🎈 Inflation Calculator

See how inflation changes future prices and the buying power of your money — for any country and any rate.

Year-by-year table
YearFuture costBuying power

How the Inflation Calculator Works

Inflation is the general rise in prices over time, which means the same amount of money buys less in the future. Enter an amount, an average annual inflation rate, and a number of years. The calculator shows two things:

Because it uses a rate you choose rather than one country's official price index, it works for any country and any scenario — enter your central bank's target, a long-run historical average, or a what-if rate. A year-by-year table shows how the effect builds up.

Formula

Future cost          = amount × (1 + i)^n
Future buying power  = amount ÷ (1 + i)^n
Cumulative inflation = ((1 + i)^n − 1) × 100%
i = annual inflation rate as a decimal, n = number of years

How to Use It

  1. Enter an amount of money.
  2. Enter the average annual inflation rate you expect (or want to test).
  3. Enter the number of years.
  4. Read the future cost, the future buying power, and the year-by-year table.

Frequently Asked Questions

How does inflation affect my money?

With 3% annual inflation, prices roughly double in about 24 years, so the same amount of cash buys about half as much. Money that earns less than the inflation rate loses buying power in real terms.

What inflation rate should I use?

Many central banks target around 2% per year, but actual inflation varies by country and period. For long-term planning, people often use their country's long-run average; for a stress test, try a higher rate.

What is the difference between nominal and real value?

Nominal value is the number of currency units; real value adjusts for inflation to show what that money can actually buy. This calculator converts between the two using the rate you enter.

Related Calculators

Formula and content last reviewed: September 2026. All calculations run in your browser — nothing you enter is sent to or stored on our servers.

Guide: understanding your result

Key points
  • Inflation reduces what a fixed amount of money can buy over time.
  • In the U.S. it is most commonly measured with the Consumer Price Index (CPI-U), published monthly by the Bureau of Labor Statistics.
  • A raise smaller than inflation is a cut in real terms.

Worked example

At an average 3% inflation rate, $1,000 today buys what about $744 buys in 10 years — and a price of $1,000 today becomes about $1,344.

Purchasing power of $1,000 in the future

After2% inflation3% inflation4% inflation5% inflation
5 years$906$863$822$784
10 years$820$744$676$614
20 years$673$554$456$377
30 years$552$412$308$231

Common mistakes to avoid

Official sources

Examples are calculated live from the same data the calculator uses and are for education only — they are not financial, tax or investment advice.

⚠️ This calculator is for general informational and educational purposes only. It does not constitute financial, tax, legal, or other professional advice, and results are estimates that may not reflect your exact situation. GelirLab.com and its owners accept no liability or responsibility for any decision made or action taken based on this tool. Always consult a qualified professional (CPA, financial advisor, or attorney) before making financial decisions.
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✔ Reviewed by GelirLab Editöryal Ekibi · Last reviewed: September 2026 · How we check our calculators

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