New Zealand Inflation Calculator
Our NZ inflation calculator uses 99 years of Consumer Price Index data to calculate the buying power of a New Zealand dollar
Updated 3 May 2026
Compare buying power
Data: Stats NZ Consumers Price Index, 1927 to 2025. Years beyond 2025 use your projected inflation rate.
$100 in 2000 has the same buying power as $0 in 2026
Average annual inflation
0%
Cumulative inflation
0%
Years
0
Value of $100 over time
Historical (Stats NZ data)
Source: InfoShare.stats.govt.nz
What is the Consumer Price Index, and what does the Inflation Rate mean?
By definition, inflation is the increase in the prices of goods and services over a period of time. When prices increase, you need more money to buy the same items. Conversely, deflation is when prices fall over a period of time.
The government actively manages inflation rates to ensure prices stay stable and the value of people's money (i.e. savings and term deposits) aren't eroded. For example, if the inflation rate is 10% per year, $100 this year will be worth about $91 next year, meaning you won't be able to buy as much.
Statistics New Zealand measures inflation every quarter using the Consumer Price Index, which tracks the prices of goods and services in several categories, including:
As an example, if the basket of goods cost $1,000 in December 2020 and $1,050 in December 2021, the inflation rate would be 5% ($1,050 - $1,000 / $1,000). Statistics NZ tracks hundreds of different categories (you can download the complete list here.
Know this: You can't measure inflation by tracking the price of one good, as this is not representative of the costs faced by everyday New Zealanders. This is why the CPI is reported every three months, and the inflation change directly affects government policy.
The government actively manages inflation rates to ensure prices stay stable and the value of people's money (i.e. savings and term deposits) aren't eroded. For example, if the inflation rate is 10% per year, $100 this year will be worth about $91 next year, meaning you won't be able to buy as much.
Statistics New Zealand measures inflation every quarter using the Consumer Price Index, which tracks the prices of goods and services in several categories, including:
- Food
- Housing and household utilities
- Health
- Recreation and culture
- Education
- Communication
- Clothing and footwear
- Transport
- Alcoholic beverages and tobacco
- Household contents and services
- Miscellaneous goods and services
As an example, if the basket of goods cost $1,000 in December 2020 and $1,050 in December 2021, the inflation rate would be 5% ($1,050 - $1,000 / $1,000). Statistics NZ tracks hundreds of different categories (you can download the complete list here.
Know this: You can't measure inflation by tracking the price of one good, as this is not representative of the costs faced by everyday New Zealanders. This is why the CPI is reported every three months, and the inflation change directly affects government policy.
New Zealand's Historical Inflation Rates
Right now, inflation in New Zealand is sitting around 2% to 3% per year, around the Reserve Bank's target band of 1% to 3%. In the mid-1980s, the rates were as high as 17% per year. The Reserve Bank has a government-set inflation target of between 1% and 3%. This is quite a departure from the 1970s and 80s where people's savings lost a lot of their value. You can see the current inflation rate here.
How Inflation Impacts You
In a nutshell, increasing costs of the things you buy is manageable if your wages increase at the same rate. If your income stays the same while prices go up, you'll have less spending power, which is the direct effect of inflation. This means you'll need to cut down on costs and manage your budget carefully.
New Zealanders have long complained that wages don't keep up with everyday expenses (and specifically housing). Every year, Work and Income adjusts its Jobseeker Support and Superannuation payments, but wage rises often don't follow. This is why it's essential that the government keeps control of inflation.
Our inflation calculator helps you understand the past and plan for the future. While 1% to 3% year-on-year inflation is arguably realistic in the short-term, sustained inflation directly decreases the value of your savings. For example, if the inflation rate was 10% per year and your KiwiSaver fund's contributions and returns fund grew 8%, your total balance would be decreasing in value (in real terms) given the inflation rate exceeds your investment growth. However, market conditions rarely allow this to happen, and investment funds (and the sharemarket in general) have a track record of providing inflation-beating returns over time.
Inflation is of most concern to retirees who no longer earn salary or wages. Their superannuation income and cash savings are both fixed; if the inflation rate increased, their purchasing power is limited. Our retirement calculator takes inflation into account and helps you plan for the future.
New Zealanders have long complained that wages don't keep up with everyday expenses (and specifically housing). Every year, Work and Income adjusts its Jobseeker Support and Superannuation payments, but wage rises often don't follow. This is why it's essential that the government keeps control of inflation.
Our inflation calculator helps you understand the past and plan for the future. While 1% to 3% year-on-year inflation is arguably realistic in the short-term, sustained inflation directly decreases the value of your savings. For example, if the inflation rate was 10% per year and your KiwiSaver fund's contributions and returns fund grew 8%, your total balance would be decreasing in value (in real terms) given the inflation rate exceeds your investment growth. However, market conditions rarely allow this to happen, and investment funds (and the sharemarket in general) have a track record of providing inflation-beating returns over time.
Inflation is of most concern to retirees who no longer earn salary or wages. Their superannuation income and cash savings are both fixed; if the inflation rate increased, their purchasing power is limited. Our retirement calculator takes inflation into account and helps you plan for the future.
​Why is our inflation calculator useful?
Our calculator shows you the value of the same sum of money over the last 99 years in New Zealand. For example, you can see what $100 in 2026 was worth in 2000. You can observe the inflation rate over any period.
Can you calculate future inflation rates?
Our calculator includes this, but it' is an estimate based on recent averages reported by Stats New Zealand. Our calculator only estimates how this may affect your savings and wages.
Inflation Rates and Protecting Your Money's Value
To build wealth sustainably, your investments must consistently grow above the inflation rate. If they don't, your money's real value is decreasing, which will mean you have less purchasing power later on. Given that the government adjusts superannuation and unemployment support payments based on inflation, your investing strategy should consider inflation.
More details: How to Protect Your Finances from Inflation
Video guide:
Video guide:
