$100 in 2005 is worth $123 in 2016,
because prices increased 22.9% over that period, an average of
1.89% a year.
$100 in 2005 has
the same buying power as
$123
in 2016
Detailed inflation statistics
Cumulative price change
22.9%
Average inflation rate
1.89% per year
Converted amount ($100 base)
$123
Price difference ($100 base)
$22.89
CPI in 2005
195.3
CPI in 2016
240.007
Inflation in 2005
3.39%
Inflation in 2016
1.26%
$100 in 2005 → 2016
$123
$100 in 2016 → 2005
$81.37
What happened to prices between 2005 and 2016
Between 2005 and 2016, the Consumer Price Index went from 195.3 to 240.007.
Cumulatively, prices increased 22.9%, which works out to an average of
1.89% per year. Put differently, a dollar in 2005 bought what
$0.81 buys in 2016: the 2005 dollar
lost 18.6% of its purchasing power over
these 11 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.
Every 2005 amount converts to 2016 at the same ratio, 1.23: $1,000 becomes
$1,229, and $10,000 becomes $12,289.
Amount in 2005
Value in 2016
$1.00
$1.23
$5.00
$6.14
$10.00
$12.29
$20.00
$24.58
$50.00
$61.45
$100
$123
$500
$614
$1,000
$1,229
$5,000
$6,145
$10,000
$12,289
$100,000
$122,891
$1,000,000
$1,228,914
Inflation by spending category, 2005–2016
Between 2005 and 2016, medical care rose the most, up 43.5%, while apparel rose the least, up 5.5%, against 22.9% for all items. The headline number is an average; here is what $100 of 2005
spending costs in 2016, by category:
Category
Avg. yearly inflation
$100 in 2005 →
All items (CPI-U)
1.89%
$123
Medical care
3.34%
$143
Food
2.41%
$130
Housing
2.02%
$125
Core (all items less food & energy)
1.92%
$123
Education & communication
1.85%
$122
Transportation
1.04%
$112
Energy
0.62%
$107
Recreation
0.61%
$107
Apparel
0.49%
$105
Decade by decade: 2005 to 2016
Prices climbed fastest in the 2000s, averaging 2.23% a year, and slowest in the 2010s (1.61% a year). Each step below chains into the full 2005–2016 change:
Years
Avg. yearly inflation
Price change
$100 from 2005, at end
2005–2010
2.23%
11.7%
$112
2010–2016
1.61%
10.1%
$123
Year by year: CPI and the value of $100 from 2005
$100 from 2005 had already become $112 by
2010, on its way to $123 in 2016; each row shows the CPI, that
year's inflation rate, and the running value.
Within the span, inflation peaked at 3.8% in 2008, and prices fell 0.4% in 2009, the deepest deflation of the period.
In 2016, prices rose 1.3% and $100 from 2005 had the buying
power of $123; the year's average CPI of 240.007 is the level
behind every 2016 figure on this page.
2016 opened with the cheapest oil in more than a decade and closed with a
change in political direction. Crude fell to about $26 a barrel in February,
and gasoline averaged $2.14 a gallon for the year, its lowest annual
average since 2004. Headline inflation was 1.3%, a modest rebound from 2015’s
0.1%, though prices excluding food and energy rose faster, driven by rents and
health care.
Median household income rose to $59,039, the second large gain in a row, and
the median new home sold for about $307,800. The federal minimum wage held at
$7.25, and a first-class stamp fell to 47 cents after a January rate cut, a
rare decrease.
Two votes changed the outlook. Britain’s June decision to leave the European
Union unsettled currency markets, and the U.S. election in November raised
expectations of tax cuts, deficits, and faster growth, sending long-term
interest rates higher. OPEC’s November output cut ended the oil slump, and the
Federal Reserve made its second rate increase in December, to 0.50–0.75%.
MLA: “Inflation from 2005 to 2016: $100 is worth $123 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/2005-to-2016/
APA: InflationCalculator.com. Inflation from 2005 to 2016. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/2005-to-2016/