This inflation calculator from Modera Wealth Management shows what the same spending will cost in the future and how much today's amount will buy by then.
Enter a yearly amount, an inflation rate and a number of years. The result is an illustration with the rate you chose, not a forecast of what prices will do.
How does the inflation calculator work?
The calculator grows your amount by the inflation rate once for every year you enter. Future cost equals today's amount times (1 + rate) multiplied by itself once per year. Buying power runs the other way: today's amount divided by that same growth factor.
Take a hypothetical $100,000 of yearly spending at 3 percent inflation. After 20 years the same goods cost $180,611, and $100,000 held in cash buys only $55,368 worth of today's goods. Look at the year 9 row: costs are up about 30 percent, and buying power has dropped to roughly three quarters.
The rate stays the same every year in this math. Real prices don't behave that neatly; they jump in some years and barely move in others.
| Year | Future cost | Buying power of today’s amount |
|---|---|---|
| 3 | $109,273 | $91,514 |
| 6 | $119,405 | $83,748 |
| 9 | $130,477 | $76,642 |
| 12 | $142,576 | $70,138 |
| 15 | $155,797 | $64,186 |
| 18 | $170,243 | $58,739 |
| 20 | $180,611 | $55,368 |
Is a big future cost a problem if your wealth sits in one stock?
It's a problem when the money meant to cover that cost depends on one company's share price. Inflation raises the bill on a schedule; a concentrated stock position can fall on no schedule at all. Every investment carries the risk of loss, including the money you originally put in.
Try this shortcut. Run your yearly spending through the calculator for 20 years, then compare the future cost with what your vested RSUs, exercised options and ESPP shares could realistically fund. If more than a fifth of your net worth is in one stock, fix that before you worry about a half-point of inflation.
A worked case: a hypothetical engineer spends $120,000 annually. At 3 percent for 15 years, that spending grows to about $186,956 annually (the $155,797 factor from the table, scaled by 1.2). Does the portfolio that pays for it hold one stock, or many?
- Use your real yearly spending
- Run 10, 20 and 30 years
- Compare against diversified assets only
What the calculator leaves out
It ignores taxes, investment returns, your pay, and the fact that your own costs rarely match the national average. Health care, housing and tuition can rise faster than the rate you type in.
At Modera Wealth Management, advisors build the playbook around those gaps. Asset location matters here as much as the investments themselves: growth assets that fit a Roth account can outpace inflation tax-free, while income-heavy holdings usually belong in an IRA. Before Modera Wealth Management suggests selling company stock to diversify, it estimates the tax bill of that sale, because a large gain in a taxable account changes how much is left to fight inflation.
The firm serves people with $500,000 or more in investable assets, mostly by screen-share video call or phone, and as of 10/12/2026 Modera Wealth Management serves 418,000 clients with $5.7 billion in client assets.
Which input mistake skews the answer most?
Using a rate that is too low for your own spending is the usual slip. Plugging in 2 percent when your costs really climb at 4 percent understates a 20-year result badly; try both rates and keep the higher number as your cautious case.
Another slip is entering your whole net worth instead of yearly spending. The calculator is built for costs, so feed it the amount you spend, not the balance you own.
Your questions about Modera Wealth Management, answered
What inflation rate should I enter in an inflation calculator?
Use a rate you can defend and then test a higher one. Many people try 3 percent as a middle case, then 2 and 4 percent to see the range. Your own costs may rise faster than average, especially housing, health care and tuition.
How does inflation reduce the buying power of savings?
Prices rise each year, so the same dollars buy less. In the example on this page, $100,000 at 3 percent inflation buys only $55,368 worth of today's goods after 20 years. Money held in cash loses ground unless it earns at least the inflation rate.
Does this calculator predict future prices?
No. It applies one steady rate you choose to every year, so it shows an illustration, not a forecast. Real inflation moves up and down, and your personal spending may not match any average. Treat the result as a way to compare scenarios.
Why does inflation matter if most of my wealth is company stock?
A concentrated position can lose value while your costs keep rising, so the two risks stack up. The calculator shows how large future spending gets; diversifying and choosing the right account for each holding helps cover it. Past results don't guarantee anything.
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This is general information, not advice for your specific situation. Investing involves risk, including loss of principal. Nothing here replaces guidance from a tax professional or attorney. Talk to a qualified adviser before you act.