What is an inflation calculator?
An Inflation Calculator shows what a US dollar amount from one year is worth in another year, after accounting for changes in consumer prices. It uses the official Consumer Price Index for All Urban Consumers (CPI-U) from the US Bureau of Labor Statistics for 1913 to 2025, and an assumed rate you choose for future years. It helps compare old prices and salaries with today’s, or estimate what future costs might be.
How to use it
- Enter the dollar amount.
- Choose the from year and the to year (either can be earlier).
- If either year is after 2025, enter an assumed future inflation rate.
- Click Calculate to see the equivalent value, total inflation, the average yearly rate and a chart.
Inflation formula
Value in year B = Amount × CPI in year B ÷ CPI in year A
Average yearly inflation = (CPI B ÷ CPI A)^(1 ÷ years) − 1
For future years, the calculator grows the latest CPI at the rate you enter: Future value = Value × (1 + rate)^years.
Example
The CPI-U annual average was 172.2 in 2000 and 321.943 in 2025. So $100 in 2000 had the same buying power as about $186.96 in 2025, a total rise of about 87% over 25 years, or roughly 2.5% a year.
Key facts
CPI-U annual averages: 2023: 304.702; 2024: 313.689; 2025: 321.943 (source: bls.gov/cpi).
Adjusting a salary for inflation
To compare a past salary with today’s pay, enter the old salary, the year you earned it and the current year. The result is the salary you would need today to buy the same amount of goods and services. If your current pay is lower than that figure, your real income has fallen.
This calculator uses US data only. Prices in other countries rise at different rates, so use that country’s official price index for non-US amounts.
Why Is an Inflation Calculator Useful?
Inflation can make it difficult to compare financial amounts from different periods. An inflation calculator provides a simple way to put historical and current values into perspective.
You can use it to:
- Compare the purchasing power of money across years.
- Estimate the future cost of goods and services.
- Adjust historical salaries for inflation.
- Compare savings and financial goals.
- Understand the impact of rising prices.
- Review historical financial values.
The results can be particularly useful when planning long-term budgets because future expenses may be higher than today’s costs.
Inflation and Purchasing Power
Inflation reduces the purchasing power of money when prices increase. If your income or savings does not grow at a similar rate, the same amount of money may buy fewer goods and services over time.
For example, if everyday expenses increase by several percent each year, a fixed amount saved today may not have the same purchasing power many years from now.
This is why inflation is an important consideration when planning retirement, setting savings goals, estimating future expenses, or evaluating long-term investments.
Tips
- CPI measures average prices; your own costs may rise faster or slower.
- For long-term planning, many people test an inflation assumption between 2% and 3% a year.
- Savings that earn less than inflation lose buying power over time.
Frequently Asked Questions
An inflation calculator estimates how the purchasing power of a specific amount changes between two periods. It can show what an amount from the past may be worth today or what today’s amount may represent in an earlier period.
When prices rise, the purchasing power of money generally decreases. This means the same amount of money may purchase fewer goods and services in the future than it does today.
Yes. Enter your old salary, the year you earned it and the current year to see the inflation-adjusted equivalent.
Historical results use the US Consumer Price Index for All Urban Consumers (CPI-U) annual averages from the Bureau of Labor Statistics, 1913 to 2025. Years after 2025 use the future rate you enter.
No. Inflation measures changes in purchasing power and prices, while currency exchange determines how much one currency is worth compared with another currency.
Disclaimer: This calculator gives estimates for general information only. It is not financial, tax or legal advice. Results depend on the numbers you enter and on simplified assumptions, so your actual figures may differ. Check important decisions with a qualified professional or the official source.
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