How to use the inflation calculator
- Pick Future cost to see what something will cost later, Past value to see what an old amount is worth today, or CPI to use actual inflation figures.
- Enter the amount and the number of years.
- Choose a type of cost or type your own inflation rate.
- Read the future cost, the purchasing power lost and how long prices take to double.
Inflation formula
Future cost = C × (1 + i)n · Value today = A ÷ (1 + i)n
- C is today's cost and A an amount received in future.
- i is the yearly inflation rate ÷ 100 and n the number of years.
₹1 lakh of today's costs in future
| After | At 6% (general) | At 10% (education) | At 12% (healthcare) | ₹1 lakh's buying power at 6% |
|---|---|---|---|---|
| 5 years | ₹1,33,823 | ₹1,61,051 | ₹1,76,234 | ₹74,726 |
| 10 years | ₹1,79,085 | ₹2,59,374 | ₹3,10,585 | ₹55,839 |
| 20 years | ₹3,20,714 | ₹6,72,750 | ₹9,64,629 | ₹31,180 |
| 30 years | ₹5,74,349 | ₹17,44,940 | ₹29,95,992 | ₹17,411 |
India's CPI inflation, FY 2012-13 to FY 2024-25
| Financial year | CPI (Combined) inflation |
|---|---|
| FY 2012-13 | 9.9% |
| FY 2013-14 | 9.5% |
| FY 2014-15 | 6% |
| FY 2015-16 | 4.9% |
| FY 2016-17 | 4.5% |
| FY 2017-18 | 3.6% |
| FY 2018-19 | 3.4% |
| FY 2019-20 | 4.8% |
| FY 2020-21 | 6.2% |
| FY 2021-22 | 5.5% |
| FY 2022-23 | 6.7% |
| FY 2023-24 | 5.4% |
| FY 2024-25 | 4.6% |
Annual averages of All-India CPI (Combined), compiled by the National Statistics Office, MoSPI. FY 2012-13 to FY 2020-21 are worked out from the annual average index (base 2012 = 100) in the RBI Handbook of Statistics; later years are as reported by the RBI and the Ministry of Finance. FY 2025-26 will be added once a full-year figure on the new base (2024 = 100) is published.
Rule of 70: years for prices to double
| Inflation | Rule of 70 | Exact |
|---|---|---|
| 4% | 17.5 | 17.7 |
| 5% | 14 | 14.2 |
| 6% | 11.7 | 11.9 |
| 8% | 8.8 | 9 |
| 10% | 7 | 7.3 |
| 12% | 5.8 | 6.1 |
Plan long-term goals with inflation built in: try the retirement planner or the child education planner.
Frequently asked questions
How do you calculate the future cost of something?
Multiply today's cost by (1 + inflation rate) raised to the number of years. At 6% inflation, something that costs ₹1,00,000 today will cost about ₹1,79,085 in 10 years.
What has India's inflation rate been?
All-India CPI (Combined) inflation, published by MoSPI, averaged 4.6% in FY 2024-25 and 5.4% in FY 2023-24. Over the 10 years to FY 2024-25 it averaged about 5% a year. The RBI's target is 4%, within a band of 2–6%.
What is the rule of 70?
Divide 70 by the inflation rate to estimate how many years it takes for prices to double, and for money held as cash to lose half its buying power. At 6% that is about 11.7 years; the exact figure is 11.9.
Why use a higher rate for education and healthcare?
Costs such as private school and college fees, hospital bills and health insurance premiums have often risen faster than headline CPI. This calculator uses 10% for education and 12% for healthcare as planning assumptions; they are not official figures, so change them if you have better information for your own costs.
What is the difference between CPI and WPI?
The Consumer Price Index measures prices that households pay for a basket of goods and services, and is the measure the RBI targets. The Wholesale Price Index tracks prices at the wholesale level. For personal planning, CPI is the relevant one.
How do I protect my savings from inflation?
Your savings need to earn more than inflation after tax. Money in a savings account often earns less than inflation. Over long periods, a mix of equity mutual funds and fixed-income options such as PPF has historically beaten inflation, though equity returns are not guaranteed.