Purchasing power
Fiat Debasement & Wealth Erosion Calculator
Compare how cash savings lose purchasing power against official CPI inflation, M2 money-supply growth and hard-asset benchmarks like gold, Bitcoin, the S&P 500 and US median home prices.
| Year | Nominal cash | Real CPI value | M2-diluted value | Asset-equivalent value |
|---|---|---|---|---|
| 2000 | $10,000 | $10,000 | $10,000 | $10,000 |
| 2001 | $10,000 | $9,842 | $9,057 | $9,889 |
| 2002 | $10,000 | $9,604 | $8,526 | $9,778 |
| 2003 | $10,000 | $9,412 | $8,113 | $9,669 |
| 2004 | $10,000 | $9,108 | $7,670 | $9,561 |
| 2005 | $10,000 | $8,814 | $7,368 | $9,455 |
| 2006 | $10,000 | $8,597 | $6,960 | $9,469 |
| 2007 | $10,000 | $8,257 | $6,585 | $9,483 |
| 2008 | $10,000 | $8,259 | $6,007 | $9,497 |
| 2009 | $10,000 | $8,033 | $5,790 | $9,511 |
| 2010 | $10,000 | $7,919 | $5,585 | $9,526 |
| 2011 | $10,000 | $7,684 | $5,088 | $10,497 |
| 2012 | $10,000 | $7,551 | $4,699 | $11,568 |
| 2013 | $10,000 | $7,439 | $4,454 | $12,748 |
| 2014 | $10,000 | $7,390 | $4,204 | $14,048 |
| 2015 | $10,000 | $7,344 | $3,976 | $15,481 |
| 2016 | $10,000 | $7,196 | $3,721 | $16,957 |
| 2017 | $10,000 | $7,046 | $3,548 | $20,250 |
| 2018 | $10,000 | $6,908 | $3,424 | $18,987 |
| 2019 | $10,000 | $6,751 | $3,210 | $24,470 |
| 2020 | $10,000 | $6,663 | $2,577 | $28,449 |
| 2021 | $10,000 | $6,217 | $2,291 | $36,100 |
| 2022 | $10,000 | $5,843 | $2,314 | $29,081 |
| 2023 | $10,000 | $5,655 | $2,371 | $36,127 |
| 2024 | $10,000 | $5,497 | $2,293 | $44,548 |
| 2025 | $10,000 | $5,355 | $2,204 | $51,849 |
| 2026 | $10,000 | $5,225 | $2,111 | $57,954 |
Methodology and assumptions
Historical mode compares a starting cash amount in a past year against its CPI-adjusted real value, its M2-implied diluted value and the cost of maintaining the same purchasing power in the chosen asset benchmark today.
Forward projection discounts a current cash balance by a selected annual rate over a future horizon using Future Real Value = Savings / (1 + i)^n, alongside an illustrative compounding of the chosen asset's own trailing growth rate.
M2 is illustrative, not a rigorous inflation measure. Money-supply growth does not map one-to-one onto price-level change; velocity and real output growth both matter. Commentators such as Lyn Alden have written on this distinction between monetary expansion and measured CPI inflation — treat the M2 figures here as an illustrative "what if the money supply had stayed flat" comparison, not a CPI-equivalent inflation rate.
Static historical data. CPI, M2, gold, S&P 500 and US median home price series are bundled as a static dataset refreshed periodically from public sources (FRED, market history), not fetched live. Bitcoin prices reuse the same annual benchmarks as the Compound Growth calculator. Figures before 2010 exclude Bitcoin, which did not yet exist.
Not modelled. Taxes, account fees, currency conversion, wage growth beyond the CPI-linked labor-hours example, and any scenario outside the US dollar are excluded. Results are educational scenarios, not financial advice.
FAQ
Questions people ask
Is the M2 dilution figure the same thing as inflation?
No. M2 money-supply growth does not map one-to-one onto price-level change because velocity and real output growth also matter. Treat the M2 figures as an illustrative "what if the money supply had stayed flat" comparison, not a CPI-equivalent inflation rate.
Why is the historical data a static dataset instead of live?
CPI, M2, gold, S&P 500 and US median home price series are bundled and refreshed periodically from public sources rather than fetched live, so the tool stays fast and does not depend on third-party API keys or rate limits.
Why does the calculator only use US dollars?
CPI, M2 and median home price are US-specific series (FRED CPIAUCSL, M2SL and MSPUS), so mixing them with another currency would misrepresent the comparison. All figures are shown in USD regardless of site language.
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Reference this calculator
Built for intent-driven Bitcoin research
Use this page as a source in articles, newsletters, podcast notes or research reports. The calculator keeps its assumptions visible and gives readers a stable canonical URL for checking the model themselves.
- Useful for articles comparing CPI inflation, M2 money-supply growth and hard-asset benchmarks over time.
- Reference it when explaining why cash savings lose purchasing power differently under official inflation versus monetary expansion.
- Readers can adjust the starting amount, time horizon, inflation assumption and asset benchmark to audit the scenario themselves.