FINANCEVELIX / Investment calculators
Inflation & purchasing power
FINANCEVELIX / CRYPTO
Crypto tools
Compare the future money amount with its purchasing power in today's prices. Enter your own constant annual assumptions.
Inflation & purchasing power
Use the same currency for every price, fee and amount. Changing this label does not convert values.
FINANCEVELIX / Your calculation
Your calculation
Enter your assumptions, then select Calculate.
FINANCEVELIX / PURCHASING POWER
What will your money be able to buy?
A larger future amount can still buy less if prices grow faster. This tool separates nominal money, real purchasing power and the cost of buying the same starting basket.
For n years: nominal future amount = initial amount × (1 + annual investment return)^n; today's purchasing power = nominal future amount ÷ (1 + inflation)^n. The future cost of the same starting basket = initial amount × (1 + inflation)^n. Enter effective annual percentage rates; the calculation converts them to decimals.
The exact annual real return is (1 + growth) ÷ (1 + inflation) − 1. Simply subtracting inflation is an approximation. Rates here compound annually, unlike the monthly compound-growth tool.
A single initial lump sum, constant effective annual rates and a constant basket of goods. No contributions, withdrawals, taxes, fees, exchange-rate changes or price-index feed. These are assumptions, not official inflation figures or investment forecasts. A negative inflation rate models falling prices.
20-year cash purchasing power reference
Fixed hypothetical example: 10,000 starting units, 0% effective annual investment growth, no cash flows, 20 years and the displayed constant inflation rates. Currency-independent units, not observed market data.
| Assumed annual price inflation (%) | Future amount · future money | Future amount · today's purchasing power | Future cost of the same starting basket |
|---|---|---|---|
| 0% | 10,000.00 | 10,000.00 | 10,000.00 |
| 1% | 10,000.00 | 8,195.44 | 12,201.90 |
| 2% | 10,000.00 | 6,729.71 | 14,859.47 |
| 3% | 10,000.00 | 5,536.76 | 18,061.11 |
| 5% | 10,000.00 | 3,768.89 | 26,532.98 |
| 10% | 10,000.00 | 1,486.44 | 67,275.00 |