CalculatorInflation
Inflation is the silent tax on your savings. See exactly how much your money's purchasing power shrinks over time — and what it takes to beat it.
Inflation Calculator
See how much your money's purchasing power shrinks over time
Try with
In 20 years, ₹1.00L will cost
₹3.21L
Your money loses 69% of its real purchasing power at 6% inflation.
Today this buys
₹1.00L
worth of goods
Future cost of same goods
₹3.21L
20 years from now
Cost Growth Over Time
🛡️ Beat inflation with smart investing
At 6% inflation, you need investments returning more than 6% just to stand still. Equity mutual funds have historically returned 12–15% annually — well above India's average inflation.
Why Inflation Matters for Your Savings
India's average inflation is ~6% per year. At that rate, ₹1 lakh today becomes ₹3.2 lakhs in 20 years — meaning you'd need ₹3.2L to buy the same things that cost ₹1L today. Money sitting in a savings account (3-4% p.a.) is actively losing real value.
Formula: Future Value = Present Value × (1 + r)ⁿ
where r = annual inflation rate, n = years.
How to Actually Beat Inflation
- → A savings account at 4% loses to 6% inflation — your real return is -2% per year.
- → Equity mutual funds have historically returned 12-15% annually, well ahead of inflation.
- → Even real estate averages 7-8% — barely ahead. Location and timing matter enormously.
- → Calculate your "inflation-adjusted return" — nominal return minus inflation rate — to know your real gains.
Track your real inflation-adjusted net worth
SparkyMinis shows you your portfolio's real returns — not just the nominal numbers. Know if you're actually growing wealth or just keeping up with inflation.
Start for FreeNo credit card · Free forever plan available