When a future value is provided in Today's Dollars it means the effect of inflation has been taken into account. For example, $10,000 Today's Dollars for the year 2050 might actually be $50,000 in face value in 2050 but would purchase the same amount as $10,000 today. Today's Dollars are also sometimes called Real Dollars.
- Choose today's dollars if you want the amount to increase every year consistent with inflation.
- Choose nominal dollars if the amount stays the same every year, regardless of inflation/deflation.