Calculate the impact of inflation

How to use the inflation calculator

1. Enter the amount you want to analyze.
2. Enter the average annual inflation you assume and the number of years.
3. Review the future purchasing power, the equivalent amount and the cumulative inflation.

Inflation and purchasing power formula

Equivalent = C × (1 + π)^t · Purchasing power = C / (1 + π)^t

What each variable means

C

current amount

π

annual inflation as a decimal

t

years

Prices grow on a compound basis: each year inflation applies to the previous year's prices.

Inflation impact example

With 3% average inflation, in 10 years you'll need €1,343.92 to buy what €1,000 buys today. Put another way, €1,000 kept in cash will be worth €744.09 in today's money.

Illustrative example with the data shown; not a guaranteed outcome.

Assumptions and limitations

• Inflation is constant every year.
• Purchasing power is expressed in today's money.

Frequently asked questions