Inflation Calculator

Estimate future cost after inflation. Share a filled result with a URL that restores the inputs automatically.

Worked example: current cost ₹100000, inflation rate 6%, after years 10yrs. Change any input to recalculate.

Future Cost
₹1,79,085
Cost Increase
₹79,085
Current Cost
₹1,00,000
Increase Multiple
1.79x

This calculator is for educational estimates only. Verify assumptions before making trading, investing, tax, or financial planning decisions.

How Inflation Erodes Purchasing Power

Inflation in India, commonly tracked using the Consumer Price Index (CPI), reduces purchasing power over time. At 6% inflation, ₹1 lakh today would cost about ₹1.79 lakh in 10 years and about ₹3.21 lakh in 20 years. This calculator helps you plan financial goals by showing the inflation-adjusted future cost.

Future Cost = Current Cost × (1 + Inflation Rate)^Years

Frequently Asked Questions

  • RBI targets CPI inflation at 4% (±2%). For general planning, use 5–6%. For education costs, use 8–10% as education inflation tends to be higher. For healthcare, use 7–8%.
  • If you need ₹60,000/month today and plan to retire in 20 years, at 6% inflation you will need approximately ₹1.92 lakh/month at retirement to maintain the same lifestyle. This inflation-adjusted number should be used when calculating your retirement corpus requirement.
  • Yes. Real return is your return after inflation. An investment earning 7% when inflation is 6% is only improving purchasing power by roughly 1% before taxes. Long-term planning should always compare expected return against expected inflation.