SWP Calculator (Systematic Withdrawal Plan)
Model a Systematic Withdrawal Plan — how long your corpus lasts, how much you withdraw in total and what balance is left while it keeps earning.
How it works
Each month: balance = balance × (1 + i) − withdrawal, with i = annual return ÷ 12. Withdrawals stop when the balance reaches zero.
A Systematic Withdrawal Plan (SWP) does the reverse of a SIP: you keep a lumpsum invested and draw a fixed amount each month while the remaining balance keeps earning returns. If the return outpaces your withdrawal rate the corpus can last indefinitely and even grow; if withdrawals are too large it depletes, and this tool shows how long it survives. SWPs are popular for generating a regular income in retirement while staying invested.
Worked example
A ₹10,00,000 corpus earning 8%, with a ₹10,000 monthly withdrawal, is not exhausted in 10 years. You draw ₹12,00,000 in total and still have about ₹3.9 lakh left, because the 8% return more than covers the withdrawals over that period.
Frequently asked questions
How is an SWP taxed?
Each withdrawal is treated as a partial redemption, so only the gain portion of that unit sale is taxed as capital gains, not the whole amount. The exact rate depends on the fund type and how long those units were held.
What withdrawal rate is safe?
A withdrawal that stays at or below your expected return keeps the corpus intact. Drawing much more than the return steadily erodes the capital, which is why this calculator flags when the money runs out early.
Can an SWP corpus run out?
Yes. If withdrawals plus poor returns outrun the growth, the balance falls to zero before the plan ends. The result shows the exact point of depletion so you can lower the withdrawal or raise the corpus.
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Educational estimate only, not investment advice. Mutual-fund and market-linked returns are not guaranteed and past performance does not predict the future. Verify current fund details and consult a SEBI-registered adviser.