2009 value of 2005 £1000

joan22

I gave my granddaughter a 21st gift of £1000 in January 2005. Her sister is 21 this weekend and want to make sure that she gets the equivalent value. How much extra to the £1000 would I have to give her - if any?
Joan22

agsnu

According to RPI, about £1120.

pink_numbers

I'm sorry, do you want to give her the equivalent or does she want you to give the equivalent?

benny123

a nice round figure of £1000, i'd feel inclined to give her the same, its still a generous gift and a lot of money.

asbokid

In Jan 2005, GBP1,000 invested in gold @ USD427/oz @ GBP1.00=USD1.906 would have bought 4.46 ounces.

To purchase the same amount of gold at today's price of USD925/oz @ GBP1.00=USD1.482 will cost your second granddaughter £2,786.04

gozomark

asbokid wrote: »

In Jan 2005, GBP1,000 invested in gold @ USD427/oz @ GBP1.00=USD1.906 would have bought 4.46 ounces.

To purchase the same amount of gold at today's price of USD925/oz @ GBP1.00=USD1.482 will cost your second granddaughter £2,786.04

or about £500 if adjusted for equity markets....

more sensibly, why on earth adjust for movement in gold (or equity mkts) ? only sensible thing is either

1. give 1000
2. give 1000 adjusted for inflation (as per agsnu)

asbokid

gozomark wrote: »

or about £500 if adjusted for equity markets....

more sensibly, why on earth adjust for movement in gold (or equity mkts) ? only sensible thing is either

1. give 1000
2. give 1000 adjusted for inflation (as per agsnu)

what is "inflation" though?

is it one of the government's phony figures (RPI or CPI), or something less arbitrary, and more honest?

do your granddaughters drive cars?

what about rebasing the value of your gift to the price of gasoline?

"In Jan 2005, I gave your sister enough money to buy n gallons of unleaded fuel.. and I shall do the same for you today.."

I think Texaco even do pre-payment gift cards...

RobertoMoir

asbokid wrote: »

what is "inflation" though?

is it one of the government's phony figures (RPI or CPI), or something less arbitrary, and more honest?

do your granddaughters drive cars?

what about rebasing the value of your gift to the price of gasoline?

"In Jan 2005, I gave your sister enough money to buy n gallons of unleaded fuel.. and I shall do the same for you today.."

I think Texaco even do pre-payment gift cards...

Grand theoretical discussions on the worth of money might be interesting but are rather overthinking it for what the OP is trying to do here.

I'd personally just give the £1000 myself.

osagefo

I will say £1k is £1k. If you feel inclined to give more than do so, that is within your gift, it is your money, do with it what you wish. It will be a 'sick' ungrateful child who will go as far as doing a comparison of that type. I would not be loosing sleep over that, but it is an interesting thought.

1. Give £1k
2. Give whatever amount you choose it your money (and consider the implications on inheritance tax)

Gorgeous_George

How much has granddaughter No 1 got left?

Give granddaughter No 2 that much.

GG

Kif_inti

Dear Joan

It is usual when applying the RPI for such increases to use a value from 2 months previous to the actual dates

Using the RPI index -- I am not allowed to give the link


Nov 04 = 189.0
Feb 09 = 211.4
Increase of 11.85%

Your lucky grand daughter would receive £1,118.50
Best wishes

Kif inti