Value of 1985 Japanese Yen today

¥100 in 1985

¥120.71 in 2018

The inflation rate in Japan between 1985 and today has been 20.71%, which translates into a total increase of ¥20.71. This means that 100 yen in 1985 are equivalent to 120.71 yen in 2018. In other words, the purchasing power of ¥100 in 1985 equals ¥120.71 today. The average annual inflation rate has been 0.56%.

Inflation timeline in Japan (1985-2018)

The following chart ilustrates the equivalence of ¥100 throughout the years due to inflation and CPI changes. All values are equivalent in terms of purchashing 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 (JPY) 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 (1985-2018) 19.76%
Total Inflation* 20.71%
Annual inflation avg. (1985-2018) 0.55%
Annual inflation avg.* 0.56%
CPI 1985 84.5
CPI 2018 101.2
CPI today* 102
¥1 in 1985 ¥1.2 in 2018

* 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 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, it indicates how much are ¥100 worth today. There are 33 years between 1985 and 2018 and the average inflation rate has been 0.5551%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = ¥100 * (1 + 0.01)33 = ¥119.76

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 1985 was 84.5 and the CPI today is 102. Therefore,

Final value = Initial value *
CPI final/CPI initial
= ¥100 *
101.2/84.5
= ¥119.76

Japan inflation - Conversion table

Initial Value Equivalent value
¥1 yen in 1985 ¥1.21 yen today
¥5 yen in 1985 ¥6.04 yen today
¥10 yen in 1985 ¥12.07 yen today
¥50 yen in 1985 ¥60.36 yen today
¥100 yen in 1985 ¥120.71 yen today
¥500 yen in 1985 ¥603.55 yen today
¥1,000 yen in 1985 ¥1,207.1 yen today
¥5,000 yen in 1985 ¥6,035.52 yen today
¥10,000 yen in 1985 ¥12,071.04 yen today
¥50,000 yen in 1985 ¥60,355.2 yen today
¥100,000 yen in 1985 ¥120,710.4 yen today
¥500,000 yen in 1985 ¥603,551.98 yen today
¥1,000,000 yen in 1985 ¥1,207,103.97 yen today

Value of Yen in time (by year)

Period Value
1985 100
1986 101.42
1987 101.07
1988 101.89
1989 102.96
1990 105.68
1991 109.59
1992 112.54
1993 113.85
1994 115.03
1995 115.74
1996 115.27
1997 115.98
1998 118.11
1999 118.82
2000 117.51
2001 117.04
2002 115.62
2003 115.27
2004 114.79
2005 115.03
2006 114.56
2007 114.91
2008 115.74
2009 116.21
2010 114.2
2011 113.85
2012 113.61
2013 113.37
2014 115.27
2015 117.99
2016 118.11
2017 118.46
2018 119.76
Today 120.71