Inflation Calculator
See what something will cost in future at a given inflation rate, or how much buying power your money loses over the years.
Enter an amount, an inflation rate and the number of years.
More Finance & Loan Calculators
View all 20Official inflation is an average - education and health costs often rise faster, so plan those goals with a higher rate.
What Does the Inflation Calculator Show?
Inflation is the rise in prices over time. It means the same money buys less every year. This calculator answers two questions: what will something cost in the future, and how much will today's money be worth then.
How to Use It
- Choose the question you want answered.
- Enter the amount, the yearly inflation rate and the number of years.
- Read the result and the year-by-year table.
Example
A goal that costs ₹15 lakh today - say, a college course - will cost about ₹41,38,547 in 15 years if prices rise 7% a year, an increase of 176%. Put the other way, ₹15 lakh kept as cash for 15 years will only buy what about ₹5.4 lakh buys today. At 7%, prices double roughly every 10 years.
Which Inflation Rate to Use?
India's consumer price inflation has averaged around 5% to 6% over the past decade, but some costs rise faster: education and healthcare often go up by 8% to 10% a year. Use a higher rate for those goals, and try a few rates to see the range.
The Formula
Future cost = today's cost × (1 + inflation)years. Future value of money = today's amount ÷ (1 + inflation)years.
Limitations
Inflation changes from year to year; the calculator uses one steady rate. It does not look up historical inflation data. To see how investments can beat inflation, use the SIP Calculator; to plan for retirement costs, use the Retirement Calculator.
Frequently Asked Questions
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