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Inflation Calculator

See how inflation changes the value of money — the future cost of an amount and how much its buying power erodes over time.

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Maintained & fact-checked by the GetFreeToolsAI teamUpdated
Results are estimates based on standard formulas. For actual loan terms, tax liability, or investment returns, please consult your bank, CA, or financial advisor.

About this calculator

An inflation calculator shows how the value of money changes over time. It tells you two things: what a given amount will cost in the future, and how much buying power today's money will have retained by then.

How it works

Future cost = amount × (1 + inflation)ⁿ and future buying power = amount ÷ (1 + inflation)ⁿ. At 6% inflation, something costing ₹1,00,000 today will cost about ₹1,79,085 in 10 years — and that same ₹1,00,000 will buy only about ₹55,839 worth of goods.

Planning long term? Pair it with the retirement calculator or the compound interest calculator.

Why use this inflation calculator

Shows what money will really cost

It projects how much a given expense will cost in future years at your assumed inflation rate — the number retirement plans hinge on.

Reveals erosion of savings

See how today's purchasing power shrinks over time, so you don't mistake a large future corpus for a comfortable one.

Works both directions

Estimate a future cost from today's price, or understand what a past amount is worth now.

Common use cases

  • Estimate the future cost of education or a wedding
  • Set a retirement corpus that accounts for rising prices
  • See why cash left idle loses value each year
  • Adjust a savings goal for realistic inflation

Frequently asked questions

It uses compound growth. Future cost = amount × (1 + inflation)^years shows what something will cost later, and amount ÷ (1 + inflation)^years shows how much your money will actually buy in the future.

Buying power (or purchasing power) is how much you can actually buy with a sum of money. Inflation erodes it — ₹1,00,000 today buys less in 10 years even though the number is unchanged.

India's long-run consumer inflation has averaged roughly 5–7%. Use a rate that reflects your expectation; try a few values to see a range.

If your investments don't grow faster than inflation, you lose real value. That's why comparing returns to the inflation rate — the 'real return' — matters more than the headline figure.

Yes. The calculation runs in your browser and nothing is stored.

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