$100 in 2004 is worth $103 in 2005,
because prices increased 3.4% over that period, an average of
3.39% a year.
$100 in 2004 has
the same buying power as
$103
in 2005
Detailed inflation statistics
Cumulative price change
3.4%
Average inflation rate
3.39% per year
Converted amount ($100 base)
$103
Price difference ($100 base)
$3.39
CPI in 2004
188.9
CPI in 2005
195.3
Inflation in 2004
2.66%
Inflation in 2005
3.39%
$100 in 2004 → 2005
$103
$100 in 2005 → 2004
$96.72
What happened to prices between 2004 and 2005
Between 2004 and 2005, the Consumer Price Index went from 188.9 to 195.3.
Cumulatively, prices increased 3.4%, which works out to an average of
3.39% per year. Put differently, a dollar in 2004 bought what
$0.97 buys in 2005: the 2004 dollar
lost 3.3% of its purchasing power over
these 1 years.
Consumer prices rose 2.7% in 2004, with a 29-cent jump in the price of gasoline, to $1.88 a
gallon, doing much of the work. Crude oil passed $50 a barrel in October on rising demand
from China and India. The Federal Reserve raised rates for the first time in four years on
June 30, to 1.25%, and it kept going: 17 consecutive quarter-point increases took the rate to
5.25% by June 2006. Housing was already running ahead of incomes. The median household earned
about $44,300, up 2.3% from 2003, while the median new home sold for $221,000, up about 13%. A
first-class stamp stayed at 37 cents and the federal minimum wage at $5.15, unchanged since
1997.
Every 2004 amount converts to 2005 at the same ratio, 1.03: $1,000 becomes
$1,034, and $10,000 becomes $10,339.
Amount in 2004
Value in 2005
$1.00
$1.03
$5.00
$5.17
$10.00
$10.34
$20.00
$20.68
$50.00
$51.69
$100
$103
$500
$517
$1,000
$1,034
$5,000
$5,169
$10,000
$10,339
$100,000
$103,388
$1,000,000
$1,033,880
Inflation by spending category, 2004–2005
Between 2004 and 2005, energy rose the most, up 17.0%, while apparel fell 0.7%, against 3.4% for all items. The headline number is an average; here is what $100 of 2004
spending costs in 2005, by category:
Category
Avg. yearly inflation
$100 in 2004 →
All items (CPI-U)
3.39%
$103
Energy
16.97%
$117
Transportation
6.62%
$107
Medical care
4.22%
$104
Housing
3.27%
$103
Food
2.42%
$102
Core (all items less food & energy)
2.19%
$102
Education & communication
1.88%
$102
Recreation
0.74%
$101
Apparel
-0.75%
$99.25
Year by year: CPI and the value of $100 from 2004
$100 from 2004grew to $103 by 2005; each row
shows the CPI, that year's inflation rate, and the running value.
In 2005, prices rose 3.4% and $100 from 2004 had the buying
power of $103; the year's average CPI of 195.3 is the level
behind every 2005 figure on this page.
Inflation rose to 3.4% in 2005, up from 2.7% in 2004, as gasoline averaged $2.30 a gallon,
compared with $1.88 the year before. Hurricane Katrina made landfall on August 29, and with
Hurricane Rita weeks later it disrupted Gulf Coast refining, pushing the national average
price past $3 in early September. The Federal Reserve raised its policy rate at every meeting,
from 2.25% to 4.25%, to keep energy costs from feeding into other prices. The median household
earned about $46,300, up 4.5% from 2004, but the median new home price rose a further 9%, to
$240,900. In April, Congress passed a bankruptcy law that made it harder to clear debts. A
first-class stamp stayed at 37 cents until January 2006, and the federal minimum wage stayed
at $5.15.
MLA: “Inflation from 2004 to 2005: $100 is worth $103 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/2004-to-2005/
APA: InflationCalculator.com. Inflation from 2004 to 2005. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/2004-to-2005/