Inflation Calculator
See how inflation erodes purchasing power over time and calculate the future cost of goods and services.
$
The amount you want to evaluate against inflation
3%
1%10%
10 yrs
1 yrs50 yrs
Future Cost
$1,344
What $1,000 today will cost in 10 years
Purchasing Power
$744
What $1,000 today will be worth in 10 years
Total Inflation
34.4%
Over 10 years at 3.0%/yr
Purchasing Power vs Future Cost Over Time
Frequently Asked Questions
What is inflation?
Inflation is the rate at which the general price level of goods and services rises over time, reducing purchasing power. If inflation is 3%, something that costs $100 today will cost $103 next year.
What is a normal inflation rate?
Central banks typically target 2% annual inflation. The UAE has historically experienced 1-3% inflation. In recent years, global inflation has been higher due to supply chain disruptions and economic policy.
How does inflation affect my savings?
If your savings earn less than the inflation rate, you're losing purchasing power. For example, cash earning 1% while inflation is 3% means you're effectively losing 2% per year in real terms.
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