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📈 Economics

Inflation Calculator

Calculate the impact of inflation on purchasing power. See what a past or future amount is worth in today's money.

$
%
$0
Adjusted for inflation
Original Amount
$0
Purchasing Power Change
0%
Total Inflation
0%
Years
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About This Inflation Calculator

This inflation calculator shows how the purchasing power of money changes over time. Because prices generally rise, a dollar today usually buys more than the same dollar will in the future. The tool helps you see the real value of money across years.

This is general information only. The Reserve Bank of Australia targets inflation of 2–3% on average over time. Inflation is an important reason to invest savings you don't need for a while, rather than leaving them idle.

Frequently Asked Questions

What is inflation?+
Inflation is the general rise in prices over time, which reduces what a given amount of money can buy. It's usually measured by the Consumer Price Index (CPI).
What is Australia's inflation target?+
The Reserve Bank of Australia aims to keep inflation between 2% and 3% on average over the medium term.
How does inflation affect my savings?+
Money sitting in a low-interest account can lose real value if its interest rate is below inflation. Investing can help savings keep pace with or beat inflation.

Related Tools

→ Compound Interest→ Savings Calculator→ Future Value

RELATED GUIDE

How Inflation Quietly Shrinks Your Money

Understand inflation in plain English: what it is, how it erodes purchasing power, the difference between real and nominal returns, and how to protect savings.

Read the full guide →