# Value of 1991 New Zealand Dollars today

\$100 in 1991

\$177.72 in 2021

The inflation rate in New Zealand between 1991 and today has been 77.72%, which translates into a total increase of \$77.72. This means that 100 dollars in 1991 are equivalent to 177.72 dollars in 2021. In other words, the purchasing power of \$100 in 1991 equals \$177.72 today. The average annual inflation rate has been 1.87%.

## Inflation timeline in New Zealand (1991-2021)

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 (NZD) 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 (1991-2021) 77.59%
Total Inflation* 77.72%
Annual inflation avg. (1991-2021) 1.93%
Annual inflation avg.* 1.87%
CPI 1991 60.96
CPI 2021 108.26
CPI today* 108.34
\$1 in 1991 \$1.78 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 30 years between 1991 and 2021 and the average inflation rate has been 1.8722%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = \$100 * (1 + 0.02)30 = \$177.59

#### 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 1991 was 60.96 and the CPI today is 108.34. Therefore,

Final value = Initial value *
CPI final/CPI initial
= \$100 *
108.26/60.96
= \$177.59

### New Zealand inflation - Conversion table

Initial Value Equivalent value
\$1 dollar in 1991 \$1.78 dollars today
\$5 dollars in 1991 \$8.89 dollars today
\$10 dollars in 1991 \$17.77 dollars today
\$50 dollars in 1991 \$88.86 dollars today
\$100 dollars in 1991 \$177.72 dollars today
\$500 dollars in 1991 \$888.58 dollars today
\$1,000 dollars in 1991 \$1,777.15 dollars today
\$5,000 dollars in 1991 \$8,885.76 dollars today
\$10,000 dollars in 1991 \$17,771.52 dollars today
\$50,000 dollars in 1991 \$88,857.58 dollars today
\$100,000 dollars in 1991 \$177,715.15 dollars today
\$500,000 dollars in 1991 \$888,575.77 dollars today
\$1,000,000 dollars in 1991 \$1,777,151.54 dollars today

Period Value
1991 100
1992 100.98
1993 102.31
1994 103.74
1995 106.64
1996 109.75
1997 112.55
1998 113.49
1999 113.9
2000 114.48
2001 119.03
2002 121.2
2003 124.5
2004 126.43
2005 129.84
2006 133.94
2007 137.47
2008 141.85
2009 146.64
2010 149.51
2011 155.53
2012 158.4
2013 159.9
2014 162.5
2015 163.73
2016 163.87
2017 166.06
2018 168.71
2019 171.89
2020 175.08
2021 177.59
Today 177.72