Inflation Calculator — Calculate Purchasing Power Over Time

Inflation Calculator

Calculate how inflation affects purchasing power over time. Compare historical values, estimate future costs, and understand inflation’s impact on money.

Step 1: Inflation Parameters

3.5%

Inflation Data

Average historical inflation rates: US (3.28%), UK (3.43%), Eurozone (2.83%). Current global average is around 3-4% annually.

Step 2: Calculation Options

How Inflation Works

Inflation reduces purchasing power over time. $100 in 2000 has the same buying power as approximately $180 today at 3.5% annual inflation.

Inflation Calculation Results

Summary
Timeline
Yearly Breakdown

Equivalent Value in 2024

$1,800.50
$1,000 in 2000 = $1,800.50 in 2024
Initial Amount
$1,000.00
Total Inflation
$800.50
Inflation Rate
3.5%
Years
24 years

Purchasing Power Timeline

Understanding the Timeline

This chart shows how the purchasing power of your money decreases over time due to inflation. Each year, the same amount of money buys less than it did the previous year.

Year-by-Year Inflation Breakdown

Year Value Annual Inflation Cumulative Inflation Purchasing Power

Inflation Calculation Formula

Future Value = Initial Amount × (1 + Inflation Rate)Years. For example: $1,000 × (1 + 0.035)24 = $1,800.50

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