Calculate how inflation erodes your purchasing power over time. See the real value of your money in future dollars and understand why investing matters. Our free inflation calculator helps you plan for rising costs and protect your wealth.
The Consumer Price Index (CPI) tracks the average change in prices paid by consumers for goods and services. The Federal Reserve targets 2% annual inflation as a healthy rate for economic growth. Recent years have seen inflation significantly above this target.
Divide 72 by the inflation rate to estimate how many years it takes for prices to double. At 3% inflation, prices double roughly every 24 years. At 7% inflation, prices double in about 10 years.