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SWP Calculator

Find Out Exactly How Much You Can Withdraw Every Month — Without Running Out of Money.

₹10,00,000
₹10,000
10%
120 months
Total Withdrawn₹12,00,000
Final Portfolio Value₹6,58,592
Total₹18,58,592

Final Value

₹6,58,592

Total

₹18,58,592

Withdrawn

₹12,00,000

Balance

₹6,58,592

Mutual Fund Planning

What Is a Systematic Withdrawal Plan (SWP)?

You've spent years building a corpus. Now it's time for that corpus to work for you. A Systematic Withdrawal Plan (SWP) lets you withdraw a fixed amount from your mutual fund at regular intervals — monthly, quarterly, or annually — while the remaining balance stays invested and keeps earning returns.

Unlike a full redemption, SWP gives you a structured income stream without liquidating your investment all at once. It's the financial equivalent of a salary — except it comes from your own savings.

How Does an SWP Work?

You start with a lump sum investment in a mutual fund. You then set the withdrawal amount and frequency. Each period, the specified amount is redeemed and credited to your bank account — while the remaining corpus continues growing based on the fund's performance.

The key dynamic: if your portfolio's rate of return is higher than your withdrawal rate, your corpus can actually grow over time even as you withdraw. If withdrawals exceed returns, the corpus gradually reduces. The SWP calculator shows you exactly how this plays out month by month.

SWP vs SIP — What's the Difference?

SIP

You invest a fixed amount regularly to build a corpus — the wealth-building phase.

SWP

You withdraw a fixed amount regularly from an existing corpus — the income-generating phase.

SIP builds wealth. SWP converts it into income.

The Math Behind It

How the SWP Calculation Works

Each month, your remaining balance earns a return — and then your fixed withdrawal is deducted. This is the core formula:

Balancemonth = Balanceprev × (1 + r) − Withdrawal

r

Monthly Return Rate

Annual return ÷ 12

W

Withdrawal Amount

Fixed amount redeemed each month

B

Remaining Balance

Corpus after return and withdrawal

Worked Example

₹50,000 invested · ₹1,000/month withdrawal · 10% annual return

Month 1

₹49,042

Month 2

₹48,085

Month 3

₹47,130

After 12 months: ₹12,000 total withdrawn — and the remaining balance of approximately ₹43,214 continues earning returns if the SWP is extended.

Step-by-Step

How to Use the SWP Calculator

1

Enter Lump Sum

Your total initial investment amount.

2

Set Withdrawal

The fixed amount you want each month.

3

Expected Return

Annual return rate from your fund.

4

Choose Tenure

How many months to run the SWP.

5

View Results

See total withdrawn, final corpus, and month-by-month breakdown.

Why Use It

Benefits of the SWP Calculator

Accurate Month-by-Month Projections

See exactly how your corpus changes with each withdrawal — no guesswork, no manual maths.

Plan a Reliable Monthly Income

Know in advance how much you can withdraw and for how long before your corpus runs out.

Visualise Corpus Depletion Rate

Understand the pace at which your investment reduces — and adjust your withdrawal accordingly.

Test Multiple Scenarios Instantly

Change withdrawal amounts, tenures, or return rates to find the plan that fits your lifestyle.

Who Benefits Most from SWP?

  • Retirees who want a fixed monthly income without depleting their entire corpus at once
  • Investors who received a lump sum and want to convert it into structured monthly income
  • Senior citizens supplementing pension income with mutual fund withdrawals
  • Anyone balancing income needs today with investment growth for tomorrow

Safe Withdrawal Rate — A Useful Rule

A widely used guideline is to keep annual withdrawals within 4%–6% of your total corpus. This gives your remaining investment a realistic chance to sustain withdrawals over the long term without depleting the principal too quickly. Use the calculator to test whether your planned withdrawal sits within this range.

Turn Your Corpus Into a Steady Income Stream

SWP is one of the most flexible and tax-efficient ways to generate regular income from your investments. Use the calculator to find the withdrawal amount that fits your lifestyle, stress-test your plan across different return scenarios, and retire with the confidence that your money will last as long as you need it to.

Frequently Asked Questions

What is an SWP calculator?

An SWP (Systematic Withdrawal Plan) calculator helps you estimate how much you can withdraw regularly from a mutual fund investment while showing the remaining corpus balance over time. Enter your total investment, expected return rate, withdrawal amount, and tenure — and get a clear picture of how long your money will last.

What is a Systematic Withdrawal Plan (SWP)?

A Systematic Withdrawal Plan is a mutual fund feature that lets you withdraw a fixed amount at regular intervals — monthly, quarterly, or annually — directly from your invested corpus. It works like a salary from your own savings, making it especially useful for retirees and anyone who needs a predictable income stream without liquidating their entire investment at once.

How is SWP different from SIP?

SIP (Systematic Investment Plan) is about putting money in — you invest a fixed amount regularly to build a corpus over time. SWP is the opposite — you take money out regularly from an existing corpus. SIP is for the wealth-building phase; SWP is for the income-generating phase.

Who should use a Systematic Withdrawal Plan?

SWP is most commonly used by retirees who want a regular monthly income without withdrawing everything at once. It's also useful for anyone who has received a lump sum — from a property sale, inheritance, or maturity payout — and wants to convert it into a structured monthly income while keeping the remaining amount invested and growing.

Does making regular withdrawals affect my investment growth?

Yes, each withdrawal reduces your invested corpus, which in turn reduces the base on which future returns are earned. However, if your portfolio's rate of return is higher than your withdrawal rate, the corpus can still grow over time. The SWP calculator shows you exactly how your balance changes month by month based on the numbers you enter.

Are SWP returns guaranteed?

No. SWP is a feature of mutual funds, which are market-linked instruments. The returns on your remaining corpus depend on market performance and are not guaranteed. The calculator provides projections based on an expected rate of return that you enter — treat these as planning estimates, not fixed outcomes.

How do I choose the right monthly withdrawal amount?

A general rule of thumb is to keep your annual withdrawal below 4%–6% of your total corpus — often called the 'safe withdrawal rate'. This gives your investment a reasonable chance to sustain withdrawals over a long period without depleting the principal too quickly. Use the calculator to test different withdrawal amounts and see how each one affects your corpus over 10, 15, or 20 years.

Can I change or stop my SWP at any time?

Yes. Most mutual funds allow you to modify the withdrawal amount, change the frequency, pause, or stop your SWP entirely at any time without penalties. This flexibility makes it a much more practical income option compared to fixed deposits or annuities, where your money is often locked in.

Is SWP tax-efficient?

SWP can be more tax-efficient than interest income from fixed deposits. In equity mutual funds, withdrawals after one year are treated as long-term capital gains (LTCG), currently taxed at 12.5% above ₹1.25 lakh per year. In debt funds, gains are added to your income and taxed at your slab rate. Always consult a tax advisor for personalised guidance based on your situation.