Inflation worksheet

1. Future cost: $1,425.76

1. Find how many times prices grow in 12 years. Each year's rise builds on the last, so multiply (1 + rate) by itself once per year

   ${\left(1+0.03\right)}^{12}$$=1.42576089$

2. Find the total price rise: that growth number minus 1, as a percent

   $1.42576089-1\times 100$$=\mathrm{42.5761\%}$

3. Multiply today's amount by the growth number to get the future cost

   $\mathrm{\$1,000.00}\times 1.42576089$$=\mathrm{\$1,425.76}$

4. Find the extra you'll need: the future cost minus today's amount

   $\mathrm{\$1,425.76}-\mathrm{\$1,000.00}$$=\mathrm{\$425.76}$

2. Future cost: $1,043.82

1. Find how many times prices grow in 9 years. Each year's rise builds on the last, so multiply (1 + rate) by itself once per year

   ${\left(1+0.03\right)}^9$$=1.30477318$

2. Find the total price rise: that growth number minus 1, as a percent

   $1.30477318-1\times 100$$=\mathrm{30.4773\%}$

3. Multiply today's amount by the growth number to get the future cost

   $\mathrm{\$800.00}\times 1.30477318$$=\mathrm{\$1,043.82}$

4. Find the extra you'll need: the future cost minus today's amount

   $\mathrm{\$1,043.82}-\mathrm{\$800.00}$$=\mathrm{\$243.82}$

3. Worth in 2000 dollars: $1,000.00

1. Look up the price index (CPI-U) for 2000. It's a yearly average, set so 1982–84 = 100

   $\text{CPI 2000}$$=172.2$

2. Look up the price index for 2000

   $\text{CPI 2000}$$=172.2$

3. Divide the 2000 index by the 2000 index. This shows how many times prices changed

   $\frac{172.2}{172.2}$$=1$

4. Multiply your 2000 amount by that number to put it in 2000 dollars

   $\mathrm{\$1,000.00}\times 1$$=\mathrm{\$1,000.00}$

5. Find the total change in prices between the two years, as a percent

   $1-1\times 100$$=\mathrm{0\%}$

4. Worth in 2000 dollars: $1,100.00

1. Look up the price index (CPI-U) for 2000. It's a yearly average, set so 1982–84 = 100

   $\text{CPI 2000}$$=172.2$

2. Look up the price index for 2000

   $\text{CPI 2000}$$=172.2$

3. Divide the 2000 index by the 2000 index. This shows how many times prices changed

   $\frac{172.2}{172.2}$$=1$

4. Multiply your 2000 amount by that number to put it in 2000 dollars

   $\mathrm{\$1,100.00}\times 1$$=\mathrm{\$1,100.00}$

5. Find the total change in prices between the two years, as a percent

   $1-1\times 100$$=\mathrm{0\%}$

5. Future cost: $1,076.44

1. Find how many times prices grow in 9 years. Each year's rise builds on the last, so multiply (1 + rate) by itself once per year

   ${\left(1+0.03\right)}^9$$=1.30477318$

2. Find the total price rise: that growth number minus 1, as a percent

   $1.30477318-1\times 100$$=\mathrm{30.4773\%}$

3. Multiply today's amount by the growth number to get the future cost

   $\mathrm{\$825.00}\times 1.30477318$$=\mathrm{\$1,076.44}$

4. Find the extra you'll need: the future cost minus today's amount

   $\mathrm{\$1,076.44}-\mathrm{\$825.00}$$=\mathrm{\$251.44}$

6. Worth in today's money: $1,025.04

1. Find how many times prices grow in 12 years. Each year's rise builds on the last, so multiply (1 + rate) by itself once per year

   ${\left(1+0.02\right)}^{12}$$=1.26824179$

2. Find the total price rise: that growth number minus 1, as a percent

   $1.26824179-1\times 100$$=\mathrm{26.8242\%}$

3. Divide the future amount by the growth number to put it in today's money

   $\frac{\mathrm{\$1,300.00}}{1.26824179}$$=\mathrm{\$1,025.04}$

4. Find the buying power lost: how much less each dollar will buy by then

   $1-\frac{1}{1.26824179}\times 100$$=\mathrm{21.1507\%}$

7. Worth in 2000 dollars: $1,375.00

1. Look up the price index (CPI-U) for 2000. It's a yearly average, set so 1982–84 = 100

   $\text{CPI 2000}$$=172.2$

2. Look up the price index for 2000

   $\text{CPI 2000}$$=172.2$

3. Divide the 2000 index by the 2000 index. This shows how many times prices changed

   $\frac{172.2}{172.2}$$=1$

4. Multiply your 2000 amount by that number to put it in 2000 dollars

   $\mathrm{\$1,375.00}\times 1$$=\mathrm{\$1,375.00}$

5. Find the total change in prices between the two years, as a percent

   $1-1\times 100$$=\mathrm{0\%}$

8. Future cost: $1,107.39

1. Find how many times prices grow in 11 years. Each year's rise builds on the last, so multiply (1 + rate) by itself once per year

   ${\left(1+0.03\right)}^{11}$$=1.38423387$

2. Find the total price rise: that growth number minus 1, as a percent

   $1.38423387-1\times 100$$=\mathrm{38.4234\%}$

3. Multiply today's amount by the growth number to get the future cost

   $\mathrm{\$800.00}\times 1.38423387$$=\mathrm{\$1,107.39}$

4. Find the extra you'll need: the future cost minus today's amount

   $\mathrm{\$1,107.39}-\mathrm{\$800.00}$$=\mathrm{\$307.39}$

9. Worth in 2025 dollars: $10,686.90

1. Look up the price index (CPI-U) for 1950. It's a yearly average, set so 1982–84 = 100

   $\text{CPI 1950}$$=24.1$

2. Look up the price index for 2025

   $\text{CPI 2025}$$=321.943$

3. Divide the 2025 index by the 1950 index. This shows how many times prices changed

   $\frac{321.943}{24.1}$$=13.35863071$

4. Multiply your 1950 amount by that number to put it in 2025 dollars

   $\mathrm{\$800.00}\times 13.35863071$$=\mathrm{\$10,686.90}$

5. Find the total change in prices between the two years, as a percent

   $13.35863071-1\times 100$$=\mathrm{1,235.8631\%}$

6. Find the average yearly inflation over the 75 years from 1950 to 2025. Each year builds on the last, so take the 75-th root of the price change, then subtract 1

   ${13.35863071}^{\frac{1}{75}}-1\times 100$$=\mathrm{3.5166\%}$

10. Worth in today's money: $749.94

1. Find how many times prices grow in 8 years. Each year's rise builds on the last, so multiply (1 + rate) by itself once per year

   ${\left(1+0.03\right)}^8$$=1.26677008$

2. Find the total price rise: that growth number minus 1, as a percent

   $1.26677008-1\times 100$$=\mathrm{26.677\%}$

3. Divide the future amount by the growth number to put it in today's money

   $\frac{\mathrm{\$950.00}}{1.26677008}$$=\mathrm{\$749.94}$

4. Find the buying power lost: how much less each dollar will buy by then

   $1-\frac{1}{1.26677008}\times 100$$=\mathrm{21.0591\%}$