Inflation Calculator 📉

A real example: what $100,000 will be worth

Cash doesn't hold its value. At a 3% average inflation rate, $100,000 sitting idle loses buying power every year:

• In 10 years: worth about $74,000 in today's money
• In 20 years: worth about $55,000
• In 30 years: worth about $41,000

Put another way, something that costs $100,000 today will cost about $181,000 in 20 years. This is why money you won't need for years is usually better invested than left in cash — see the compound interest calculator. Enter an amount and time frame above.

How inflation eats your money

Inflation is the gradual rise in prices over time. As prices go up, each dollar buys a little less. The math is simple compounding in reverse:

Future purchasing power = Amount ÷ (1 + inflation)^years

At 3% inflation, money loses roughly half its purchasing power in about 23 years. That's why cash sitting in a no-interest account quietly shrinks in real terms, even though the number on your statement never drops.

For the full picture — who inflation hits hardest, why cash is "slow risk," and the five ways to protect yourself — read the guide: What Inflation Actually Does to Your Money.

How to protect yourself from inflation

• Don't hold too much idle cash. Keep an emergency fund, but invest the rest so it can outpace inflation.
• Invest for real growth. Stocks and other assets have historically grown faster than inflation over the long run.
• Use a high-yield savings account for short-term money so it at least earns something.
• Consider a hard-asset hedge. Some investors hold a small slice of physical gold or silver, which has historically held its value when currencies lose purchasing power.

Stay ahead of inflation

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