Inflation Calculator
At 6% inflation, something costing ₹1 lakh today will cost about ₹1.79 lakh in 10 years, and ₹1 lakh will buy only about ₹55,839 worth of today’s goods.
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Inflation reduces what your money can buy. This calculator shows the future cost of today's expenses and the real value of today's money after a number of years.
How the inflation calculation works
Future cost = Cost today × (1 + inflation)ʸᵉᵃʳˢ
Example
At 6% inflation, something that costs ₹1,00,000 today will cost about ₹1,79,085 in 10 years.
Inflation Calculator scenarios
| Inflation | 5 years | 10 years | 20 years | 30 years |
|---|---|---|---|---|
| 4% | ₹1.22 lakh | ₹1.48 lakh | ₹2.19 lakh | ₹3.24 lakh |
| 5% | ₹1.28 lakh | ₹1.63 lakh | ₹2.65 lakh | ₹4.32 lakh |
| 6% | ₹1.34 lakh | ₹1.79 lakh | ₹3.21 lakh | ₹5.74 lakh |
| 7% | ₹1.40 lakh | ₹1.97 lakh | ₹3.87 lakh | ₹7.61 lakh |
| 8% | ₹1.47 lakh | ₹2.16 lakh | ₹4.66 lakh | ₹10.06 lakh |
What changes the result
- The inflation rate: small differences compound — 6% vs 8% over 30 years is a gap of more than 70%.
- Time: prices roughly double in 12 years at 6% inflation.
- The kind of expense — education, healthcare and housing have often risen faster than overall CPI.
- Your own spending mix, which may differ from the CPI basket.
How to use this calculator
- Enter the cost of something today, or an amount of money.
- Enter the expected yearly inflation rate.
- Enter the number of years.
- Read the future cost and what today’s money will be worth in real terms.
Inflation Calculator FAQs
What inflation rate should I use?
Retail inflation in India has often been in the 4–7% range. Education and healthcare costs have historically risen faster.
Who measures inflation in India?
Retail inflation (CPI) is published monthly by the National Statistics Office under MoSPI. The RBI targets CPI inflation of 4% within a band of 2–6%.
What is a real return?
Your return after inflation. A 7% FD return with 6% inflation is a real return of only about 1% a year, before tax.
Results are estimates for planning only and are not financial, tax or investment advice. Check figures with your bank, fund house or tax adviser before acting on them.