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Loss of Purchasing Power

Shows the real value, in today's purchasing power, of an amount available in a few years.

Enter your own numbers and press "Calculate" – or load an example on the right; "Type in" replays it on the device.

Load an example
Purchasing power of a saved amount in the future $28,656.33
What you learn

Anyone who just hoards money loses value in real terms – inflation quietly eats away at purchasing power. Money has to work just to hold its value.

→ Story & full explanation: Purchasing power of a saved amount in the future

Formula
Today's purchasing power = amount / (1 + inflation)^n
How the formula works

Here it is discounted: purchasing power = amount/(1+inflation)ⁿ. You convert a future amount back into today's purchasing power and see how much real substance inflation devours over the years.

Discounting the future amount with the inflation rate.

Embed on your own website

iframe code
<iframe src="https://fintechcalc.mindcruce.com/calculator.php?c=kaufkraftverlust&embed=1" width="100%" height="640" style="border:1px solid #ddd;border-radius:12px" loading="lazy"></iframe>