Inflation Calculator — What Will Money Be Worth?
Inflation is the silent tax on cash. At just 5% inflation, money loses half its buying power in about 14 years — at 20% (as some countries have experienced), it takes under 4 years. This tool shows both directions: what a future price will be, and what today's savings will really be worth.
How to use this tool
- Choose a mode: what a price becomes, or what your cash will really be worth.
- Enter the amount and your expected inflation rate (recent official CPI is a good starting point).
- Set the number of years and press Calculate.
- Note the \"halving time\" row — it's the most intuitive way to feel what a given inflation rate means.
Frequently asked questions
What inflation rate should I use?
Start with your country's recent official CPI (e.g. ~2–3% for the US/EU/UK in normal times; historically much higher in Pakistan, Turkey or Argentina). For long horizons, consider running the tool twice — an optimistic and pessimistic rate — to see the range.
Is inflation the same for everyone?
No. Official CPI is an average basket; your personal inflation depends on what you buy. Education, healthcare and rent often outpace headline CPI, while electronics get cheaper. If your spending is rent-and-school-fees heavy, your real inflation is likely above the official number.
How do I protect savings from inflation?
Cash in a drawer loses the full inflation rate every year. Common defences: interest-bearing accounts (recover part of it), inflation-linked government bonds, equities and real assets over long horizons. This is general information, not financial advice — the right mix depends on your situation.
What is the 'halving time' shown in the result?
It's how long until money loses half its purchasing power at that inflation rate — the rule-of-72 idea in reverse. At 7% inflation, cash halves in ~10 years. It turns an abstract percentage into something you can feel.
Why do salaries feel smaller even after a raise?
If your raise is below inflation, your real income fell. A 5% raise during 9% inflation is a ~4% pay cut in buying power. Use the buying-power mode on your salary to see what it's really worth a few years out.