MyWebUtils: Free Online Dev Tools
Disclaimer: Uses sample historical inflation data for India (2000-2023). Future projections are based on the assumed rate you provide. Results are estimates.
What is Inflation?
Inflation is the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling. In simple terms, ₹100 today will buy you less than it did last year. This calculator helps you quantify that change.
How This Calculator Works
Our tool uses historical Consumer Price Index (CPI) data for India to adjust the value of money across different years.
- Historical Adjustment: If you want to know what ₹1,000 in 2005 is worth in 2023, the calculator applies the actual year-over-year inflation rates between those two dates to find the equivalent value.
- Future Projections: If you select a future end year, the tool uses historical data up to the last available year and then applies an "assumed future inflation rate" (which you can change) for the remaining years to project a future value.
- Purchasing Power: It shows you how much your money's ability to buy goods and services has decreased (or increased, in rare cases of deflation) over the selected period.
- Visual Chart: The line chart provides a clear visualization of how the value of your initial amount changed year by year, offering a powerful look at the long-term trend.
Why Is This Useful?
Understanding inflation is crucial for long-term financial planning. It helps you set realistic savings goals for retirement, understand the "real" return on your investments (after accounting for inflation), and make informed decisions about salaries, prices, and budgets.