# Value of 2004 Mexican Pesos today – Inflation Calculator

\$100

in 2004

\$213.17

in 2022

The inflation rate in Mexico between 2004 and today has been 113.17%, which translates into a total increase of \$113.17. This means that 100 pesos in 2004 are equivalent to 213.17 pesos in 2022. In other words, the purchasing power of \$100 in 2004 equals \$213.17 today. The average annual inflation rate between these periods has been 4.29%.

## Inflation timeline in Mexico (2004 – 2022)

The following chart depicts the equivalence of \$100 due to compound inflation and CPI changes. All values are equivalent in terms of purchasing power, which means that for each year the same goods or services could be bought with the indicated amount of money.

All calculations are performed in the local currency (MXN) and using 6 decimal digits. Results show only up to 2 decimal digits to favour readability. Inflation data is provided by governments and international institutions on a monthly basis. Today’s values were extrapolated from the latest 12-month rolling average official data.

The following table contains relevant indicators:

Indicator Value Cumulative inflation

2004-2021

99.8% Cumulative inflation

2004-today

113.17% Avg. Annual inflation

2004-2021

4.16% CPI 2004 64.83 CPI 2021 129.53 CPI 2022-03

(latest official data)

137.08 CPI today 138.2

## How to calculate today’s value of money after inflation?

There are several ways to calculate the time value of money. Depending on the data available, results can be obtained by using the Consumer Price Index (CPI) formula or the compound interest formula.

### Using the CPI formula

When we have both the start and end years, we can use the following formula:

t

=

Value0 ×

CPIt

/

CPI0

ValueValue

To obtain the values equivalent in buying power between 2004 and 2021, use the corresponding CPI values:

Value2021

=

Value2004 ×

CPI2021

/

CPI2004

Value

=

\$ 100 ×

129.53

/

64.83

\$ 100 ×

\$199.8

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 138.2:

Valuetoday

=

Value2004 ×

CPItoday

/

CPI2004

Value

=

\$ 100 ×

138.2

/

64.83

\$ 100 ×

\$213.17

### Alternative: Using the compound interest formula

Given that money changes with time as a result of an inflation rate that acts as compound interest, we can use the following formula: FV = PV × (1 + i)n, where:

• FV: Future Value
• PV: Present Value
• i: Interest rate (inflation)
• n: Number of times the interest is compounded (i.e. # of years)

In this case, the future value represents the final amount obtained after applying the inflation rate to our initial value. In other words, it indicates how much are \$100 worth today. There are 17 years between 2004 and 2021 and the average inflation rate was 4.1555%. Therefore, we can resolve the formula like this:

Value2021

=

PV × (1 + i)n

=

\$100 × (1 + 0.041555)17

\$199.8

## Mexico inflation – Conversion table

Initial Value

Equivalent value \$1

peso in 2004

→ \$2

pesos in 2021

\$5

pesos in 2004

→ \$9.99

pesos in 2021

\$10

pesos in 2004

→ \$19.98

pesos in 2021

\$50

pesos in 2004

→ \$99.9

pesos in 2021

\$100

pesos in 2004

→ \$199.8

pesos in 2021

\$500

pesos in 2004

→ \$999

pesos in 2021

\$1,000

pesos in 2004

→ \$1,998.01

pesos in 2021

\$5,000

pesos in 2004

→ \$9,990.04

pesos in 2021

\$10,000

pesos in 2004

→ \$19,980.08

pesos in 2021

\$50,000

pesos in 2004

→ \$99,900.4

pesos in 2021

\$100,000

pesos in 2004

→ \$199,800.81

pesos in 2021

\$500,000

pesos in 2004

→ \$999,004.03

pesos in 2021

\$1,000,000

pesos in 2004

→ \$1,998,008.06

pesos in 2021