Current for 2026•As of: July 2026

Inflation Calculator 2026 calculate purchasing power loss.

Calculate purchasing power loss and compare price development – using German inflation data since 1970

FreeNo sign-upGDPR-compliant
€
100 €100,000 €
%
0.0 %10.0 %
years
1 years50 years

Did you know?

At 2% inflation, money loses about half its purchasing power in 35 years. At 7%, it only takes 10 years!

Purchasing power in 10 years

820.35 €

Starting amount: 1,000.00€

Purchasing power development

Starting valuePurchasing power
1,000.00€820.35€
Value loss-179.65€
Percentage-18.0%

Inflation rate

2.0%

per year

Cumulative inflation

+22.0%

over 10 years

Indices

Price index

122

(base: 100)

Purchasing power index

82

(base: 100)

Purchasing power over time

Zeitreihen-Diagramm: Purchasing power endet bei 820.35€.0.00€250.00€500.00€750.00€1,000.00€1357911Years
  • Purchasing power

Year-by-year development

YearInflationPrice indexPurchasing power
20260.0%1001,000.00€
2027+2.0%102980.39€
2028+2.0%104961.17€
2029+2.0%106942.32€
2030+2.0%108923.85€
2031+2.0%110905.73€
2032+2.0%113887.97€
2033+2.0%115870.56€
2034+2.0%117853.49€
2035+2.0%120836.76€
2036+2.0%122820.35€

Historical data: German Federal Statistical Office. Forecasts are not a guarantee.

Important note

These calculations are for non-binding information only and do not replace professional tax advice. All information without guarantee. Learn more

Sources & calculation basis

Our calculations are based on the following official sources (as of: July 2026):

Related guides

Building Wealth

What is inflation?

Our inflation calculator helps you understand the effect of inflation on your money. Calculate how much your savings will be worth in the future, or compare historical prices.

Inflation describes the ongoing rise in the general price level. When prices rise, the purchasing power of money falls – you can afford less for the same amount of money.

Key terms

Purchasing power
What you can buy for a given amount of money
Inflation rate
Percentage price increase compared to the previous year
Price index
A measure of the price level (e.g. CPI)

The rule of 70

With the rule of 70, you can quickly estimate how long it takes for purchasing power to halve or a value to double:

Formula: rule of 70

Formula: rule of 70
ItemAmount
Years until halving70 / inflation rate

Examples

2% inflation
Purchasing power halves in ~35 years
5% inflation
Purchasing power halves in ~14 years
7% inflation
Purchasing power halves in ~10 years

Inflation in Germany

Inflation in Germany has developed very differently over the past decades. Here is an overview of average inflation across various periods:

Historical inflation rates in Germany

Historical inflation rates in Germany
ItemAmount
1970-1980 (oil crises)~4.9%
1980-1990 (stabilization)~2.9%
1990-2000 (reunification)~2.4%
2000-2010 (euro introduction)~1.5%
2010-2020 (low inflation)~1.3%
2020-2024 (Covid, energy)~3.9%

Purchasing power examples

1970: 100 DM
equals approx. €380 purchasing power today
1990: 100 DM
equals approx. €100 purchasing power today
2000: €100
equals approx. €75 purchasing power today
2010: €100
equals approx. €85 purchasing power today

ECB inflation target: 2%

The European Central Bank (ECB) aims for an inflation rate of 2%. This target is considered ideal for a stable economy:

Why exactly 2%?

  1. Deflation protection: Too low inflation (deflation) can dampen consumption and investment
  2. Stability: Too high inflation devalues savings and destabilizes the economy
  3. Safety buffer: 2% provides a buffer against deflation while keeping purchasing power loss moderate

Protecting yourself against inflation

There are several strategies to protect your wealth against inflation:

Inflation protection strategies

  1. Stocks & ETFs: Historically higher returns than inflation, long-term value growth
  2. Real estate: Tangible assets that can rise with inflation; rental income adjusts over time
  3. Inflation-linked bonds: Yield automatically adjusts to inflation, a reliable inflation hedge
  4. Gold & commodities: Traditional inflation hedge, tangible assets with limited supply
  5. Salary negotiations: Demand regular pay raises to offset purchasing power loss

Important to know

Money in a checking account or under the mattress loses real value through inflation. At 2% inflation, that adds up to about 50% purchasing power loss over 35 years!

Application examples

What you can use the inflation calculator for

Retirement planning
How much will my €500,000 still be worth in 30 years?
Buying property
What did my house cost 20 years ago, adjusted for inflation?
Salary negotiation
How much of a raise do I need to offset inflation?
Contracts
Understand and calculate price adjustment clauses

Frequently asked questions

Everything important about inflation at a glance

Purchasing power loss = amount × (1 − (1 / (1 + inflation rate)^years)). Simpler: our inflation calculator shows you what €100 today will still be worth after X years. At 3% inflation, €10,000 in savings lose about €2,600 in real value over 10 years.

Inflation describes the ongoing rise in the general price level. It is measured using the Consumer Price Index (CPI), published monthly by the German Federal Statistical Office (Destatis). The inflation rate expresses the percentage price increase compared to the same month of the previous year.

The average annual inflation rate in Germany in 2024 was around 2.2% (after the peaks of 7.9% in 2022 and 5.9% in 2023). Our calculator uses historical German inflation data since 1970 for precise purchasing power comparisons.

The rule of 70 allows a quick estimate of how long it takes for purchasing power to halve: years until halving = 70 / inflation rate. At 2% inflation, it takes about 35 years; at 7% inflation, only about 10 years.

The European Central Bank aims for an inflation rate of 2% because this is considered ideal for a stable economy. Too low inflation (deflation) can dampen consumption and investment, while too high inflation devalues savings. 2% provides a buffer against deflation while keeping purchasing power loss moderate.

There are various strategies: stocks and ETFs have historically offered higher returns than inflation. Real estate as a tangible asset often rises with inflation. Inflation-linked bonds automatically adjust their yield. Gold and commodities serve as a traditional inflation hedge. Important: money in a checking account loses real value through inflation.

The official inflation rate is based on a representative basket of goods. Your personal cost-of-living increase can differ significantly – if you use a lot of energy or buy groceries frequently, you feel price increases in those areas more strongly. The inflation calculator lets you enter your own rate for individual scenarios.

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