Inflation Calculator
Find out how much ₹ from the past is worth today, or how inflation erodes your money's future value.
₹1,00,000 in 2000 is equivalent to
₹3,88,554
in 2026 (India CPI adjusted)Total Inflation
288.6%
Avg Annual Inflation (CAGR)
5.36% p.a.
Purchasing Power Loss
74.3%
About Understanding Inflation & Purchasing Power
Inflation is the silent tax on your savings. Use real India CPI data to make better investment decisions.
Why Inflation Silently Destroys Wealth
At India's historical average inflation of ~6% per year, money loses half its purchasing power in just 12 years. ₹1 lakh invested in a savings account earning 3.5% actually loses real value every year. Understanding inflation is the first step to building a portfolio that actually grows in real terms.
How to Beat Inflation
- Equity SIPs: Historical 12%+ CAGR significantly beats 6% inflation over the long term.
- PPF: 7.1% tax-free return slightly ahead of average inflation.
- NPS: 8-10% returns with tax benefits for long-term retirement corpus.
- Real Estate: Historically tracks or beats inflation in major Indian cities.
Questions & Answers
How does the Inflation Calculator use India CPI data?
The calculator uses the Consumer Price Index (CPI) for India sourced from RBI/MOSPI data from 1960 to 2026. It calculates: Present Value = Past Amount × (CPI of Present Year / CPI of Past Year). This gives you the real purchasing power equivalent adjusted for actual India inflation.
What was ₹1 lakh in 2000 worth today?
₹1 lakh in 2000 is roughly equivalent to ₹3.88 lakhs in 2026, based on India CPI data. This means India's average annual inflation rate from 2000 to 2026 was approximately 5.5% per year. Your investments must have grown at least this much to maintain real purchasing power.
How should I use the Future Projection mode?
Enter your current amount (e.g., monthly expenses), set your target future year, and enter an expected annual inflation rate (India's average is 5-7%). The calculator shows how much money you'll need in the future to maintain the same lifestyle — crucial for retirement planning.