Calculate the inflation-adjusted value of any dollar amount using historical US CPI data. Three modes: historical adjustment, future purchasing power, and required salary increase.
Purchasing power & inflation-adjusted value
This CPI calculator uses Bureau of Labor Statistics historical data to show exactly how the purchasing power of the US dollar has changed over time. In 2000, $100 could buy what costs about $177 today — a 77% increase driven by cumulative inflation over 26 years. The average annual US inflation rate since 2000 is roughly 2.6%, but it hasn't been steady: 2021 saw 7.0% and 2022 peaked at 8.0%, the highest in 40 years. The Federal Reserve targets 2% annual inflation as a long-term sustainable rate, using interest rate policy to steer toward that goal.
For salary negotiations, the cost of living calculator mode is especially practical. If you earned $70,000 in 2020 and never received a raise, inflation has reduced your real purchasing power to roughly $58,000 in 2025 dollars — you're earning the same number but affording less. A 3% annual raise barely keeps pace with typical inflation; a 5% raise genuinely grows your real income. Retirees face this challenge acutely: a fixed pension of $2,000/month in 2005 buys roughly $1,300 of equivalent goods today. Social Security's cost-of-living adjustments (COLAs) are designed to offset this, but private pensions and fixed annuities often do not adjust at all.
Average US CPI inflation: 2000s averaged 2.5%, 2010s averaged 1.7%, 2020–2023 averaged 5.1% due to pandemic supply disruptions. The Fed's long-run 2% target helps anchor long-term financial planning projections.
$100 in 1990 required about $237 by 2025 to buy the same goods — a 137% cumulative increase over 35 years. This is why retirement savers need their nest egg to grow faster than inflation, not just match it.
A $60,000 salary with 2% annual raises loses real value during years when inflation exceeds 2%. The salary mode shows exactly how much your current wage needs to increase to maintain the same standard of living.
Cash loses purchasing power over time. I bonds, TIPS (Treasury Inflation-Protected Securities), and diversified stock portfolios have historically outpaced inflation. Real assets like real estate often appreciate alongside inflation too.