# 2001 Inflation Calculator

Amount in 2001:

RESULT: \$1 in 2001 is worth \$1.67 today.

You might be interested in calculating the value of \$1 for the year 2006. Or calculate the value of \$1 for the year 2011

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# \$1 in 2001 is worth \$1.67 today.

## The value of \$1 from 2001 to 2022

\$1 in 2001 has the purchasing power of about \$1.67 today, a \$0.67 increase in 21 years. Between 2001 and today, the dollar experienced an average annual inflation rate of 2.48%, resulting in a cumulative price increase of 67.29%.

According to the Bureau of Labor Statistics consumer price index, today's prices are several times higher than the average price since 2001.

In 2001, the inflation rate was 2.83%. Inflation is now 8.52% higher than it was last year. If this figure holds true, \$1 today will be worth \$9.52 next year in purchasing power.

## Inflation from 2001 to 2022

Summary Value
Cumulative price change (from 2001 to today) 67.29%
Average inflation rate (from 2001 to today) 2.48%
Converted amount \$1.67
Price Difference \$0.67
CPI in 2001 177.1
CPI in 2022 296.276
Inflation in 2001 2.83%
Inflation in 2022 8.52%
\$1 in 2001 \$1.67 in 2022

## Buying power of \$1 in 2001

If you had \$1 in your hand in 2001, its adjusted value for inflation today would be \$1.67. Put another way, you would need \$1.67 to beat the rising inflation. When \$1 becomes equivalent to \$1.67 over time, the "real value" of a single US dollar decreases. In other words, a dollar will pay for fewer items at the store.

This effect explains how inflation gradually erodes the value of a dollar. By calculating the value in 2001 dollars, it's evident how \$1 loses its worth over 21 years.

## Dollar inflation for \$1 from 2001 to 2022

The below tabular column shows the effect of inflation on \$1 in the year 2001 to the year 2001.

Year Dollar Value Inflation Rate
2001 1 2.83%
2002 1.02 1.58%
2003 1.04 2.28%
2004 1.07 2.66%
2005 1.1 3.39%
2006 1.14 3.23%
2007 1.17 2.85%
2008 1.22 3.84%
2009 1.21 -0.36%
2010 1.23 1.64%
2011 1.27 3.16%
2012 1.3 2.07%
2013 1.32 1.46%
2014 1.34 1.62%
2015 1.34 0.12%
2016 1.36 1.26%
2017 1.38 2.13%
2018 1.42 2.49%
2019 1.44 1.76%
2020 1.46 1.23%
2021 1.53 4.70%
2022 1.67 8.52%

## Conversion of 2001 dollars to today's price

Based on the 67.29% change in prices, the following 2001 amounts are shown in today's dollars:

Initial value Today value
\$1 dollar in 2001 \$1.67 dollars today
\$5 dollars in 2001 \$8.36 dollars today
\$10 dollars in 2001 \$16.73 dollars today
\$50 dollars in 2001 \$83.65 dollars today
\$100 dollars in 2001 \$167.29 dollars today
\$500 dollars in 2001 \$836.47 dollars today
\$1,000 dollars in 2001 \$1672.93 dollars today
\$5,000 dollars in 2001 \$8364.65 dollars today
\$10,000 dollars in 2001 \$16729.31 dollars today
\$50,000 dollars in 2001 \$83646.53 dollars today
\$100,000 dollars in 2001 \$167293.05 dollars today
\$500,000 dollars in 2001 \$836465.27 dollars today
\$1,000,000 dollars in 2001 \$1672930.55 dollars today

## How to calculate the inflated value of \$1 in 2001

To calculate the change in value between 2001 and today, we use the following inflation rate formula:

CPI Today / CPI in 2001 x USD Value in 2001 = Current USD Value

By plugging the values into the formula above, we get:

296.276/ 177.1 x \$1 = \$1.67

To buy the same product that you could buy for \$1 in 2001, you would need \$1.67 in 2022.

### To calculate the cumulative or total inflation rate in the past 21 years between 2001 and 2022, we use the following formula:

CPI in 2022 - CPI in 2001 / CPI in 2001 x 100 = Cumulative Inflation Rate

By inserting the values to this equation, we get:

( 296.276 - 177.1 / 177.1) x 100 = 67.29%

### Alternate method to calculate today's value of money after inflation - Using compound interest formula

Given that money changes over time due to inflation, which acts as compound interest, we can use the following formula:

FV = PV (1+i/100)^n

where,

• FV = Future value
• PV = Present value
• i: Average interest rate (inflation)
• n: Number of times the interest is compounded (i.e. # of years)

The future value in this case represents the amount obtained after applying the inflation rate to our initial value. In other words, it indicates how much \$1 is worth today. We have 21 years between 2022 and 2001. The average inflation rate was 2.4806344210665%.

Plugging in the values into the formula, we get:

1 (1+ % 2.48/ 100 ) ^ 21 = \$1.67