SWP Calculator
A systematic withdrawal plan turns a corpus into a monthly income stream by redeeming a fixed amount on a schedule while the remaining balance stays invested. This SWP calculator models that drawdown: it withdraws your chosen amount at the start of each month, applies growth to what remains, and reports how long the corpus lasts.
Enter values
Results
- Closing balance
- ₹64,94,059.29
- Total withdrawn
- ₹30,00,000.00
- Gain over the corpus
- ₹44,94,059.29
- Plan status
- Corpus lasts the full 10 years
- Balance left
- Withdrawn so far
How is the SWP calculated?
Enter the corpus you are starting with, the fixed amount you want to withdraw each month, the return expected on the balance still invested and how many years the income must last. Each month the withdrawal leaves first and the remainder compounds at the monthly rate. Alongside the closing balance the results give the total withdrawn, the gain the plan captured, and a status line naming the month the money runs dry if withdrawals outrun growth.
Formula
Each month: balance = (balance − W) × (1 + i) where W = the monthly withdrawal and i = expected annual return ÷ 12 ÷ 100. When a month's balance cannot cover W the investor takes what remains and the plan ends, which the calculator reports as an em dash rather than a false closing balance.
Example
A ₹50,00,000 corpus paying ₹25,000 a month at an expected 8% return does not run out: over ten years you collect ₹30,00,000 in instalments and still close with about ₹64,94,059, so the plan captured ₹44,94,059 of growth on top of your own money. Push a smaller corpus harder — ₹10,00,000 paying ₹15,000 monthly at 6% — and it empties in month 81.
Things to remember
An SWP gives an investable corpus a predictable payout while the unwithdrawn balance keeps participating in growth, which is why retirees favour it over a single redemption. Before starting, confirm that the withdrawal rate sits below the expected return so the plan does not deplete early.
Frequently Asked Questions
What is a SWP in a mutual fund?
A Systematic Withdrawal Plan redeems a fixed amount from your investment on a chosen date — often the first of every month — while the rest of the balance stays invested. It converts a lump of money into predictable income without forcing you to sell the entire holding in one go.
How do I know whether my corpus will last?
Compare the withdrawal rate with the expected return: ₹50,00,000 paying ₹25,000 a month pulls out 6% a year and survives 8% growth, while ₹10,00,000 paying ₹15,000 withdraws 18% and runs dry in month 81 even at 6%. Enter your own figures to find your cut-off month.
Is SWP withdrawal income taxable?
Withdrawals redeem units rather than pay you interest, so tax falls on the gains of the units sold: equity gains beyond a year are taxed at 12.5%, shorter holdings at 20%, and debt fund gains at your slab rate. Gains usually accrue only on the redeemed portion, which keeps the annual bill modest.
SWP or fixed deposit for monthly income?
A deposit promises identical rupees every month but pays interest that is fully taxable at your slab rate, while a SWP keeps the balance participating in market growth and lets you adjust the withdrawal each year. Many retirees blend both: a deposit for certainty, the fund for flexibility.
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