Adjust a current amount for inflation to a future value.
Inflation compounds, so a current amount needs multiplying by a growth factor to keep the same purchasing power in the future. Value erosion measures the share of spending power lost to that inflation. Failing to inflate future costs means routinely underestimating how much money will be needed later.
Inflation Adjustment
Future = amount x (1 + inflation)^years
Future = amount x (1 + inflation)^years Inflation compounds, so a current amount needs multiplying by a growth factor to keep the same purchasing power in the future. Value erosion measures the share of spending power lost to that inflation.
Failing to inflate future costs means routinely underestimating how much money will be needed later.
This calculator takes 3 inputs: Current amount, Annual inflation, Years. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.