Financial assurance updates

Cost estimates for financial assurance for dangerous waste handling facilities need to be adjusted every year for inflation. Some companies choose to do an entirely new cost estimate every year to make sure it is always accurate. However, that is not required. Instead, simply multiply the amount from last year by this year’s inflation adjustment. This also works to adjust an old amount for multiple years.


Adjusting for inflation

Inflation factors for the years 2000 to 2022

Year Inflation factor
2000 1.0147
2001 1.0217
2002 1.0226
2003 1.0162
2004 1.0215
2005 1.0284
2006 1.0334
2007 1.0326
2008 1.0294
2009 1.0219
2010 1.0092
2011 1.0096
2012 1.0210
2013 1.0184
2014 1.0150
2015 1.0164
2016 1.0100
2017 1.0131
2018 1.0180
2019 1.0226
2020 1.0175
2021 1.0121
2022 1.0414

How to calculate

Multiply your closure-cost estimate by the inflation factors for the years affecting your project using the table above. Estimates on financial assurance documents must cover at least the final total for those years.

For example, if a closure-cost estimate was $25,000 in 2009, multiply that by 1.0219 (the inflation factor for 2009) to get $25,548. For 2010, you would then multiply $25,548 by 1.0092 (the inflation factor for 2010) to get $25,783.

To calculate inflation for other years, please contact us.