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//// Financial · Inflation

What Inflation Is Doing to Your Money

Your $50k salary feels like $36k in 10 years if it doesn't grow. See purchasing power erosion, compare inflation vs HYSA vs S&P 500, and understand why idle cash loses value.

401(k) Limit 2024$23,000
Roth IRA Limit$7,000
S&P 500 Avg Return~10%/yr

Inputs

$
%
140

Historical presets

Purchasing power in 10 years

Your $50,000 will feel like $35,379

at 3.4% annual inflation over 10 years

Purchasing Power Loss

$14,621

% Lost

29.2%

HYSA (4.5%)

$77,648

S&P 500 (10%)

$129,687

Year-by-year comparison

YearChecking (0%)Under InflationHYSA (4.5%)S&P 500 (10%)
Year 0$50,000$50,000$50,000$50,000
Year 5$50,000$42,059$62,309$80,526
Year 10$50,000$35,379$77,648$129,687

Student tip

Your $1,000 in a checking account is losing approximately $34/year in purchasing power to inflation at 3.4%. A HYSA earning 4.5% would turn that $1,000 into $1,553 in 10 years.

Verdict

A HYSA at 4.5% beats 3.4% inflation by 1.1 percentage points — your real purchasing power grows.