📉 INFLATION CALCULATOR
Inflation Calculator — Purchasing Power Over Time
See how inflation erodes the value of money. Calculate future purchasing power, find what past money is worth today, and compare nominal vs real investment returns.
~3.2%
US Avg Since 1913
2.0%
Fed Target Rate
$8.24
Value of $10 Today
~72 / rate
Rule of 72 (Yrs to Halve)
🔥 Inflation Calculator
Forward · Backward · Real vs Nominal Return
How Much Will Today's Money Be Worth?
Preset Scenarios
Future Purchasing Power
$5,537
$10,000 today will buy this much in 20 years
- Original
- $10,000
- Rate
- 3.0%
- Years
- 20
$5,537
Purch. Power
$4,463
Value Eroded
1.806x
Price Factor
24.0 yrs
Halves Every
📉 Purchasing Power Decay Over Time
Purchasing Power Future Price Needed
📊 Inflation Sensitivity — Same Amount, Different Rates
| Inflation Rate | Future Purch. Power | Value Lost |
|---|---|---|
| 0.5% | $9,051 | $949 |
| 1% | $8,195 | $1,805 |
| 2% | $6,730 | $3,270 |
| 3% ← | $5,537 | $4,463 |
| 4% | $4,564 | $5,436 |
| 5% | $3,769 | $6,231 |
| 6% | $3,118 | $6,882 |
| 7% | $2,584 | $7,416 |
| 8% | $2,145 | $7,855 |
| 9% | $1,784 | $8,216 |
| 10% | $1,486 | $8,514 |
| 12% | $1,037 | $8,963 |
| 15% | $611 | $9,389 |
📅 Year-by-Year Purchasing Power Schedule
| Year | Purchasing Power | Value Lost | Price Level | % of Original |
|---|---|---|---|---|
| Year 1 | $9,709 | $291 | 1.030x | 97.1% |
| Year 2 | $9,426 | $574 | 1.061x | 94.3% |
| Year 3 | $9,151 | $849 | 1.093x | 91.5% |
| Year 4 | $8,885 | $1,115 | 1.126x | 88.8% |
| Year 5 | $8,626 | $1,374 | 1.159x | 86.3% |
| Year 6 | $8,375 | $1,625 | 1.194x | 83.7% |
| Year 7 | $8,131 | $1,869 | 1.230x | 81.3% |
| Year 8 | $7,894 | $2,106 | 1.267x | 78.9% |
| Year 9 | $7,664 | $2,336 | 1.305x | 76.6% |
| Year 10 | $7,441 | $2,559 | 1.344x | 74.4% |
| Year 11 | $7,224 | $2,776 | 1.384x | 72.2% |
| Year 12 | $7,014 | $2,986 | 1.426x | 70.1% |
| Year 13 | $6,810 | $3,190 | 1.469x | 68.1% |
| Year 14 | $6,611 | $3,389 | 1.513x | 66.1% |
| Year 15 | $6,419 | $3,581 | 1.558x | 64.2% |
| Year 16 | $6,232 | $3,768 | 1.605x | 62.3% |
| Year 17 | $6,050 | $3,950 | 1.653x | 60.5% |
| Year 18 | $5,874 | $4,126 | 1.702x | 58.7% |
| Year 19 | $5,703 | $4,297 | 1.754x | 57.0% |
| Year 20 | $5,537 | $4,463 | 1.806x | 55.4% |
The Inflation Formula
Forward (future purchasing power): FV = Amount ÷ (1+r)^nPrice level (how much you'd need): Future Price = Amount × (1+r)^nBackward (what past money is worth today): Today's Value = Past Amount × (1+r)^nReal return (Fisher equation): Real Rate = (1 + Nominal) ÷ (1 + Inflation) − 1How Inflation Erodes Purchasing Power
What $10,000 today is worth after years of inflation at different rates:
| Inflation Rate | $10,000 in 10 yrs | $10,000 in 20 yrs | $10,000 in 30 yrs | Years to Halve |
|---|---|---|---|---|
| 1% | $9,053 | $8,195 | $7,419 | 72.0 yrs |
| 2% | $8,203 | $6,730 | $5,521 | 36.0 yrs |
| 3% | $7,441 | $5,537 | $4,120 | 24.0 yrs |
| 5% | $6,139 | $3,769 | $2,314 | 14.4 yrs |
| 7% | $5,083 | $2,584 | $1,314 | 10.3 yrs |
| 10% | $3,855 | $1,486 | $573 | 7.2 yrs |
US Historical Inflation Rates
| Period | Avg. Annual Rate | Context |
|---|---|---|
| 1913–1920 | ~9% | WWI-era money printing |
| 1920s–1930s | ~-1% | Great Depression deflation |
| 1940s | ~5% | WWII supply constraints |
| 1970s | ~7.4% | Oil shock & stagflation |
| 1980–1990 | ~5.5% | Volcker disinflation |
| 1990–2020 | ~2.5% | The “Great Moderation” |
| 2021–2022 | ~7.9% | COVID-era supply shock |
| 2023–2025 | ~3.4% | Post-COVID normalization |
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