Finance

Inflation Calculator

See how inflation erodes money's value over time.

Calculated Output

Future cost ($) 18,061.11

Future value of today's money ($) 5,536.76

Formula: future cost = amount × (1 + rate)^years

Step-by-Step Breakdown

1. Values used:

2. Amount today = 10,000 $

3. Inflation rate = 3 %

4. Years = 20

6. Future cost = 18,061.11$

7. Future value of today's money = 5,536.76$

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The math behind it

future cost = amount × (1 + inflation)^years; purchasing power = amount ÷ that factor.

$10,000 at 3% for 20 yr costs ~$18,061 then.

Real return?

Subtract inflation from nominal returns (use the Real Rate of Return calculator).