Inflation Calculator
Calculate how inflation affects the value of money over time
What is Inflation?
Inflation is the rate at which the general level of prices for goods and services is rising, consequently decreasing the purchasing power of currency. It's a critical factor to consider in long-term financial planning.
How to Combat Inflation?
- Invest in growth assets like stocks and mutual funds
- Consider real estate investments
- Look for investments that historically beat inflation
- Regularly review and adjust your investment strategy
Frequently Asked Questions
Inflation reduces the purchasing power of money over time. This calculator shows how much money you need in the future to maintain the same purchasing power.
You can use the current inflation rate or historical average. For long-term calculations, using an average rate (like 5-6%) is recommended.
Yes, you can enter negative inflation rates to calculate the effects of deflation on purchasing power.