# Value of 1998 US Dollars today

\$100 in 1998

\$155.86 in 2019

The inflation rate in the United States between 1998 and today has been 55.86%, which translates into a total increase of \$55.86. This means that 100 dollars in 1998 are equivalent to 155.86 dollars in 2019. In other words, the purchasing power of \$100 in 1998 equals \$155.86 today. The average annual inflation rate has been 2.04%.

## Inflation timeline in the United States (1998-2019)

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 (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 obtained by estimating figures from recent trends.

The following table contains relevant indicators:

Indicator Value
Total Inflation (1998-2019) 55.76%
Total Inflation* 55.86%
Annual inflation avg. (1998-2019) 2.13%
Annual inflation avg.* 2.04%
CPI 1998 68.05
CPI 2019 106
CPI today* 106.07
\$1 in 1998 \$1.56 in 2019

* 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 21 years between 1998 and 2019 and the average inflation rate has been 2.0378%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = \$100 * (1 + 0.02)21 = \$155.76

#### 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 1998 was 68.05 and the CPI today is 106.07. Therefore,

Final value = Initial value *
CPI final/CPI initial
= \$100 *
106/68.05
= \$155.76

### USA inflation - Conversion table

Initial Value Equivalent value
\$1 dollar in 1998 \$1.56 dollars today
\$5 dollars in 1998 \$7.79 dollars today
\$10 dollars in 1998 \$15.59 dollars today
\$50 dollars in 1998 \$77.93 dollars today
\$100 dollars in 1998 \$155.86 dollars today
\$500 dollars in 1998 \$779.31 dollars today
\$1,000 dollars in 1998 \$1,558.63 dollars today
\$5,000 dollars in 1998 \$7,793.13 dollars today
\$10,000 dollars in 1998 \$15,586.26 dollars today
\$50,000 dollars in 1998 \$77,931.29 dollars today
\$100,000 dollars in 1998 \$155,862.58 dollars today
\$500,000 dollars in 1998 \$779,312.9 dollars today
\$1,000,000 dollars in 1998 \$1,558,625.8 dollars today

Period Value
1998 100
1999 101.61
2000 104.34
2001 107.87
2002 109.55
2003 112.15
2004 114.26
2005 117.98
2006 122.01
2007 125.11
2008 130.21
2009 130.33
2010 133.88
2011 135.88
2012 139.91
2013 142.34
2014 144.48
2015 145.57
2016 146.64
2017 149.68
2018 152.84
2019 155.76
Today 155.86