# 2003 Inflation Calculator

Amount in 2003:

RESULT: \$1 in 2003 is worth \$1.61 today.

You might be interested in calculating the value of \$1 for the year 2008. Or calculate the value of \$1 for the year 2013

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# \$1 in 2003 is worth \$1.61 today.

## The value of \$1 from 2003 to 2022

\$1 in 2003 has the purchasing power of about \$1.61 today, a \$0.61 increase in 19 years. Between 2003 and today, the dollar experienced an average annual inflation rate of 2.54%, resulting in a cumulative price increase of 61.02%.

According to the Bureau of Labor Statistics consumer price index, today's prices are several times higher than the average price since 2003.

In 2003, the inflation rate was 2.27%. 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 2003 to 2022

Summary Value
Cumulative price change (from 2003 to today) 61.02%
Average inflation rate (from 2003 to today) 2.54%
Converted amount \$1.61
Price Difference \$0.61
CPI in 2003 184
CPI in 2022 296.276
Inflation in 2003 2.27%
Inflation in 2022 8.52%
\$1 in 2003 \$1.61 in 2022

## Buying power of \$1 in 2003

If you had \$1 in your hand in 2003, its adjusted value for inflation today would be \$1.61. Put another way, you would need \$1.61 to beat the rising inflation. When \$1 becomes equivalent to \$1.61 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 2003 dollars, it's evident how \$1 loses its worth over 19 years.

## Dollar inflation for \$1 from 2003 to 2022

The below tabular column shows the effect of inflation on \$1 in the year 2003 to the year 2003.

Year Dollar Value Inflation Rate
2003 1 2.27%
2004 1.03 2.66%
2005 1.06 3.39%
2006 1.1 3.23%
2007 1.13 2.85%
2008 1.17 3.84%
2009 1.17 -0.36%
2010 1.19 1.64%
2011 1.22 3.16%
2012 1.25 2.07%
2013 1.27 1.46%
2014 1.29 1.62%
2015 1.29 0.12%
2016 1.3 1.26%
2017 1.33 2.13%
2018 1.37 2.49%
2019 1.39 1.76%
2020 1.41 1.23%
2021 1.47 4.70%
2022 1.61 8.52%

## Conversion of 2003 dollars to today's price

Based on the 61.02% change in prices, the following 2003 amounts are shown in today's dollars:

Initial value Today value
\$1 dollar in 2003 \$1.61 dollars today
\$5 dollars in 2003 \$8.05 dollars today
\$10 dollars in 2003 \$16.1 dollars today
\$50 dollars in 2003 \$80.51 dollars today
\$100 dollars in 2003 \$161.02 dollars today
\$500 dollars in 2003 \$805.1 dollars today
\$1,000 dollars in 2003 \$1610.2 dollars today
\$5,000 dollars in 2003 \$8050.98 dollars today
\$10,000 dollars in 2003 \$16101.96 dollars today
\$50,000 dollars in 2003 \$80509.78 dollars today
\$100,000 dollars in 2003 \$161019.57 dollars today
\$500,000 dollars in 2003 \$805097.83 dollars today
\$1,000,000 dollars in 2003 \$1610195.65 dollars today

## How to calculate the inflated value of \$1 in 2003

To calculate the change in value between 2003 and today, we use the following inflation rate formula:

CPI Today / CPI in 2003 x USD Value in 2003 = Current USD Value

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

296.276/ 184 x \$1 = \$1.61

To buy the same product that you could buy for \$1 in 2003, you would need \$1.61 in 2022.

### To calculate the cumulative or total inflation rate in the past 19 years between 2003 and 2022, we use the following formula:

CPI in 2022 - CPI in 2003 / CPI in 2003 x 100 = Cumulative Inflation Rate

By inserting the values to this equation, we get:

( 296.276 - 184 / 184) x 100 = 61.02%

### 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 19 years between 2022 and 2003. The average inflation rate was 2.5388281780681%.

Plugging in the values into the formula, we get:

1 (1+ % 2.54/ 100 ) ^ 19 = \$1.61