Historical purchasing power

US Inflation Calculator

Convert a dollar amount between years using annual US CPI-U values from 1960 through 2022.

Amount and CPI years

Choose the starting and comparison years

US CPI
$
Inflation adjustment

Equivalent purchasing amount

Your CPI-adjusted amount will appear here

Enter a dollar amount and select two years covered by the calculator’s CPI dataset.

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What is US Inflation?

The US inflation calculator estimates the amount in one year that has the same broad consumer purchasing power as a dollar amount in another year. It uses annual-average Consumer Price Index for All Urban Consumers (CPI-U), US city average, all items, for 1960 through 2022. The calculation compares index levels rather than adding annual percentage changes. It is useful for historical context, general budgeting, and converting nominal dollar amounts. It is not a forecast, an investment-return measure, or a precise description of one household’s cost of living.

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How to Use This Calculator

  1. Enter a nonnegative dollar amount.
  2. Select the year in which that amount is valued as the starting year.
  3. Select the comparison year as the ending year. Either year may be earlier; the CPI ratio works in both directions.
  4. Choose Calculate to see the CPI-adjusted amount and a chart comparing the starting and ending dollar figures.

The page uses a full-year average CPI for each selected year. It therefore represents an average price level across twelve months, not a specific purchase date. A January-to-January or December-to-December comparison may differ. The available series ends in 2022 on this page, so it should not be presented as a current-year estimate.

3

Formula Used

Adjusted amount = original amount × CPI-U annual average in ending year ÷ CPI-U annual average in starting year

The implied cumulative price change is:

Change (%) = (ending CPI ÷ starting CPI − 1) × 100

All index values use the same 1982–84 reference base, so their ratio is meaningful. The base level of 100 is simply an index reference; it is not dollars. If the two selected years match, the ratio is 1 and the amount is unchanged.

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Variables Explained

US inflation adjustment values
ValueMeaning
Original amountNominal dollar amount associated with the selected starting year.
Starting yearYear providing the denominator CPI-U annual average.
Ending yearYear providing the numerator CPI-U annual average.
CPI-UIndex of average price change for a broad market basket purchased by urban consumers.
Annual averageMean of twelve monthly index levels for a calendar year.
Adjusted amountDollar amount scaled by the ratio of the two annual CPI values.
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Worked Example

The annual-average CPI-U is 172.2 for 2000 and 292.655 for 2022. For $100 in 2000, the comparison amount is $100 × 292.655 ÷ 172.2 = $169.95 in 2022 dollars, rounded to cents. This means the broad CPI-U basket that cost about $100 at the 2000 average price level cost about $169.95 at the 2022 average level. It does not mean every individual item rose by 69.95%, nor does it include interest earned on money.

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Why Use This Calculator?

A larger adjusted amount in a later year reflects a higher CPI level and reduced purchasing power per dollar across the indexed basket. Moving backward usually produces a smaller equivalent amount. The comparison is descriptive: it does not say whether wages, benefits, house prices, stocks, tuition, medical expenses, or a particular product moved by the same percentage.

BLS emphasizes that CPI is a statistical average. Geography and each household’s mix of housing, transport, food, healthcare, and other spending can lead to a different experience. Annual averages also blur price changes within the year. For contracts, taxes, benefits, damages, escalation clauses, or regulated payments, use the exact index series, reference month, revision policy, and rounding method named in the governing document, with professional advice where needed.

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Common Mistakes

  • Adding yearly inflation percentages ignores compounding; an index ratio handles the full period directly.
  • Comparing an annual-average result with a December-to-December figure mixes different time definitions.
  • Using CPI-U as a house-price, wage, or investment index applies the wrong measure.
  • Calling the result a forecast is incorrect because every available year is historical.
  • Assuming an average urban basket matches one household’s spending ignores personal and regional differences.
  • Entering a negative amount does not represent ordinary purchasing-power comparison and is rejected.
  • Using a rounded adjusted result in legal or financial documents without checking the specified index may be inappropriate.
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Frequently Asked Questions

Which inflation measure does this page use?

It uses annual-average CPI-U for the US city average, all items, on the 1982–84=100 reference base.

Why can the result differ from another inflation calculator?

Another tool may use monthly CPI, December values, CPI-W, chained CPI, a regional series, more recent years, or different rounding.

Can I compare a later year with an earlier year?

Yes. The CPI ratio works in either direction. A later-year amount converted backward will generally become smaller when the earlier index is lower.

Does the result include investment growth?

No. It adjusts for broad consumer price change only and does not add interest, dividends, capital gains, fees, or taxes.

Why does my personal inflation feel different?

Your location and spending mix may differ from the national urban-consumer basket. Large changes in the items you buy most can dominate your experience.

Is this suitable for a contract escalation clause?

Only if the clause explicitly uses the same CPI series, annual period, base, and rounding method. Follow the contract and obtain advice for material disputes.

Why does the available range stop at 2022?

The page contains a fixed historical annual-average series through 2022. It does not automatically retrieve newer BLS releases.

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Sources & References

The US Bureau of Labor Statistics CPI database is the primary data source. BLS explains how to calculate and compare annual-average CPI values and why consistent reference bases matter. Its discussion of CPI averages and individual experience explains why a national index may differ from a particular household’s price changes.