2–3% per year over long periods. The Federal Reserve targets 2% as its long-run goal. For conservative planning, 3% is a reasonable default; for stress-testing, 4–5% shows how quickly purchasing power erodes in higher-inflation environments.

How does inflation affect my savings?

If your savings earn less than the inflation rate, you lose purchasing power every year even as your nominal balance grows. For example, at 3% inflation a $10,000 balance that earns 1% interest effectively loses about 2% in real value per year. To preserve purchasing power, your returns need to outpace inflation.

Why isn't this based on official CPI data?

This calculator uses an assumed average annual rate you provide rather than official Consumer Price Index (CPI) tables. That keeps it accurate indefinitely without yearly data updates — CPI figures change every month, and hard-coded tables quickly go stale. Because inflation varies year to year, a long-run average rate is often more useful for planning purposes anyway.