FT FinToolSuite

Why am I getting poorer glossary

Why Am I Getting Poorer Glossary Personal Inflation

Why am I getting poorer glossary: plain definitions for personal inflation, CPI, weights, real income, nominal income, gap estimate, scenarios, snapshots, and assumptions with quick examples to keep comparisons clear.

Published: January 7, 2026 · Updated: January 7, 2026 · By FinToolSuite Editorial

Open the Why Am I Getting Poorer tool

Use these terms while you build scenarios and read outputs.

Go to the tool

Disclaimer

  • Educational only. Mini examples are illustrative. No guarantees.
  • See the Privacy Policy for handling details.

Glossary

Assumptions
Inputs you set (income change, category inflations). Keep them consistent per scenario.
CPI (Consumer Price Index)
Broad population inflation. Useful for context; your personal inflation uses your basket.
Gap estimate
Adjusted income minus inflated spending for your listed categories. Directional only.
Hot category
A category with a high weight and higher inflation that moves your personal inflation the most.
Nominal income
Income before adjusting for price changes. Example: $70,000 is nominal before inflation context.
Personal inflation
Your weighted average inflation based on your categories and their inflations. Example: housing 40% at 7%, food 20% at 5%, others 40% at 2% yields a personal rate above CPI.
Real income
Income adjusted for inflation. Example: a 5% raise with 5% personal inflation means roughly flat real income.
Scenario
A saved run of your inputs. Example: “Base Jan 2026” vs “Base + Housing +2pp.”
Snapshot (export)
A PDF of your inputs/outputs at a moment in time. Re-export after changes.
Weight
Category spend divided by total spend. Example: $600 food on $3,000 total = 20% weight.

Use the glossary while testing

Enter your categories, read outputs with these terms, and save scenarios.

Go to the tool

Need more? Read the FAQ or revisit the scenario guide.

FAQs

What is personal inflation?

Your weighted price change based on your categories and their inflations.

What is the gap estimate?

Adjusted income minus inflated spend for your listed categories, directional only.

What is a scenario?

A saved run of your inputs so you can compare it to another run with one change.

What is a snapshot export?

A PDF saved at a moment in time. Re-export after changes and label the file.

Is this advice or a forecast?

No. It is educational. Results depend on your inputs and assumptions. No guarantees.

Where can I learn more?

Read the personal inflation definition, scenario guide, and the main FAQ for deeper detail.