Inflation Calculator
See what today’s amount might cost in the future, and what a future amount is worth in today’s rupees, at any assumed inflation rate.
Future cost after 10 years
₹1,79,085
what ₹1,00,000 of goods today may cost at 6% inflation
Purchasing power of ₹1,00,000 in 10 yrs
₹55,839
Value eroded
₹44,161
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Tools that naturally follow this calculation.
Cost rises while purchasing power falls
- Future cost
- Purchasing power
Year-by-year
| Year | Future Cost | Purchasing Power |
|---|---|---|
| 1 | ₹1,06,000 | ₹94,340 |
| 2 | ₹1,12,360 | ₹89,000 |
| 3 | ₹1,19,102 | ₹83,962 |
| 4 | ₹1,26,248 | ₹79,209 |
| 5 | ₹1,33,823 | ₹74,726 |
| 6 | ₹1,41,852 | ₹70,496 |
| 7 | ₹1,50,363 | ₹66,506 |
| 8 | ₹1,59,385 | ₹62,741 |
| 9 | ₹1,68,948 | ₹59,190 |
| 10 | ₹1,79,085 | ₹55,839 |
Example calculation
At 6% a year, something that costs ₹1,00,000 today would cost about ₹1,79,085 in 10 years (₹1,00,000 × 1.06010). Looked at the other way, ₹1,00,000 received 10 years from now would buy only what ₹55,839 buys today.
How to use this calculator
- Amount today — the cost or sum you want to translate across time, e.g. ₹30,000 of monthly expenses.
- Assumed annual inflation — the default is a planning assumption; the RBI's CPI target is 4% with a ±2% band, and specific costs (education, healthcare) may run higher.
- Number of years — how far ahead you are looking.
The result shows the future cost of today's amount and, equivalently, how much purchasing power a fixed sum loses over the period.
What changes the result most
Inflation compounds exactly like interest. At 6%, prices double in about 12 years and quadruple in 24; at 4% doubling takes about 18 years. For a 30-year horizon the difference between assuming 5% and 7% is roughly a 75% difference in the final-year cost estimate — which is why retirement and goal planning are so sensitive to this one input. A 7% FD during 6% inflation preserves only about 1% of real purchasing power a year. Use the Retirement calculator to see the effect on a required corpus.
What inflation does to money
Inflation is the general rise in prices over time. When prices rise, the same amount of money buys less — its purchasing power falls. A goal that costs a certain amount today will usually cost more by the time you reach it.
Formulas used
Future cost of today’s amount: A × (1 + i)t
Today’s purchasing power of that amount after t years: A ÷ (1 + i)t
where i is the assumed annual inflation rate and t the number of years.
Why it matters for investing
A return that only matches inflation leaves your purchasing power unchanged. The difference between an investment’s return and inflation is its real return — the number that actually reflects growth in what you can buy. The SIP calculator shows an inflation-adjusted corpus for this reason, and the Goal Investment calculator inflates a target before sizing the monthly investment needed to reach it.
Assumptions & what this calculator does not include
- •Inflation is assumed constant every year at the rate you enter.
- •Uses one rate for everything; specific categories can inflate faster or slower.
- •This is an illustration, not a forecast of future prices.
Frequently asked questions
Methodology last reviewed: 16 October 2026
How we maintain this page: the formula is covered by automated tests, default rates that depend on government notification are re-checked when a revision is announced, and the content and links are re-read when a reader reports an issue or the page is edited. See our Calculator Methodology and Corrections Policy.