What inflation does to your money
Inflation is the rise in prices over time. At 2.5 % a year, something that costs 1,000 today costs about 1,280 in ten years, and 1,000 in cash then buys only what about 781 buys today.
Enter an amount, an inflation rate and a number of years to see both sides: what things will cost, and what your money will be worth.
How to protect your savings
- Keep only what you need for emergencies in cash.
- Look for savings that earn at least inflation over the long term.
- Review fixed costs and salary negotiations with inflation in mind.