# Inflation calculator - Brazilian Real

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.

R\$100 in 1980

R\$59,170,150,000,000 in 2019

The inflation rate in Brazil between 1980 and 2019 was 59,170,149,999,900%, which translates into a total increase of R\$59,170,149,999,900. This means that 100 reals in 1980 are equivalent to 59,170,150,000,000 reals in 2019. In other words, the purchasing power of R\$100 in 1980 equals R\$59,170,150,000,000 in 2019. The average annual inflation rate between these periods was 100.38%.

## Inflation timeline in Brazil (1980 - 2019)

The following chart depicts the equivalence of brazilian reals throughout the years 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 (BRL) 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 (1980-2019) 59,170,149,999,900%
Annual inflation avg. (1980-2019) 100.38%
CPI 1980 0
CPI 2019 118.34
R\$1 in 1980 R\$591,701,500,000 in 2019

## 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 2019 that equals R\$100 in 1980 in terms of purchasing power. There are 39 years between 1980 and 2019 and the average inflation rate was 100.3774%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = R\$100 * (1 + 1.003774)39 = R\$59,170,150,000,000 ≈ R\$59,170,150,000,000

#### 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 1980 was 0 and in 2019 was 118.34. Therefore,

Final value = Initial value *
CPI final/CPI initial
= R\$100 *
118.34/0
= R\$59,170,150,000,000

### Brazil inflation - Conversion table

Initial Value Equivalent value
R\$1 real in 1980 R\$591,701,500,000 reals in 2019
R\$5 reals in 1980 R\$2,958,507,500,000 reals in 2019
R\$10 reals in 1980 R\$5,917,015,000,000 reals in 2019
R\$50 reals in 1980 R\$29,585,075,000,000 reals in 2019
R\$100 reals in 1980 R\$59,170,150,000,000 reals in 2019
R\$500 reals in 1980 R\$295,850,750,000,000 reals in 2019
R\$1,000 reals in 1980 R\$591,701,500,000,000 reals in 2019
R\$5,000 reals in 1980 R\$2,958,507,500,000,000 reals in 2019
R\$10,000 reals in 1980 R\$5,917,015,000,000,000 reals in 2019
R\$50,000 reals in 1980 R\$29,585,075,000,000,000 reals in 2019
R\$100,000 reals in 1980 R\$59,170,150,000,000,000 reals in 2019
R\$500,000 reals in 1980 R\$295,850,750,000,000,000 reals in 2019
R\$1,000,000 reals in 1980 R\$591,701,500,000,000,000 reals in 2019

#### Value of Real in time (by year)

Period Value
1980 100
1981 200
1982 350
1983 700
1984 1,850
1985 5,850
1986 20,100
1987 36,100
1988 167,300
1989 1,807,250
1990 37,462,950
1991 644,725,000
1992 3,692,341,500
1993 45,013,360,000
1994 1,160,060,500,000
1995 11,791,550,000,000
1996 14,433,820,000,000
1997 15,814,410,000,000
1998 16,640,605,000,000
1999 16,915,999,999,999.99
2000 18,428,255,000,000
2001 19,529,270,000,000
2002 21,027,840,000,000
2003 23,662,680,000,000
2004 25,863,434,999,999.99
2005 27,828,925,000,000
2006 29,412,175,000,000
2007 30,336,165,000,000
2008 31,688,445,000,000
2009 33,558,925,000,000
2010 35,005,870,000,000
2011 37,074,255,000,000
2012 39,484,979,999,999.99
2013 41,790,714,999,999.98
2014 44,260,834,999,999.99
2015 47,097,299,999,999.99
2016 52,123,499,999,999.99
2017 55,401,000,000,000
2018 57,033,900,000,000
2019 59,170,150,000,000