Who benefits from inflation?

Inflation can have both winners and losers, depending on various factors such as the overall economy, the type of inflation, and individual financial situations. Generally speaking, borrowers tend to benefit from inflation because the money they owe is worth less over time. Additionally, people who own assets that appreciate in value, such as real estate or stocks, can benefit from inflation as the value of their assets increases. However, savers and fixed-income earners, such as retirees, may be negatively affected by inflation as the purchasing power of their savings decreases. Ultimately, the winners and losers of inflation depend on individual circumstances and the broader economic context.

The effects of inflation are often not directly felt but are played out over a long time, especially long-term investments are vulnerable to inflation.


At Horizon65, we created a mobile app that enabled you to check the effect of inflation on your savings.

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