Inflation and purchasing-power planner.
Compare nominal savings, real buying power and future monthly costs using your own rates.
UNDERSTAND THE ESTIMATE
How to use this planner
Enter savings, current monthly essentials, constant effective annual inflation and growth assumptions, and a duration. Compare future amounts with buying power in today’s money.
The calculation
Inflation factor = (1 + annual inflation / 100)^(months/12). Future nominal savings use the same exponent with the savings-growth assumption. Real savings = nominal savings / inflation factor. Future monthly essentials = current monthly essentials × inflation factor.
Uses constant user-entered effective annual inflation and savings growth. Allows constant falling-price or negative-growth scenarios above -100%. No observed CPI data, changing paths, total-loss timing, fees or taxes. Estimates are not financial advice.
BLS explanation of purchasing power and constant dollars ↗ILLUSTRATIVE EXAMPLE
Follow the numbers
Keep 10,000 unchanged for one year while assuming 10% inflation. Its buying power is 9,090.91 in today’s money. Monthly essentials of 500 rise to 550. These are entered assumptions, not observed inflation data.
Are monthly essentials withdrawn from my savings?
No. They show the cost of one month at the end of the period. The savings projection does not deduct living costs. Personal spending can change differently from broad inflation.