Calculate how inflation affects the value of money over time — see the future equivalent of an amount, or how much purchasing power is lost.
This tool shows how inflation erodes the purchasing power of money over time, and what amount you would need in the future to match today's value.
Future equivalent value equals current amount times (1 plus inflation rate) raised to the number of years.
Enter the current amount, expected annual inflation rate, and number of years, then click Calculate.
Example: 1 lakh rupees today, at 6% average inflation, would need to grow to over 2.39 lakh rupees in 15 years just to maintain the same purchasing power.
What is a typical inflation rate in India. Historically it has averaged around 5 to 7 percent annually, though it varies by year and category of goods.
How does this affect savings. Money sitting idle loses purchasing power over time, which is why investing at rates above inflation is important for long-term goals.