📉 Inflation Calculator
See how inflation erodes purchasing power over time. Find out what today's money will cost in the future — and what a future sum is worth today.
Enter your values
- Today's value of future sum€5,536.76
- Purchasing power lost44.63%
- Real loss in today's money€4,463.24
What this means
- To maintain today's purchasing power you will need €18,061.11
- Today's purchasing power of that future sum: €5,536.76
- Purchasing power lost to inflation: 44.63%
Visual results
Detailed breakdown
| Year | Future cost | Purchasing power |
|---|---|---|
| 1 | €10,300.00 | €9,708.74 |
| 2 | €10,609.00 | €9,425.96 |
| 3 | €10,927.27 | €9,151.42 |
| 4 | €11,255.09 | €8,884.87 |
| 5 | €11,592.74 | €8,626.09 |
| 6 | €11,940.52 | €8,374.84 |
| 7 | €12,298.74 | €8,130.92 |
| 8 | €12,667.70 | €7,894.09 |
| 9 | €13,047.73 | €7,664.17 |
| 10 | €13,439.16 | €7,440.94 |
About this calculator
What inflation does to money
Inflation is the general rise in prices over time. At 3% annual inflation, what costs €100 today will cost €134 in 10 years and €181 in 20 years. The money hasn’t changed — the same amount just buys less.
Two ways to use this calculator
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Future cost: Enter today’s amount to find out how much you’d need in the future to maintain the same purchasing power. Useful for setting retirement savings targets or long-term budgets.
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Present value: The calculator also shows what a future sum is worth in today’s money. If you’re promised €10,000 in 20 years, the purchasing power figure tells you its real equivalent today.
Why this matters for investing
If your savings account pays 2% interest and inflation is 3%, your money is effectively losing 1% of its purchasing power each year. To grow wealth in real terms, your returns must exceed inflation.
Historical context
The European Central Bank targets 2% inflation. Over the 2010s, eurozone inflation averaged closer to 1%. In 2022–2023 it briefly exceeded 10%. Long-term financial planning should account for a range of scenarios.
Frequently asked questions
What does the future cost figure mean?
If you have €10,000 today and inflation runs at 3%, you'll need €18,061 in 20 years to buy the same goods and services. The future cost figure answers: 'How much will today's money buy in the future?'
What is purchasing power?
Purchasing power is what a given sum of money can actually buy. Inflation reduces it over time — €100 today buys less than €100 did 10 years ago. The purchasing power figure shows today's equivalent of a future lump sum.
What is a realistic inflation rate to use?
Most developed economies target 2% inflation. The European Central Bank targets close to 2%. Historically, actual inflation has averaged 2–3% in the eurozone, but it can spike to 5–10%+ during economic shocks. For long-term planning, 2.5–3.5% is a reasonable assumption.