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| *Ostroff, Fair and Company>>>Other - Business & Finance |
How much $US.1,000.00 worth in 10 years from now? |
In regular life, normal spending, if I spend $1,000.00 /month now( 2007) how much do I need to have the same life style in the year of 2017. Thank you for your help. The rate of inflation in May, 2007 was 2.69% annually, which is about 0.223% monthly. At that rate, it will take about $1306.50 to have the same buying power in 2017 as $1000.00 does now. However, that's deceptive. If you buy a house now on a fixed-rate mortgage, your payments for principal and interest aren't going to go up for 3 decades. That means $1306.50 is going to overstate your needs. If you're renting, your rent probably going to go up, and you may find $1306.50 to be inadequate. The cost of education is rising *far* more rapidly than inflation, and so is the cost of health care. If you are retired and covered by a great health insurance plan, you're going to beat inflation. So will you beat inflation if you're young and naturally healthy. On the other hand, if you are diagnosed with Lupus next year, and your kids are just entering junior high, you're going to find $1306.50 to be woefully inadequate. On the other hand, if you are run over by a steam roller tomorrow, your worries will be over. atleast $1250. according to my calculations and col about 2,578.00 The first guy's closest - around $1250. Look at: http://www.halfhill.com/inflation.html... He uses some basic assumptions about the inflation rate to forecast the dollar value. |
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