Inflation Calculator
How inflation erodes your money — and how to beat it
Mode
What will today's ₹X cost in N years?
India long-term CPI: 5–7%. Food/education: 7–10%.
Compare real purchasing power
Investments must beat inflation to preserve wealth
Purchasing Power vs Investment vs Salary — 20 Years
Real Purchasing Power of ₹1.00 L Today
After 5 years
Worth 75% of today's value
₹74,726
After 10 years
Worth 56% of today's value
₹55,839
After 20 years
Worth 31% of today's value
₹31,180
Salary real growth
8% nominal − 6% inflation
2.0%/yr
Investment real return
12% return − 6% inflation
6.0%/yr
Future Cost of Everyday Items (at 6%)
Inflation Facts
→ At 6% inflation, money halves in value every 12 years (Rule of 72: 72 ÷ 6).
→ FD at 7% with 30% tax = 4.9% net — often below inflation. Equity is your best long-term inflation hedge.
→ Education and healthcare inflation is typically 8–12% — much higher than CPI. Plan separately with higher inflation.
→ Real return is what actually matters: if your portfolio earns 12% and inflation is 6%, real wealth grows only 6%.
FAQ
Inflation Calculator — FAQ
Common questions about this calculator
India's CPI inflation averages 4–6% over long periods. However, healthcare inflation is 12–15% and education inflation is 10–12%.
Calculations are approximate and for educational purposes only. Excludes surcharge for income above ₹50L. Consult a Chartered Accountant for personalised tax advice.