Real Rate of Return Calculator
Find the real return on an investment after inflation, and what your money will be worth in today’s dollars.
Result
Real return per year
4.85%
- Future value
- $21,589.25
- Worth in today’s dollars
- $16,064.43
- Eaten by inflation
- $5,524.82
Common questions
Why not just subtract inflation from the return?
Subtracting is a close shortcut, but the exact real return divides: (1 + return) ÷ (1 + inflation) − 1. At 8% and 3% that is 4.85%, not 5%.