# Value of 1965 Australian Dollars today

\$100 in 1965

\$1,392.29 in 2019

The inflation rate in Australia between 1965 and today has been 1,292.29%, which translates into a total increase of \$1,292.29. This means that 100 dolars in 1965 are equivalent to 1,392.29 dolars in 2019. In other words, the purchasing power of \$100 in 1965 equals \$1,392.29 today. The average annual inflation rate has been 4.9%.

## Inflation timeline in Australia (1965-2019)

The following chart depicts the equivalence of \$100 throughout the years due to inflation and CPI changes. All values are equivalent in terms of purchasing 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. Inflation data is provided by governments and international institutions on a monthly basis. Today's values were obtained by estimating figures from recent trends.

The following table contains relevant indicators:

Indicator Value
Total Inflation (1965-2019) 1,291.46%
Total Inflation* 1,292.29%
Annual inflation avg. (1965-2019) 5%
Annual inflation avg.* 4.9%
CPI 1965 7.62
CPI 2019 105.97
CPI today* 106.03
\$1 in 1965 \$13.91 in 2019

* Values extrapolated from the last official data to obtain today's values.

## How to calculate today's value of money after inflation?

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, it indicates how much are \$100 worth today. There are 54 years between 1965 and 2019 and the average inflation rate has been 4.9047%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = \$100 * (1 + 0.05)54 = \$1,391.46

#### 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 1965 was 7.62 and the CPI today is 106.03. Therefore,

Final value = Initial value *
CPI final/CPI initial
= \$100 *
105.97/7.62
= \$1,391.46

### Australia inflation - Conversion table

Initial Value Equivalent value
\$1 dollar in 1965 \$13.92 dolars today
\$5 dolars in 1965 \$69.61 dolars today
\$10 dolars in 1965 \$139.23 dolars today
\$50 dolars in 1965 \$696.15 dolars today
\$100 dolars in 1965 \$1,392.29 dolars today
\$500 dolars in 1965 \$6,961.45 dolars today
\$1,000 dolars in 1965 \$13,922.9 dolars today
\$5,000 dolars in 1965 \$69,614.52 dolars today
\$10,000 dolars in 1965 \$139,229.04 dolars today
\$50,000 dolars in 1965 \$696,145.22 dolars today
\$100,000 dolars in 1965 \$1,392,290.44 dolars today
\$500,000 dolars in 1965 \$6,961,452.22 dolars today
\$1,000,000 dolars in 1965 \$13,922,904.43 dolars today

Period Value
1965 100
1966 103.66
1967 106.1
1968 109.76
1969 112.2
1970 115.85
1971 121.95
1972 130.49
1973 136.59
1974 153.66
1975 179.27
1976 204.88
1977 234.15
1978 256.1
1979 275.61
1980 303.66
1981 331.71
1982 368.29
1983 409.76
1984 445.12
1985 456.1
1986 493.9
1987 541.46
1988 580.49
1989 624.39
1990 673.17
1991 719.51
1992 730.49
1993 732.93
1994 746.34
1995 765.85
1996 804.88
1997 817.07
1998 814.63
1999 826.83
2000 842.68
2001 891.46
2002 919.51
2003 946.34
2004 969.51
2005 993.9
2006 1,021.95
2007 1,056.1
2008 1,086.59
2009 1,126.83
2010 1,150
2011 1,181.71
2012 1,217.07
2013 1,243.9
2014 1,278.05
2015 1,300
2016 1,321.95
2017 1,341.46
2018 1,367.07
2019 1,391.46
Today 1,392.29