Inflation Calculator

Measure the impact of inflation on your money. Calculate future purchasing power erosion and nominal cash equivalents.

Parameters
%
Yrs
Calculated Results
Future Value Required (to keep parity) -
Eroded Value (Purchasing Power) -
Visual Projection
Invested
Corpus
Yearly Breakdowns
YearFuture CostPurchasing Power
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The Erosion of Purchasing Power

Inflation decreases the real value of cash over time. An item costing ₹10,000 today will require a higher dollar/rupee amount to purchase in 10 years.

Formula & Mathematical Approach

Calculates how inflation erodes purchasing power or increases the nominal cost of items over time.

Future Cost=Current Price×(1+Inflation100)Years\text{Future Cost} = \text{Current Price} \times \left(1 + \frac{\text{Inflation}}{100}\right)^{\text{Years}}
Purchasing Power=Current Money(1+Inflation100)Years\text{Purchasing Power} = \frac{\text{Current Money}}{\left(1 + \frac{\text{Inflation}}{100}\right)^{\text{Years}}}
Show Plain Text / Excel Formula
Future Cost = Current Price * (1 + Inflation / 100) ^ Years
Purchasing Power = Current Money / (1 + Inflation / 100) ^ Years

Key Assumptions

  • Inflation rate remains flat across all years.
  • No interest or growth is earned on the money.