U.S. inflation · 2005–2006

Value of $100 in 2005, adjusted to 2006

$100 in 2005 is worth $103 in 2006, because prices increased 3.2% over that period, an average of 3.23% a year.

$100 in 2005 has the same buying power as

$103

in 2006

$100$102$10320052006$100 · 2005$103 · 2006
Detailed inflation statistics
Cumulative price change3.2%
Average inflation rate3.23% per year
Converted amount ($100 base)$103
Price difference ($100 base)$3.23
CPI in 2005195.3
CPI in 2006201.6
Inflation in 20053.39%
Inflation in 20063.23%
$100 in 2005 → 2006$103
$100 in 2006 → 2005$96.88

What happened to prices between 2005 and 2006

Between 2005 and 2006, the Consumer Price Index went from 195.3 to 201.6. Cumulatively, prices increased 3.2%, which works out to an average of 3.23% per year. Put differently, a dollar in 2005 bought what $0.97 buys in 2006: the 2005 dollar lost 3.1% of its purchasing power over these 1 years.

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.

More about inflation in 2005 →

Common amounts: 2005 dollars in 2006

Every 2005 amount converts to 2006 at the same ratio, 1.03: $1,000 becomes $1,032, and $10,000 becomes $10,323.

Amount in 2005Value in 2006
$1.00$1.03
$5.00$5.16
$10.00$10.32
$20.00$20.65
$50.00$51.61
$100$103
$500$516
$1,000$1,032
$5,000$5,161
$10,000$10,323
$100,000$103,226
$1,000,000$1,032,258

Inflation by spending category, 2005–2006

Between 2005 and 2006, energy rose the most, up 11.2%, while apparel rose the least, up 0.0%, against 3.2% for all items. The headline number is an average; here is what $100 of 2005 spending costs in 2006, by category:

Category Avg. yearly inflation $100 in 2005 →
All items (CPI-U) 3.23% $103
Energy 11.18% $111
Transportation 4.03% $104
Medical care 4.02% $104
Housing 3.83% $104
Education & communication 2.73% $103
Core (all items less food & energy) 2.49% $102
Food 2.36% $102
Recreation 1.37% $101
Apparel 0.00% $100

Year by year: CPI and the value of $100 from 2005

$100 from 2005grew to $103 by 2006; each row shows the CPI, that year's inflation rate, and the running value.

Year CPI Inflation rate $100 from 2005
2005 195.3 3.4% $100
2006 201.6 3.2% $103

The destination year: 2006

In 2006, prices rose 3.2% and $100 from 2005 had the buying power of $103; the year's average CPI of 201.6 is the level behind every 2006 figure on this page.

Inflation was 3.2% in 2006 and gasoline averaged $2.59 a gallon, up 29 cents from 2005. The median household earned about $48,200 and the median new home cost $246,500, a gain of about 2% after a 13% jump in 2004 and 9% in 2005. National home prices, by the S&P/Case-Shiller index, peaked in mid-2006. Ben Bernanke replaced Alan Greenspan as Federal Reserve chair on February 1, and on June 29 the Fed raised its policy rate to 5.25%, the last of 17 straight quarter-point increases. It held there for over a year. A first-class stamp rose to 39 cents in January, and the federal minimum wage was $5.15 for the ninth full year in a row.

More about inflation in 2006 →

Cite this page

MLA: “Inflation from 2005 to 2006: $100 is worth $103 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/2005-to-2006/

APA: InflationCalculator.com. Inflation from 2005 to 2006. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/2005-to-2006/

Source: U.S. Bureau of Labor Statistics, CPI-U annual averages (series CUUR0000SA0; category indexes listed on the data sources page). See how these numbers are calculated.