Inflation Calculator
Calculate how inflation affects your money over time. See past and future buying power adjusted for CPI inflation rates.
How This Calculator Works
Calculation methodology and assumptions
This calculator uses the compound inflation formula: Future Value = Present Value × (1 + inflation rate)^years. At 3% annual inflation (the long-term US average), $100 today will need $134 in 10 years to have the same purchasing power. The calculator helps you understand how inflation erodes the real value of money over time.
Frequently Asked Questions
What is the current inflation rate?
The US inflation rate fluctuates. The long-term average is approximately 3% per year. Check the Bureau of Labor Statistics (BLS) CPI data for the most current monthly rate.
How does inflation affect retirement planning?
A 3% inflation rate means your expenses roughly double every 24 years. If you need $50,000/year today, you'll need about $100,000/year in 24 years. Always plan retirement in inflation-adjusted (real) dollars.