Finora

Inflation Calculator

At a constant inflation rate, future cost equals today's amount x (1 + rate) raised to the number of years.

Worked example

Initial amount$1,000
Annual inflation rate3%
Number of years10
Future Cost (Equivalent Value)$1,343.92
Purchasing Power Lost$343.92

How it is calculated

Future cost = amount x (1 + inflation rate / 100)^years.

The second result is the difference between future cost and the original amount, that is, how much more the same goods would cost.

Assumptions and limits

  • Assumes one constant inflation rate; real inflation changes every year.
  • You enter the rate yourself; the tool does not load official price-index data.

Educational estimate only; not financial, tax, legal or investment advice.

FAQ

How do I calculate future cost with inflation?

Multiply today's price by (1 + inflation rate) for each year. $1,000 at 3% for 10 years becomes $1,343.92.

What does the second result show?

The extra amount needed to buy the same goods: $343.92 in the example.

What inflation rate should I use?

Use a long-run average for your currency or a recent official figure; the tool does not provide official data.

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