The following article explains how to calculate the current inflation rate, if you know the Consumer Price Index. If you don't know it, you can find it here. If you don't care about the mechanics and just want the answer, use our Inflation Calculator. The Formula For Calculating Inflation The formula for calculating the Inflation Rate using the Consumer Price Index is relatively simple. Every month the Bureau of Labor Statistics (BLS) surveys prices and generates the current Consumer Price Index (CPI).  Let us assume for the sake of simplicity that the index consists of one item and that one item cost $1.00 in 1984. The BLS published the index in 1984 at 100. If today that same item … [Read more...]