Inflation Calculator
Calculate future cost of goods accounting for inflation rate
Calculate how much a current amount will cost in the future at a fixed inflation rate.
Uses India's actual historical CPI inflation rates year-by-year. Find out how much ₹X in a past year is worth today.
Enter details and click Calculate
India Inflation Rate History
Annual average CPI inflation (1960–2025). Pre-2012: CPI-IW / WPI proxy. Post-2012: CPI Combined.
How to Use
- Enter the Current Cost of the item or expense you want to project.
- Enter the Annual Inflation Rate (India's average CPI inflation: 5–6%).
- Enter the Number of Years into the future.
- Click Calculate — the future cost of the same item is shown.
Why Inflation Matters for Your Money
Inflation is the rate at which prices rise over time. If inflation is 6% and your savings account yields 4%, you are effectively losing 2% purchasing power per year. A ₹1 lakh kept in a jar today will only buy what ₹74,000 buys today — in just 5 years at 6% inflation.
India's Inflation History
| Period | Avg CPI Inflation |
|---|---|
| 2015–2019 | 4.5% p.a. |
| 2020–2022 | 6.2% p.a. |
| 2023–2025 | 5.0% p.a. |
Planning for Real Goals
- Child's education: A course costing ₹10 lakh today will cost ~₹18 lakh in 10 years at 6% inflation.
- Retirement: ₹50,000/month expenses today = ~₹1.3 lakh/month in 20 years at 5% inflation.
- Medical expenses: Healthcare inflation in India runs at 8–10% — plan conservatively.
How to Beat Inflation
Your investments must earn above inflation (real return). FDs yield ~7% (barely ahead of 6% inflation). Equity mutual funds have historically returned 12–15% p.a. — a real return of 6–9%. Long-term financial goals need equity exposure.