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Value of 1985 US Dollars today

$100 in 1985
$270.16 in 2022

The inflation rate in the United States between 1985 and today has been 170.16%, which translates into a total increase of $170.16. This means that 100 dollars in 1985 are equivalent to 270.16 dollars in 2022. In other words, the purchasing power of $100 in 1985 equals $270.16 today. The average annual inflation rate between these periods has been 2.72%.

Inflation timeline in the United States (1985 - 2022)

The following chart depicts the equivalence of $100 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 (USD) 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 extrapolated from the latest 12-month rolling average official data.

The following table contains relevant indicators:

Indicator Value
Cumulative inflation 1985-2021 151.91%
Cumulative inflation 1985-today 170.16%
Avg. Annual inflation 1985-2021 2.6%
CPI 1985 45.38
CPI 2021 114.33
CPI 2022-03 (latest official data) 121.3
CPI today 122.61

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 Consumer Price Index (CPI) formula or the compound interest formula.

Using the CPI formula

When we have both the start and end years, we can use the following formula:

Valuet =Value0 ×
CPIt/CPI0

To obtain the values equivalent in buying power between 1985 and 2021, use the corresponding CPI values:

Value2021
=Value1985 ×
CPI2021/CPI1985
=$ 100 ×
114.33/45.38
$251.91

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 122.61:

Valuetoday
=Value1985 ×
CPItoday/CPI1985
=$ 100 ×
122.61/45.38
$270.16

Alternative: Using the compound interest formula

Given that money changes with time as a result of an inflation rate that acts as compound interest, we can use the following formula: 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 36 years between 1985 and 2021 and the average inflation rate was 2.5996%. Therefore, we can resolve the formula like this:

Value2021
=PV × (1 + i)n
=$100 × (1 + 0.025996)36
$251.91

US inflation - Conversion table

Initial Value Equivalent value
$1 dollar in 1985 $2.52 dollars in 2021
$5 dollars in 1985 $12.6 dollars in 2021
$10 dollars in 1985 $25.19 dollars in 2021
$50 dollars in 1985 $125.95 dollars in 2021
$100 dollars in 1985 $251.91 dollars in 2021
$500 dollars in 1985 $1,259.54 dollars in 2021
$1,000 dollars in 1985 $2,519.09 dollars in 2021
$5,000 dollars in 1985 $12,595.43 dollars in 2021
$10,000 dollars in 1985 $25,190.86 dollars in 2021
$50,000 dollars in 1985 $125,954.31 dollars in 2021
$100,000 dollars in 1985 $251,908.62 dollars in 2021
$500,000 dollars in 1985 $1,259,543.11 dollars in 2021
$1,000,000 dollars in 1985 $2,519,086.22 dollars in 2021
Cumulative inflation From 1985 170.16%
Avg. annual inflation From 1985 2.72%
CPI 1985 45.38
CPI today 122.61

Value of Dollar over time (by year)

Period Value
1985 100
1986 101.9
1987 105.63
1988 109.94
1989 115.25
1990 121.47
1991 126.61
1992 130.45
1993 134.3
1994 137.8
1995 141.66
1996 145.82
1997 149.23
1998 151.54
1999 154.86
2000 160.09
2001 164.61
2002 167.22
2003 171.02
2004 175.6
2005 181.55
2006 187.41
2007 192.76
2008 200.16
2009 199.45
2010 202.72
2011 209.12
2012 213.44
2013 216.57
2014 220.08
2015 220.34
2016 223.12
2017 227.88
2018 233.44
2019 237.67
2020 240.61
2021 251.91
2022-03 267.28
Today 270.16

All available years

Today's value of US dollars by year:

1956 | 1957 | 1958 | 1959 | 1960 | 1961 | 1962 | 1963 | 1964 | 1965 | 1966 | 1967 | 1968 | 1969 | 1970 | 1971 | 1972 | 1973 | 1974 | 1975 | 1976 | 1977 | 1978 | 1979 | 1980 | 1981 | 1982 | 1983 | 1984 | 1985 | 1986 | 1987 | 1988 | 1989 | 1990 | 1991 | 1992 | 1993 | 1994 | 1995 | 1996 | 1997 | 1998 | 1999 | 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 |

Other currencies: