Inflation
See what today's dollars will really be worth later, and why cash quietly loses value.
| x | Purchasing Power |
|---|---|
| Yr 1 | $971 |
| Yr 2 | $943 |
| Yr 3 | $915 |
| Yr 4 | $888 |
| Yr 5 | $863 |
| Yr 6 | $837 |
| Yr 7 | $813 |
| Yr 8 | $789 |
| Yr 9 | $766 |
| Yr 10 | $744 |
| Yr 11 | $722 |
| Yr 12 | $701 |
| Yr 13 | $681 |
| Yr 14 | $661 |
| Yr 15 | $642 |
| Yr 16 | $623 |
| Yr 17 | $605 |
| Yr 18 | $587 |
| Yr 19 | $570 |
| Yr 20 | $554 |
How to use this calculator
- Enter an amount and time horizonToday's dollars and how many years out.
- Set an inflation rateAbout 3% is a long-run average; the Federal Reserve targets 2%.
- Read the future cost and lost purchasing powerSee why idle cash needs to earn at least the inflation rate.
Inflation is the slow tax on money: as prices rise, each dollar buys a little less. It rarely feels urgent year to year, but over a decade or two it reshapes what your savings are worth and how much you actually need.
◆ Frequently Asked Questions
What inflation rate should I use?
Why does inflation matter if I keep my money in cash?
How do I protect my money from inflation?
Keep reading
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Gross Domestic Product (GDP) measures everything a country produces in a quarter. Here is how the number works, what it misses, and why it moves your job and your rates.
What Is Core Inflation?
Core inflation strips food and energy from the price index to reveal underlying pressure. Here is what the number shows, where it misleads, and why the Fed watches it more than the headline.
The Gini Coefficient and the Lorenz Curve: Measuring Inequality in a Single Number
The Gini coefficient compresses a whole income distribution into one number between 0 and 1. Here's what it measures, how to compute it, and where it misleads.