Inflation calculator - Australian Dollar

This tool is useful to calculate the time value of money based on historical inflation and CPI values. To start, select an amount and two years, or browse the default calculation results.

$100 in 1949

$2,950 in 2018

The inflation rate in Australia between 1949 and 2018 was 2,850%, which translates into a total increase of $2,850. This means that 100 dolars in 1949 are equivalent to 2,950 dolars in 2018. In other words, the purchasing power of $100 in 1949 equals $2,950 in 2018. The average annual inflation rate between these periods was 5.03%.

Inflation timeline in Australia (1949 - 2018)

The following chart ilustrates the equivalence of australian dollars throughout the years due to compound inflation and CPI changes. All values are equivalent in terms of purchashing power, which means that for each year the same goods or services could be bought with the indicated amount of money.

All calculations are performed in the local currency (AUD) and using 6 decimal digits. Results show only up to 2 decimal digits to favour readability.

The following table contains relevant indicators:

Indicator Value
Total Inflation (1949-2018) 2,850%
Annual inflation avg. (1949-2018) 5.03%
CPI 1949 3.53
CPI 2018 104.11
$1 in 1949 $29.5 in 2018

How to calculate the time value of money with inflation data?

There are several ways to calculate the time value of money. Depending on the data available, results can be obtained by using the compound interest formula or the Consumer Price Index (CPI) formula.

Using the compound interest formula

Given that money changes in time as a result of an inflation rate that acts as a compound interest, the following formula can be used: FV = PV (1 + i)n, where:

  • FV: Future Value
  • PV: Present Value
  • i: Interest rate (inflation)
  • n: Number of times the interest is compounded (i.e. # of years)

In this case, the future value represents the final amount obtained after applying the inflation rate to our initial value. In other words, the future value is the amount in 2018 that equals $100 in 1949 in terms of purchasing power. There are 69 years between 1949 and 2018 and the average inflation rate was 5.0272%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = $100 * (1 + 0.050272)69 = $2,949.999986 ≈ $2,950

Using the CPI formula

When the CPI for both start and end years is known, the following formula can be used:

Final value = Initial value *
CPI final/CPI initial

In this case, the CPI in 1949 was 3.53 and in 2018 was 104.11. Therefore,

Final value = Initial value *
CPI final/CPI initial
= $100 *
104.11/3.53
= $2,950

Australia inflation - Conversion table

Initial Value Equivalent value
$1 dollar in 1949 $29.5 dolars in 2018
$5 dolars in 1949 $147.5 dolars in 2018
$10 dolars in 1949 $295 dolars in 2018
$50 dolars in 1949 $1,475 dolars in 2018
$100 dolars in 1949 $2,950 dolars in 2018
$500 dolars in 1949 $14,750 dolars in 2018
$1,000 dolars in 1949 $29,500 dolars in 2018
$5,000 dolars in 1949 $147,500 dolars in 2018
$10,000 dolars in 1949 $295,000 dolars in 2018
$50,000 dolars in 1949 $1,474,999.99 dolars in 2018
$100,000 dolars in 1949 $2,949,999.99 dolars in 2018
$500,000 dolars in 1949 $14,749,999.93 dolars in 2018
$1,000,000 dolars in 1949 $29,499,999.86 dolars in 2018

Value of Dollar in time (by year)

Period Value
1949 100
1950 107.89
1951 121.05
1952 150
1953 165.79
1954 168.42
1955 171.05
1956 176.32
1957 186.84
1958 189.47
1959 192.11
1960 197.37
1961 205.26
1962 205.26
1963 205.26
1964 207.89
1965 215.79
1966 223.68
1967 228.95
1968 236.84
1969 242.11
1970 250
1971 263.16
1972 281.58
1973 294.74
1974 331.58
1975 386.84
1976 442.11
1977 505.26
1978 552.63
1979 594.74
1980 655.26
1981 715.79
1982 794.74
1983 884.21
1984 960.53
1985 984.21
1986 1,065.79
1987 1,168.42
1988 1,252.63
1989 1,347.37
1990 1,452.63
1991 1,552.63
1992 1,576.32
1993 1,581.58
1994 1,610.53
1995 1,652.63
1996 1,736.84
1997 1,763.16
1998 1,757.89
1999 1,784.21
2000 1,818.42
2001 1,923.68
2002 1,984.21
2003 2,042.11
2004 2,092.11
2005 2,144.74
2006 2,205.26
2007 2,278.95
2008 2,344.74
2009 2,431.58
2010 2,481.58
2011 2,550
2012 2,626.32
2013 2,684.21
2014 2,757.89
2015 2,805.26
2016 2,852.63
2017 2,894.74
2018 2,950