Evaluating a pay rise: You've been offered a 3% raise but inflation is running at 5%. Run the numbers to see whether you're getting ahead or falling behind in real terms. Setting retirement savings targets: A retirement calculator might say you need £500,000. This tool shows what that £500,000 will actually purchase in 20 or 30 years' time, helping you decide if the target is realistic. Comparing historical prices and wages: Was a house really cheaper in the 1990s, or does it just look that way? Adjust for inflation to compare like with like. Planning long-horizon savings: You want to save for something expensive in 10 years. This tool shows how much extra you need to earn to offset inflation and actually reach your goal. Stress-testing financial plans: Run multiple scenarios: what if inflation averages 2%? What if it spikes to 6%? See how sensitive your plan is. Understanding real investment returns: A bond paying 4% doesn't look good at 5% inflation. This tool makes the gap visible.

Enter the amount, dates (or years), and annual inflation rate. The default is 3% — a rough long-term average for developed economies — but you can use your country's current rate or a custom scenario. Choose your direction. Calculate forward ("What will £100 buy in 10 years?") or backward ("What was £100 in 2010 worth today?"). Review the result and the table. The tool shows the equivalent value at your target date, cumulative inflation percentage, and a year-by-year breakdown so you can see the compounding effect. All calculation runs in your browser. No external API, no data sent anywhere — you control the rate and can experiment freely.

CPI is an average, not your basket. Headline inflation can mask wild swings in categories you care about — housing and healthcare typically outpace headline CPI; electronics and clothing lag. You may need a higher or lower rate than published figures. Compounding scales faster than intuition. 3% for 30 years is not 90% cumulative loss — it's 143%. Use the Rule of 72 (prices double roughly every 72 ÷ rate% years) to sense-check large time horizons. Wage inflation ≠ price inflation. A 4% pay rise in a 5% inflation year is a real-terms pay cut. Always compare apples to apples. The time period matters enormously. At 3% inflation, money loses half its value in 24 years. Change the rate or period by even a percentage point and the answer shifts significantly — always run a few scenarios.

Inflation Calculator

See how inflation erodes purchasing power. Enter amount + years + inflation rate → real value today (or future). Useful for raises, retirement targets, savings goals.

Inflation rates vary by country and year. This tool uses a single assumed rate — for precise historical figures, consult your national statistics office (BLS, ONS, Eurostat, etc).

Direction

Currency symbol

Amount

Years

Inflation preset

Annual inflation rate (%)

Sync with URL

Result

What is this for?

Inflation is the silent erosion of purchasing power. A salary that looks like a raise might actually be a pay cut if it doesn't exceed inflation; savings sitting in a bank account shrink in real terms every year; a retirement target needs to grow annually just to maintain the same buying power. This tool quantifies that drift: enter an amount, time period, and inflation rate, then see what that money actually buys at the end.

When to use it

Evaluating a pay rise: You've been offered a 3% raise but inflation is running at 5%. Run the numbers to see whether you're getting ahead or falling behind in real terms.
Setting retirement savings targets: A retirement calculator might say you need £500,000. This tool shows what that £500,000 will actually purchase in 20 or 30 years' time, helping you decide if the target is realistic.
Comparing historical prices and wages: Was a house really cheaper in the 1990s, or does it just look that way? Adjust for inflation to compare like with like.
Planning long-horizon savings: You want to save for something expensive in 10 years. This tool shows how much extra you need to earn to offset inflation and actually reach your goal.
Stress-testing financial plans: Run multiple scenarios: what if inflation averages 2%? What if it spikes to 6%? See how sensitive your plan is.
Understanding real investment returns: A bond paying 4% doesn't look good at 5% inflation. This tool makes the gap visible.

How it works

Enter the amount, dates (or years), and annual inflation rate. The default is 3% — a rough long-term average for developed economies — but you can use your country's current rate or a custom scenario.
Choose your direction. Calculate forward ("What will £100 buy in 10 years?") or backward ("What was £100 in 2010 worth today?").
Review the result and the table. The tool shows the equivalent value at your target date, cumulative inflation percentage, and a year-by-year breakdown so you can see the compounding effect.
All calculation runs in your browser. No external API, no data sent anywhere — you control the rate and can experiment freely.

Picking an inflation rate

Long-term baseline: Most developed economies average 2–3% over 50 years. Use this for rough retirement or multi-decade planning.
Recent published rate: Central banks and statistical agencies publish current CPI monthly. For UK, check the Office for National Statistics; for US, the Bureau of Labour Statistics; for the eurozone, Eurostat.
Your personal inflation: Official headline CPI is an average. If you're paying heavy rent or healthcare, your personal inflation is likely higher. Young renters in expensive cities often experience 5–7% effective inflation even when headline is 3%.

Common gotchas

CPI is an average, not your basket. Headline inflation can mask wild swings in categories you care about — housing and healthcare typically outpace headline CPI; electronics and clothing lag. You may need a higher or lower rate than published figures.
Compounding scales faster than intuition. 3% for 30 years is not 90% cumulative loss — it's 143%. Use the Rule of 72 (prices double roughly every 72 ÷ rate% years) to sense-check large time horizons.
Wage inflation ≠ price inflation. A 4% pay rise in a 5% inflation year is a real-terms pay cut. Always compare apples to apples.
The time period matters enormously. At 3% inflation, money loses half its value in 24 years. Change the rate or period by even a percentage point and the answer shifts significantly — always run a few scenarios.