Historical Inflation & Purchasing Power Calculator
Enter an amount and two years to see what money was worth, with a chart of how purchasing power changed over time. Uses official US CPI-U and UK RPI data. Nothing uploaded.
Inflation-adjusted value
Learn more: inflation, purchasing power, and CPI basics
What is inflation and why it matters to historical comparisons
Inflation is the rate at which the average price of goods and services increases over time. A dollar (or pound) in 1975 could buy much more than a dollar today, so direct money comparisons across decades are misleading. To fairly compare historical prices, salaries, or costs, you must adjust for inflation - this is called "inflation-adjusted" or "real" value. A job paying $10,000 in 1970 was far better compensation than it appears today, because $10,000 in 1970 could buy what $75,000-80,000 can today.
CPI-U, RPI, and other inflation measures - the source data
The US Consumer Price Index for All Urban Consumers (CPI-U) is published by the Bureau of Labor Statistics and tracks prices paid by urban consumers for a fixed basket of goods - housing, food, energy, transportation, medical care, and more. It goes back to 1913. The UK Retail Price Index (RPI) is similarly maintained by the Office for National Statistics from 1948 onward. Both indices are published monthly and revised regularly as new data arrives. These are the official government measures used in contracts, wage negotiations, and policy decisions.
Total inflation rate, annual rate, and how to interpret them
If $100 in 1980 equals $400 in 2024, the total inflation over that period is 300% (or 4x). The annual inflation rate is the compound annual growth rate (CAGR) of prices - about 3.2% per year in this example. The relationship is non-linear: 300% total inflation does not mean 3% annual inflation × 100 years. The calculator shows both the total percentage change and the annualised rate so you can understand both how much cumulative inflation occurred and the average pace of price increases per year.
FAQ
What was a pound worth in 1950 compared to today?
Using UK RPI data, £1 in 1950 is equivalent to approximately £50-60 in 2024, depending on the exact year. The calculator gives precise values for any year pair. Note that the purchasing power of money varies - housing inflation has outpaced general inflation, while electronics have become much cheaper.
Can I compare prices between countries using this calculator?
No - this calculator adjusts for inflation within a single country. To compare, say, a 1990 UK price to a 1990 US price, you need to account for both inflation (within each country) and exchange rates. Use the calculator to adjust each amount to today, then use a historical exchange rate converter.
Why doesn't CPI-U include housing costs?
CPI-U does include housing - it's one of the largest components. However, CPI-U measures the cost of renting or financing a home at the current rate, not the change in home purchase prices (that's tracked by the Case-Shiller index). This is why home prices sometimes seem to outpace general inflation.