US Inflation Calculator
Calculate the real purchasing power of the dollar over time. See how prices have changed from 1913 to 2025.
Track the Changing Value of Money
Have you ever heard someone say, "Back in my day, a movie ticket cost a nickel"? Our US Inflation Calculator helps you verify exactly how much purchasing power has changed over the years. By using official Consumer Price Index (CPI) data, this tool allows you to convert historical dollar amounts into today's value—or vice versa.
What is Inflation?
Inflation is the rate at which the general level of prices for goods and services rises, causing purchasing power to fall. Conversely, Deflation is when prices decrease.
The primary measure of inflation in the United States is the Consumer Price Index (CPI), tracked by the Bureau of Labor Statistics (BLS). This index monitors the cost of a "basket" of common goods (like milk, rent, fuel, and clothing) over time to gauge the cost of living.
How This Calculator Works
Our tool uses the standard formula for calculating inflation based on CPI:
Generally, we update our data set monthly as soon as the government releases new CPI figures, ensuring you get the most accurate, up-to-date calculation possible.
Salary Adjustments
Did you get a raise this year? If your salary increase percentage is lower than the inflation rate, your real purchasing power has actually decreased. Use this tool to negotiate fair cost-of-living adjustments.
Investment Goals
Saving $1 million for retirement in 30 years won't buy the same lifestyle it does today. Investors use inflation calculators to set realistic "real return" targets that beat rising prices.
Historical Research
Curious about historical prices? If a house cost $10,000 in 1950, enter that amount to see what the equivalent standardized cost would be in today's dollars.
Frequently Asked Questions
What is the "Base Year" for CPI?
The Bureau of Labor Statistics currently uses the period of 1982-1984 as the base reference (where CPI = 100). All other years are measured relative to this specific period.
Why does my personal inflation feel higher?
The CPI is an average. If you spend famously on categories that have risen faster than average (like rent, tuition, or healthcare), your personal inflation rate will likely be higher than the official national number.
What happens if inflation is negative?
Negative inflation is called Deflation. This means purchasing power increases—your dollar buys more goods than it did previously. This happened during the Great Depression.
How far back does the data go?
Our calculator uses the official CPI-U (Consumer Price Index for All Urban Consumers) data set, which tracks inflation data starting from **1913**.
Data Source & Accuracy
Calculations are based on the latest available CPI-U data from the U.S. Bureau of Labor Statistics. While we strive for accuracy, official figures are subject to revision.
Not Financial Advice
This tool is for educational purposes only. Inflation rates vary by region and personal spending habits.