What are today's dollars?

Today's dollars

A number in today's dollars has been adjusted for inflation (definition, opens in a new tab). A future amount gets divided by how much prices are expected to rise between now and then. That shows what the money would really buy, so an amount years from now can be compared fairly with an amount today.

Where does this site use it?

• Home
• What does cashing out my 401(k) cost?
• Retirement savings calculator
• What should I do with my tax refund?

Related terms

• Inflation
• Compounding

General education, not financial advice.