SWP Calculator
Plan systematic withdrawals from your investments and see how long your corpus will last.
Plan systematic withdrawals from your investments and see how long your corpus will last.
Increase withdrawals yearly to maintain purchasing power
Max sustainable withdrawal: โน40,958/month
This is the maximum you can withdraw monthly while ensuring your corpus lasts 20 years at 8% returns.
Final Corpus
โน62,34,814
Corpus lasted full period: 240 months
| Year | Opening Balance | Withdrawn | Interest Earned | Closing Balance |
|---|---|---|---|---|
| 1 | โน50,00,000 | โน3,60,000 | โน3,86,983 | โน50,26,983 |
| 2 | โน50,26,983 | โน3,60,000 | โน3,89,142 | โน50,56,125 |
| 3 | โน50,56,125 | โน3,60,000 | โน3,91,473 | โน50,87,599 |
| 4 | โน50,87,599 | โน3,60,000 | โน3,93,991 | โน51,21,590 |
| 5 | โน51,21,590 | โน3,60,000 | โน3,96,711 | โน51,58,301 |
A Systematic Withdrawal Plan (SWP) allows you to withdraw a fixed amount regularly from your mutual fund investments. It's the opposite of a SIPโinstead of investing periodically, you withdraw periodically. SWP is particularly useful for retirees who want a regular income stream while keeping their corpus invested.
When you set up an SWP, the fund house redeems units from your investment each month to provide you with the withdrawal amount. The remaining units continue to stay invested and earn returns. This means your corpus can potentially last longer than if you withdrew the entire amount at once.
Regular Income: Get a predictable monthly income, ideal for meeting regular expenses in retirement.
Tax Efficiency: Only the gains portion of each withdrawal is taxable, not the entire withdrawal amount. This can be more tax-efficient than interest from FDs.
Continued Growth: Your remaining investment continues to earn returns, potentially extending how long your corpus lasts.
Flexibility: You can modify or stop your SWP at any time, unlike fixed-term instruments.
While FD interest provides guaranteed returns, SWP from equity or hybrid funds can potentially offer higher returns over the long term. However, SWP comes with market riskโyour corpus value can fluctuate. Many retirees use a combination of both for income stability.
This calculator simulates your SWP month by month. Each month, your corpus earns returns at the expected rate, and then your withdrawal is deducted. The calculation shows how long your corpus will last and what you'll accumulate over time.
Monthly calculation:
New Balance = (Previous Balance ร (1 + Monthly Rate)) - WithdrawalWhere Monthly Rate = Annual Rate / 12. The process repeats each month until either the time period ends or the corpus is exhausted.