# Value of 1988 Canadian Dollar today

\$100 in 1988

\$197.51 in 2021

The inflation rate in Canada between 1988 and today has been 97.51%, which translates into a total increase of \$97.51. This means that 100 dollars in 1988 are equivalent to 197.51 dollars in 2021. In other words, the purchasing power of \$100 in 1988 equals \$197.51 today. The average annual inflation rate has been 2.02%.

## Inflation timeline in Canada (1988-2021)

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 (CAD) 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 (1988-2021) 97.41%
Total Inflation* 97.51%
Annual inflation avg. (1988-2021) 2.08%
Annual inflation avg.* 2.02%
CPI 1988 54.99
CPI 2021 108.56
CPI today* 108.61
\$1 in 1988 \$1.97 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 33 years between 1988 and 2021 and the average inflation rate has been 2.0219%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = \$100 * (1 + 0.02)33 = \$197.41

#### 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 1988 was 54.99 and the CPI today is 108.61. Therefore,

Final value = Initial value *
CPI final/CPI initial
= \$100 *
108.56/54.99
= \$197.41

### Canada inflation - Conversion table

Initial Value Equivalent value
\$1 dollar in 1988 \$1.98 dollars today
\$5 dollars in 1988 \$9.88 dollars today
\$10 dollars in 1988 \$19.75 dollars today
\$50 dollars in 1988 \$98.75 dollars today
\$100 dollars in 1988 \$197.51 dollars today
\$500 dollars in 1988 \$987.53 dollars today
\$1,000 dollars in 1988 \$1,975.06 dollars today
\$5,000 dollars in 1988 \$9,875.31 dollars today
\$10,000 dollars in 1988 \$19,750.63 dollars today
\$50,000 dollars in 1988 \$98,753.14 dollars today
\$100,000 dollars in 1988 \$197,506.29 dollars today
\$500,000 dollars in 1988 \$987,531.44 dollars today
\$1,000,000 dollars in 1988 \$1,975,062.89 dollars today

Period Value
1988 100
1989 103.88
1990 109.34
1991 114.8
1992 119.11
1993 121.7
1994 123.71
1995 123.99
1996 126.15
1997 128.88
1998 129.89
1999 131.18
2000 134.63
2001 138.94
2002 139.94
2003 145.26
2004 148.28
2005 151.44
2006 154.6
2007 157.18
2008 160.92
2009 162.79
2010 164.94
2011 168.82
2012 172.7
2013 174.14
2014 176.29
2015 178.88
2016 181.75
2017 184.48
2018 187.93
2019 191.67
2020 195.98
2021 197.41
Today 197.51