\$

# Value of 2018 Australian Dollars today

\$100 in 2018
\$120.23 in 2023

The inflation rate in Australia between 2018 and today has been 20.23%, which translates into a total increase of \$20.23. This means that 100 dollars in 2018 are equivalent to 120.23 dollars in 2023. In other words, the purchasing power of \$100 in 2018 equals \$120.23 today. The average annual inflation rate between these periods has been 4.71%.

## Inflation timeline in Australia (2018 - 2023)

The following chart depicts the equivalence of \$100 due to compound 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 extrapolated from the latest 12-month rolling average official data.

The following table contains relevant indicators:

Indicator Value
Cumulative inflation 2018-2021 5.41%
Cumulative inflation 2018-today 20.23%
Avg. Annual inflation 2018-2021 1.77%
CPI 2018 105.22
CPI 2021 110.91
CPI 2022-Q3 (latest official data) 119.25
CPI today 126.51

## 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 Consumer Price Index (CPI) formula or the compound interest formula.

### Using the CPI formula

When we have both the start and end years, we can use the following formula:

Valuet =Value0 ×
CPIt/CPI0

To obtain the values equivalent in buying power between 2018 and 2021, use the corresponding CPI values:

Value2021
=Value2018 ×
CPI2021/CPI2018
=\$ 100 ×
110.91/105.22
\$105.41

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 126.51:

Valuetoday
=Value2018 ×
CPItoday/CPI2018
=\$ 100 ×
126.51/105.22
\$120.23

### Alternative: Using the compound interest formula

Given that money changes with time as a result of an inflation rate that acts as compound interest, we can use the following formula: 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 3 years between 2018 and 2021 and the average inflation rate was 1.7705%. Therefore, we can resolve the formula like this:

Value2021
=PV × (1 + i)n
=\$100 × (1 + 0.017705)3
\$105.41

## Australia inflation - Conversion table

Initial Value Equivalent value
\$1 dollar in 2018 \$1.05 dollars in 2021
\$5 dollars in 2018 \$5.27 dollars in 2021
\$10 dollars in 2018 \$10.54 dollars in 2021
\$50 dollars in 2018 \$52.7 dollars in 2021
\$100 dollars in 2018 \$105.41 dollars in 2021
\$500 dollars in 2018 \$527.03 dollars in 2021
\$1,000 dollars in 2018 \$1,054.06 dollars in 2021
\$5,000 dollars in 2018 \$5,270.3 dollars in 2021
\$10,000 dollars in 2018 \$10,540.6 dollars in 2021
\$50,000 dollars in 2018 \$52,702.99 dollars in 2021
\$100,000 dollars in 2018 \$105,405.99 dollars in 2021
\$500,000 dollars in 2018 \$527,029.93 dollars in 2021
\$1,000,000 dollars in 2018 \$1,054,059.86 dollars in 2021
 Cumulative inflation From 2018 20.23% Avg. annual inflation From 2018 4.71% CPI 2018 105.22 CPI today 126.51

### Value of Dollar over time (by year)

Period Value
2018 100
2019 101.61
2020 102.47
2021 105.41
2022-Q3 113.33
Today 120.23

All available years

Today's value of australian dollars by year:

1950 | 1951 | 1952 | 1953 | 1954 | 1955 | 1956 | 1957 | 1958 | 1959 | 1960 | 1961 | 1962 | 1963 | 1964 | 1965 | 1966 | 1967 | 1968 | 1969 | 1970 | 1971 | 1972 | 1973 | 1974 | 1975 | 1976 | 1977 | 1978 | 1979 | 1980 | 1981 | 1982 | 1983 | 1984 | 1985 | 1986 | 1987 | 1988 | 1989 | 1990 | 1991 | 1992 | 1993 | 1994 | 1995 | 1996 | 1997 | 1998 | 1999 | 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 |

Other currencies: