# Inflation calculator

See what money will cost and buy in the future

Use it at https://www.quicktoolz.com/tools/inflation-calculator. From QuickToolz.

Inflation means prices rise over time, so money buys less. At 6% a year, something that costs ₹1,00,000 today will cost about ₹1,79,085 in 10 years. Put another way, ₹1,00,000 in 10 years will buy what about ₹55,839 buys today. Enter your own rate to see the effect.

## How it works

future cost = amount × (1 + rate)^years

Each year, the price grows by the inflation rate. That compounds in the same way as interest.

Buying power is the same sum in reverse: we divide by the growth instead of multiplying.

Worked example: At 6% inflation, what costs ₹1,00,000 today will cost ₹1,79,084.77 in 10 years. Put another way, ₹1,00,000 then buys what ₹55,839.48 buys today.

## Examples

| Inflation | Time | Future cost of ₹1,00,000 | Buying power of ₹1,00,000 |
| --- | --- | --- | --- |
| 4% | 10 years | ₹1,48,024.43 | ₹67,556.42 |
| 6% | 10 years | ₹1,79,084.77 | ₹55,839.48 |
| 6% | 20 years | ₹3,20,713.55 | ₹31,180.47 |
| 8% | 20 years | ₹4,66,095.71 | ₹21,454.82 |

## What this tool doesn't cover

- This uses one rate for every year. Real inflation changes.
- Prices of different things rise at different speeds.
- This is an estimate, not financial advice.

## Questions

### What inflation rate should I use?

Check the latest figure from your central bank. Use a slightly higher one to be careful.

### Can inflation be negative?

Yes. That’s called deflation, and you can enter a negative rate here.

### Why does this matter for savings?

If your savings grow slower than prices, they buy less each year.

### How does inflation affect my money?

Inflation means the same money buys less over time. At 6% a year, prices roughly double in about 12 years.

### What is the difference between nominal and real returns?

A nominal return is the headline rate. A real return takes off inflation, so it shows how much your buying power really grew.

## Sources

- [Reserve Bank of India](https://www.rbi.org.in)
- [SEBI investor education](https://investor.sebi.gov.in)