Inflation-Adjusted Investment Return Calculator
"See your true investment growth after accounting for inflation, understand your real returns and purchasing power."
Nominal investment returns don't tell the full story, inflation quietly reduces your real profits. This calculator helps you estimate how much your investments truly grow after adjusting for inflation, giving you a clear picture of your real returns. Compare different inflation rates, time periods, and return rates to plan smarter for your financial future.
What Is Inflation-Adjusted Return?
Inflation-adjusted return shows your actual profit after accounting for inflation's impact on purchasing power.
Why Inflation Matters
Even a 7% nominal gain might only be 4% real growth at 3% inflation, significantly affecting long-term wealth building.
Example Calculation
$10,000 at 7% for 10 years grows to $19,672 nominally, but at 3% inflation, the real value is only $14,608.
How to Protect Returns
- • Invest in inflation-linked bonds (TIPS)
- • Diversify into real assets
- • Reinvest returns to compound faster
Historical Context
US inflation has averaged 3-4% annually over the long term.
Rule of Thumb
Aim for real returns above 3% to build meaningful wealth.
Power of Compounding
Small differences in real returns compound significantly over decades.