Inflation Calculator
Calculate how inflation affects your purchasing power over time.
Details
Avg. US inflation is ~3%
Future Amount Needed
$
To buy what $100 buys today.
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The Silent Wealth Killer: Inflation
Inflation is the rate at which the general cost of goods and services rises over time. It essentially means your money is becoming less valuable every year.
Real-World Context
In 1970, a cup of coffee cost roughly $0.25. Today, that same cup might cost $2.50 or more. The coffee hasn't changed—the value of the dollar has simply decreased.
How to Beat Inflation
If your money is sitting in a standard bank account earning 0.01% interest while inflation is at 3%, you are technically losing money every single day in terms of purchasing power.
To preserve your wealth, you need to invest in assets that historically outpace inflation, such as:
- Stock Market Index Funds (Avg 7-10% return)
- Real Estate (Appreciates with inflation)
- High-Yield Savings Accounts (Can help mitigate, but rarely beat, inflation completely)