2005 To 2021 How Many Years
Value of $ane from 2005 to 2023
$1 in 2005 is equivalent in purchasing power to about $ane.53 today, an increase of $0.53 over xviii years. The dollar had an average inflation rate of 2.38% per year betwixt 2005 and today, producing a cumulative price increase of 52.59%.
This means that today's prices are 1.53 times equally high every bit average prices since 2005, according to the Bureau of Labor Statistics consumer price index. A dollar today only buys 65.359% of what it could buy back and so.
The inflation charge per unit in 2005 was three.39%. The current inflation rate compared to last yr is now 7.11%. If this number holds, $1 today will be equivalent in buying ability to $ane.07 next year. The current aggrandizement rate page gives more detail on the latest inflation rates.
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| Cumulative price change | 52.59% |
| Average aggrandizement charge per unit | two.38% |
| Converted amount ($one base) | $i.53 |
| Price difference ($one base) | $0.53 |
| CPI in 2005 | 195.300 |
| CPI in 2023 | 298.010 |
| Inflation in 2005 | 3.39% |
| Aggrandizement in 2023 | 7.11% |
| $ane in 2005 | $one.53 in 2023 |
USD inflation since 2005
Almanac Rate, the Bureau of Labor Statistics CPI
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Buying power of $ane in 2005
This chart shows a adding of buying power equivalence for $1 in 2005 (price alphabetize tracking began in 1635).
For example, if you started with $1, y'all would need to stop with $one.53 in order to "adjust" for inflation (sometimes refered to as "chirapsia inflation").
When $1 is equivalent to $1.53 over time, that means that the "real value" of a unmarried U.S. dollar decreases over time. In other words, a dollar volition pay for fewer items at the store.
This effect explains how inflation erodes the value of a dollar over time. Past calculating the value in 2005 dollars, the chart below shows how $1 is worth less over 18 years.
According to the Bureau of Labor Statistics, each of these USD amounts below is equal in terms of what it could buy at the time:
This conversion tabular array shows various other 2005 amounts in today's dollars, based on the 52.59% change in prices:
| Initial value | Equivalent value |
|---|---|
| $ane dollar in 2005 | $ane.53 dollars today |
| $5 dollars in 2005 | $7.63 dollars today |
| $x dollars in 2005 | $15.26 dollars today |
| $50 dollars in 2005 | $76.30 dollars today |
| $100 dollars in 2005 | $152.59 dollars today |
| $500 dollars in 2005 | $762.95 dollars today |
| $1,000 dollars in 2005 | $1,525.91 dollars today |
| $5,000 dollars in 2005 | $7,629.54 dollars today |
| $10,000 dollars in 2005 | $xv,259.09 dollars today |
| $fifty,000 dollars in 2005 | $76,295.44 dollars today |
| $100,000 dollars in 2005 | $152,590.89 dollars today |
| $500,000 dollars in 2005 | $762,954.43 dollars today |
| $1,000,000 dollars in 2005 | $one,525,908.86 dollars today |
Aggrandizement by City
Inflation can vary widely by city, fifty-fifty within the United States. Hither's how some cities fared in 2005 to 2023 (figures shown are purchasing ability equivalents of $ane):
- San Diego, California: 3.05% boilerplate rate, $1 → $one.62, cumulative change of 61.66%
- San Francisco, California: ii.83% boilerplate charge per unit, $1 → $i.61, cumulative change of sixty.80%
- Seattle, Washington: 2.79% average charge per unit, $1 → $ane.60, cumulative change of 59.77%
- Miami-Fort Lauderdale, Florida: 2.79% average charge per unit, $1 → $1.60, cumulative change of 59.58%
- Atlanta, Georgia: 2.51% average rate, $1 → $1.52, cumulative change of 52.31%
- Denver, Colorado: 2.46% average rate, $1 → $i.48, cumulative modify of 47.64%
- Tampa, Florida: 2.44% average rate, $ane → $1.47, cumulative change of 47.15%
- Dallas-Fort Worth, Texas: 2.33% average rate, $1 → $one.48, cumulative change of 47.96%
- Houston, Texas: two.29% average rate, $1 → $1.47, cumulative change of 47.04%
- New York: ii.23% average rate, $1 → $one.46, cumulative modify of 45.57%
- Boston, Massachusetts: ii.21% boilerplate rate, $ane → $1.45, cumulative change of 45.08%
- Phoenix, Arizona: 2.xviii% average rate, $ane → $1.41, cumulative change of 41.xxx%
- Philadelphia, Pennsylvania: 2.07% average charge per unit, $1 → $one.42, cumulative change of 41.60%
- Chicago, Illinois: ii.02% boilerplate rate, $1 → $1.41, cumulative change of twoscore.60%
- Minneapolis-St Paul, Minnesota: 2.00% average rate, $i → $1.37, cumulative change of 37.36%
- St Louis, Missouri: 2.00% average charge per unit, $1 → $one.40, cumulative modify of xl.08%
- Detroit, Michigan: two.00% average rate, $one → $1.40, cumulative change of 39.95%
San Diego, California experienced the highest rate of aggrandizement during the 18 years between 2005 and 2023 (3.05%).
Detroit, Michigan experienced the lowest rate of aggrandizement during the xviii years between 2005 and 2023 (2.00%).
Note that some locations showing 0% inflation may accept not nevertheless reported latest data.
Inflation past Land
Inflation tin besides vary widely past country. For comparing, in the UK £one.00 in 2005 would exist equivalent to £1.91 in 2023, an absolute change of £0.91 and a cumulative alter of 91.04%.
In Canada, CA$1.00 in 2005 would be equivalent to CA$i.41 in 2023, an accented modify of CA$0.41 and a cumulative change of 41.48%.
Compare these numbers to the Usa'southward overall absolute modify of $0.53 and full pct change of 52.59%.
Aggrandizement by Spending Category
CPI is the weighted combination of many categories of spending that are tracked by the government. Breaking down these categories helps explain the main drivers behind price changes.
Between 2005 and 2023:
- Gas prices increased from $1.82 per gallon to $three.85
- Staff of life prices increased from $1.00 per loaf to $1.85
- Egg prices increased from $1.21 per carton to $iii.59
- Chicken prices increased from $1.03 per per 1 lb of whole chicken to $1.84
- Electricity prices increased from $0.09 per KwH to $0.xvi
This chart shows the average rate of inflation for select CPI categories betwixt 2005 and 2023.
Compare these values to the overall average of two.38% per year:
The graph below compares inflation in categories of goods over time. Click on a category such as "Nutrient" to toggle it on or off:
For all these visualizations, it'south of import to notation that not all categories may have been tracked since 2005. This tabular array and charts use the earliest available data for each category.
How to calculate inflation rate for $i since 2005
Our calculations use the post-obit inflation rate formula to summate the change in value between 2005 and today:
CPI today CPI in 2005
×
2005 USD value
=
Today's value
Then plug in historical CPI values. The U.S. CPI was 195.3 in the yr 2005 and 298.01 in 2023:
$1 in 2005 has the same "purchasing power" or "ownership ability" as $1.53 in 2023.
To get the full inflation charge per unit for the eighteen years between 2005 and 2023, we utilise the following formula:
CPI in 2023 - CPI in 2005 CPI in 2005
×
100
=
Cumulative inflation rate (18 years)
Plugging in the values to this equation, we get:
298.01 - 195.3 195.3
×
100
=
53%
Alternate Measurements of Inflation
There are multiple means to measure inflation. Published rates of inflation will vary depending on methodology. The Consumer Price Alphabetize, used in a higher place, is the about common standard used globally.
Alternative measurements are sometimes used based on context and economic/political circumstances. Below are a few examples of alternative measurements.
Personal Consumption Expenditures (PCE) Aggrandizement
The PCE Price Index is the U.S. Federal Reserve'south preferred measure of inflation, compiled by the Agency of Economical Analysis. It measures the change in prices of goods and services purchased by consumers.
The PCE Price Alphabetize inverse past 2.05% per yr on average betwixt 2005 and 2023. The full PCE inflation betwixt these dates was 41.16%. In 2005, PCE inflation was two.88%.
This means that the PCE Index equates $one in 2005 with $ane.41 in 2023, a difference of $0.41. Compare this to the standard CPI measurement, which equates $1 with $one.53. The PCE measured -11.43% inflation compared to standard CPI.
For more data on the difference between PCE and CPI, see this analysis provided by the Bureau of Labor Statistics.
Core Inflation
Also of annotation is the Cadre CPI, which uses the standard CPI just omits the more volatile categories of food and free energy.
Core inflation averaged 2.26% per year between 2005 and 2023 (vs all-CPI aggrandizement of 2.38%), for an inflation total of 46.24%. In 2005, core inflation was ii.17%.
When using the core inflation measurement, $one in 2005 is equivalent in ownership ability to $1.46 in 2023, a difference of $0.46. Recall that the converted corporeality is $1.53 when all items including food and energy are measured.
Chained Inflation
Chained CPI is an alternative measurement that takes into business relationship how consumers accommodate spending for similar items. Chained inflation averaged 2.15% per year between 2005 and 2023, a total inflation amount of 43.48%.
According to the Chained CPI measurement, $1 in 2005 is equal in ownership power to $1.43 in 2023, a divergence of $0.43 (versus a converted amount of $1.53/change of $0.53 for All Items).
In 2005, chained inflation was 2.92%.
Comparing to Due south&P 500 Index
The average inflation rate of 2.38% has a compounding effect between 2005 and 2023. As noted above, this yearly inflation charge per unit compounds to produce an overall cost difference of 52.59% over eighteen years.
To help put this inflation into perspective, if we had invested $one in the S&P 500 index in 2005, our investment would be nominally worth approximately $4.51 in 2023. This is a return on investment of 350.65%, with an absolute return of $3.51 on top of the original $ane.
These numbers are not inflation adjusted, then they are considered nominal. In club to evaluate the real return on our investment, we must calculate the return with inflation taken into account.
The compounding consequence of inflation would account for 34.47% of returns ($1.55) during this period. This means the inflation-adjusted real return of our $1 investment is $1.95. You may besides want to account for majuscule gains tax, which would take your real render downwardly to around $two for about people.
| Original Corporeality | Final Amount | Change | |
|---|---|---|---|
| Nominal | $ane | $iv.51 | 350.65% |
| Real Inflation Adjusted | $1 | $2.95 | 195.33% |
Information displayed in a higher place may differ slightly from other S&P 500 calculators. Pocket-sized discrepancies can occur because nosotros use the latest CPI information for inflation, annualized inflation numbers for previous years, and we compute Southward&P toll and dividends from January of 2005 to latest available information for 2023 using average monthly close cost.
For more details on the Southward&P 500 between 2005 and 2023, run across the stock marketplace returns computer.
Data source & commendation
Raw data for these calculations comes from the Agency of Labor Statistics' Consumer Price Alphabetize (CPI), established in 1913. Aggrandizement data from 1634 to 1912 is sourced from a historical report conducted by political science professor Robert Sahr at Oregon Land University and from the American Antiquarian Club.
You may use the following MLA citation for this page: "$1 in 2005 → 2023 | Inflation Calculator." Official Inflation Information, Alioth Finance, 28 December. 2022, https://world wide web.officialdata.org/united states of america/inflation/2005?amount=one.
Special thanks to QuickChart for their chart image API, which is used for chart downloads.
in2013dollars.com is a reference website maintained by the Official Data Foundation.
Source: https://www.in2013dollars.com/us/inflation/2005?amount=1
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