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Finance

Inflation Calculator

See what a sum of money is worth after inflation, and what you would need to charge to keep pace.

Your numbers

$
%

Result

Equivalent amount in the future $134,392 What you would need then to match today
What today's amount will be worth $74,409
Purchasing power lost $25,591
Percentage of value lost 25.6%
At 3% inflation you would need $134,392 in 10 years to match 100,000 today. Held as cash, that money would lose 25.6% of its purchasing power.

Uses one constant rate. Real inflation varies year to year and hits trades unevenly. Material and labour costs have moved very differently from general consumer prices in recent years.

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Questions

About this calculator

What does this mean for my pricing?

If your rates have not risen with inflation, you have taken a real-terms pay cut. A price held flat for five years at 3% inflation is worth about 14% less than it was.

Should I use general inflation for construction costs?

No. Material and trade labour costs have their own indices and have often outpaced headline inflation. Use general inflation for household purchasing power and track your actual supplier prices for job costing.

The formula

future equivalent = amount × (1 + rate)^years

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