Inflation Calculator

Use our free Inflation Calculator to understand how the value of your money erodes over time due to inflation. Find out what your ₹1,00,000 today would be worth in the future.

Results

Initial Amount: ₹0
Adjusted Value: ₹0
Value Lost: ₹0

Frequently Asked Questions (FAQs)

What is an Inflation Calculator?

An inflation calculator helps you estimate the future value of your money by adjusting for inflation over a specific number of years. It shows how much your current savings or investment will be worth in the future, considering the declining purchasing power due to inflation.

Why should I care about inflation when planning my finances?

Inflation erodes the value of money over time. ₹1 lakh today won't have the same buying power 10 years from now. Understanding inflation's impact helps you make smarter long-term investment and savings decisions to preserve your wealth.

How does this calculator work?

This calculator uses a simple formula:
Future Value = Present Value ÷ (1 + Inflation Rate)Years
It shows how much your money today would be worth after accounting for average annual inflation over the selected period.

What inflation rate should I use for future projections?

In India, the long-term average inflation rate ranges from 5% to 7%. You can use 6% as a baseline. For conservative planning, consider using a higher rate to stay better prepared.

Can this calculator be used for retirement planning?

Absolutely. This tool is ideal for estimating how much you'll need to maintain your current lifestyle after retirement. It helps you understand the real value of your savings in the future by factoring in inflation.

What does “Adjusted Value” mean in the results?

The “Adjusted Value” is your money's future worth after inflation. For example, if ₹1,00,000 today becomes ₹55,000 in 10 years, that’s the amount of goods or services it will be able to buy in the future at the given inflation rate.

How accurate is this inflation calculator?

This calculator gives an accurate projection based on constant annual inflation. While real-world inflation fluctuates yearly, this tool provides a reliable benchmark for financial planning and goal setting.

Does this calculator support reverse calculation (e.g., what should I save to beat inflation)?

Yes! Try our Reverse Inflation Calculator to determine how much to invest today to preserve your future purchasing power.

Can I use this calculator for large investments like real estate or education planning?

Yes. Whether you're planning for your child's education, home purchase, or long-term travel goals, this calculator can show how much more you may need to save to offset the impact of inflation.

Where can I learn more about inflation and investing?

You can explore our Knowledge Center article on inflation to dive deeper into how it affects your savings and investments.

For planning tools, try our CAGR Calculator, SIP Calculator, or Reverse Inflation Calculator.