Salary Growth vs Inflation Comparator
"Find out if your income is really growing, or if inflation is eating your raise."
Your salary might be increasing each year, but are you truly earning more? When inflation rises faster than your pay, your real income, and purchasing power, actually declines. Use this calculator to compare your salary growth rate to inflation and see your real earning power over time. Perfect for employees, freelancers, and businesses evaluating compensation trends.
Ready to Compare Your Salary Growth
Enter your salary details on the left to see how your income growth compares to inflation over time.
A 5% raise might sound great, but if inflation is 6%, your real income actually drops 1%. Comparing your pay growth against inflation reveals whether you're truly getting ahead financially.
How to Use This Insight
- • Negotiate raises that exceed inflation
- • Consider investing part of your income to offset inflation losses
- • Reassess your budget annually based on real, not nominal, income
A salary growing 3% per year under 4% inflation loses about 9% purchasing power over 5 years, equivalent to a month of lost income annually.
Key Takeaway
Even small differences between salary growth and inflation compound significantly over time. A 1% annual gap might seem small, but over 20 years, it can mean hundreds of thousands in lost purchasing power.