# Value of 1968 Australian Dollars today

\$100 in 1968

\$1,302.78 in 2021

The inflation rate in Australia between 1968 and today has been 1,202.78%, which translates into a total increase of \$1,202.78. This means that 100 dolars in 1968 are equivalent to 1,302.78 dolars in 2021. In other words, the purchasing power of \$100 in 1968 equals \$1,302.78 today. The average annual inflation rate has been 4.87%.

## Inflation timeline in Australia (1968-2021)

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 (1968-2021) 1,202.22%
Total Inflation* 1,202.78%
Annual inflation avg. (1968-2021) 4.96%
Annual inflation avg.* 4.87%
CPI 1968 8.36
CPI 2021 108.85
CPI today* 108.89
\$1 in 1968 \$13.02 in 2021

* 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 with 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 53 years between 1968 and 2021 and the average inflation rate has been 4.8687%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = \$100 * (1 + 0.05)53 = \$1,302.22

#### 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 1968 was 8.36 and the CPI today is 108.89. Therefore,

Final value = Initial value *
CPI final/CPI initial
= \$100 *
108.85/8.36
= \$1,302.22

### Australia inflation - Conversion table

Initial Value Equivalent value
\$1 dollar in 1968 \$13.03 dolars today
\$5 dolars in 1968 \$65.14 dolars today
\$10 dolars in 1968 \$130.28 dolars today
\$50 dolars in 1968 \$651.39 dolars today
\$100 dolars in 1968 \$1,302.78 dolars today
\$500 dolars in 1968 \$6,513.92 dolars today
\$1,000 dolars in 1968 \$13,027.83 dolars today
\$5,000 dolars in 1968 \$65,139.15 dolars today
\$10,000 dolars in 1968 \$130,278.31 dolars today
\$50,000 dolars in 1968 \$651,391.53 dolars today
\$100,000 dolars in 1968 \$1,302,783.06 dolars today
\$500,000 dolars in 1968 \$6,513,915.3 dolars today
\$1,000,000 dolars in 1968 \$13,027,830.6 dolars today

Period Value
1968 100
1969 102.22
1970 105.56
1971 111.11
1972 118.89
1973 124.44
1974 140
1975 163.33
1976 186.67
1977 213.33
1978 233.33
1979 251.11
1980 276.67
1981 302.22
1982 335.56
1983 373.33
1984 405.56
1985 415.56
1986 450
1987 493.33
1988 528.89
1989 568.89
1990 613.33
1991 655.56
1992 665.56
1993 667.78
1994 680
1995 697.78
1996 733.33
1997 744.44
1998 742.22
1999 753.33
2000 767.78
2001 812.22
2002 837.78
2003 862.22
2004 883.33
2005 905.56
2006 931.11
2007 962.22
2008 990
2009 1,026.67
2010 1,047.78
2011 1,076.67
2012 1,108.89
2013 1,133.33
2014 1,164.44
2015 1,184.44
2016 1,204.44
2017 1,222.22
2018 1,245.56
2019 1,267.78
2020 1,291.11
2021 1,302.22
Today 1,302.78