# Value of 1997 Canadian Dollar today

\$100 in 1997

\$152.32 in 2020

The inflation rate in Canada between 1997 and today has been 52.32%, which translates into a total increase of \$52.32. This means that 100 dollars in 1997 are equivalent to 152.32 dollars in 2020. In other words, the purchasing power of \$100 in 1997 equals \$152.32 today. The average annual inflation rate has been 1.77%.

## Inflation timeline in Canada (1997-2020)

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 (1997-2020) 52.06%
Total Inflation* 52.32%
Annual inflation avg. (1997-2020) 1.84%
Annual inflation avg.* 1.77%
CPI 1997 70.87
CPI 2020 107.77
CPI today* 107.95
\$1 in 1997 \$1.52 in 2020

* 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 23 years between 1997 and 2020 and the average inflation rate has been 1.7688%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = \$100 * (1 + 0.02)23 = \$152.06

#### 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 1997 was 70.87 and the CPI today is 107.95. Therefore,

Final value = Initial value *
CPI final/CPI initial
= \$100 *
107.77/70.87
= \$152.06

### Canada inflation - Conversion table

Initial Value Equivalent value
\$1 dollar in 1997 \$1.52 dollars today
\$5 dollars in 1997 \$7.62 dollars today
\$10 dollars in 1997 \$15.23 dollars today
\$50 dollars in 1997 \$76.16 dollars today
\$100 dollars in 1997 \$152.32 dollars today
\$500 dollars in 1997 \$761.59 dollars today
\$1,000 dollars in 1997 \$1,523.19 dollars today
\$5,000 dollars in 1997 \$7,615.95 dollars today
\$10,000 dollars in 1997 \$15,231.89 dollars today
\$50,000 dollars in 1997 \$76,159.46 dollars today
\$100,000 dollars in 1997 \$152,318.92 dollars today
\$500,000 dollars in 1997 \$761,594.61 dollars today
\$1,000,000 dollars in 1997 \$1,523,189.22 dollars today

Period Value
1997 100
1998 100.78
1999 101.78
2000 104.46
2001 107.8
2002 108.58
2003 112.71
2004 115.05
2005 117.5
2006 119.96
2007 121.96
2008 124.86
2009 126.31
2010 127.98
2011 130.99
2012 134
2013 135.12
2014 136.79
2015 138.8
2016 141.03
2017 143.14
2018 145.82
2019 148.72
2020 152.06
Today 152.32