SWP Calculator
Systematic Withdrawal Plan calculator. See how long your corpus lasts with monthly withdrawals.
| Year | Starting Balance | Withdrawals | Est. Returns | Ending Balance |
|---|---|---|---|---|
| 1 | ₹50,00,000 | ₹3,60,000 | ₹4,01,500 | ₹50,41,500 |
| 2 | ₹50,41,500 | ₹3,60,000 | ₹4,04,944 | ₹50,86,444 |
| 3 | ₹50,86,444 | ₹3,60,000 | ₹4,08,675 | ₹51,35,119 |
| 4 | ₹51,35,119 | ₹3,60,000 | ₹4,12,715 | ₹51,87,833 |
| 5 | ₹51,87,833 | ₹3,60,000 | ₹4,17,090 | ₹52,44,923 |
| 6 | ₹52,44,923 | ₹3,60,000 | ₹4,21,828 | ₹53,06,751 |
| 7 | ₹53,06,751 | ₹3,60,000 | ₹4,26,960 | ₹53,73,711 |
| 8 | ₹53,73,711 | ₹3,60,000 | ₹4,32,518 | ₹54,46,229 |
| 9 | ₹54,46,229 | ₹3,60,000 | ₹4,38,537 | ₹55,24,765 |
| 10 | ₹55,24,765 | ₹3,60,000 | ₹4,45,055 | ₹56,09,820 |
| 11 | ₹56,09,820 | ₹3,60,000 | ₹4,52,115 | ₹57,01,935 |
| 12 | ₹57,01,935 | ₹3,60,000 | ₹4,59,760 | ₹58,01,695 |
| 13 | ₹58,01,695 | ₹3,60,000 | ₹4,68,040 | ₹59,09,735 |
| 14 | ₹59,09,735 | ₹3,60,000 | ₹4,77,007 | ₹60,26,742 |
| 15 | ₹60,26,742 | ₹3,60,000 | ₹4,86,719 | ₹61,53,461 |
| 16 | ₹61,53,461 | ₹3,60,000 | ₹4,97,236 | ₹62,90,697 |
| 17 | ₹62,90,697 | ₹3,60,000 | ₹5,08,627 | ₹64,39,324 |
| 18 | ₹64,39,324 | ₹3,60,000 | ₹5,20,963 | ₹66,00,287 |
| 19 | ₹66,00,287 | ₹3,60,000 | ₹5,34,323 | ₹67,74,610 |
| 20 | ₹67,74,610 | ₹3,60,000 | ₹5,48,791 | ₹69,63,401 |
Total Investment
₹50,00,000
Total Withdrawn
₹72,00,000
Final Balance
₹69,63,401
How the SWP Calculator works
Reviewed by Dinesh Babu · Last updated July 2026
A Systematic Withdrawal Plan (SWP) lets you withdraw a fixed amount from your mutual-fund corpus at regular intervals while the remaining balance stays invested and can keep growing. This calculator shows how long your corpus lasts and how the balance moves over time.
SWP is popular for retirement income and for anyone wanting a predictable monthly cash flow from a lump sum. The central relationship is simple: if your withdrawals exceed the returns the corpus earns, the balance shrinks and will eventually run out; if returns exceed withdrawals, the corpus can actually keep growing even as you draw from it.
Returns are market-linked and not guaranteed, so a plan that looks sustainable at an assumed 8 percent could deplete faster in a weak market. Build in a margin of safety.
How the balance evolves each period
New balance = (Previous balance × (1 + i)) − withdrawal
i = periodic return. Repeat until the balance reaches zero or your horizon ends.
SWP as a retirement income tool
Rather than handing your corpus to an annuity for a fixed pension, an SWP keeps the money invested and under your control while paying you a chosen amount. You can raise, lower, or pause withdrawals as your needs change.
The trade-off is that you carry the market risk yourself. A run of poor early years while you are withdrawing, sometimes called sequence-of-returns risk, can shorten how long the corpus lasts even if long-term average returns look fine.
Making the money last
- Keep withdrawals below your expected returns so the capital is not eroded.
- Hold a buffer in safer assets so you are not forced to sell equity during a market fall.
- Review the plan periodically and trim withdrawals in weak years to protect the corpus.
A sustainable withdrawal
On a ₹1 crore corpus earning 8 percent, the monthly return is about ₹66,667. Withdrawing ₹50,000 a month stays comfortably below that, so the corpus not only lasts but slowly grows, giving you income without eroding capital.
An aggressive withdrawal
From a ₹50 lakh corpus at 8 percent, the monthly return is about ₹33,333. Withdrawing ₹50,000 a month exceeds it, so the corpus is drawn down and lasts only about 14 years before running out. The gap between drawing more or less than your returns decides everything.
Common mistakes to avoid
- Withdrawing more than the corpus earns and being surprised when it depletes early.
- Assuming a steady 8 percent every year, when real returns are lumpy and some years are negative.
- Ignoring that withdrawals are partial redemptions and can trigger capital-gains tax.
- Keeping the whole corpus in equity, so a downturn forces selling units at low prices.
- Never revisiting the withdrawal amount as inflation raises your real expenses.
Frequently asked questions
What is an SWP?+
A Systematic Withdrawal Plan is an arrangement to withdraw a fixed sum from your mutual-fund investment at regular intervals, giving you a steady cash flow while the rest of the money stays invested and continues to earn returns.
How is SWP taxed?+
Each withdrawal is treated as a partial redemption, so only the gains portion of that redemption is taxed as capital gains, based on the fund type and how long those units were held. This is often more tax-efficient than fully taxable interest income.
How much can I safely withdraw?+
A practical guideline is to keep annual withdrawals below your expected returns so the corpus is preserved. On a ₹1 crore corpus earning 8 percent, drawing under about ₹66,000 a month keeps the capital intact. This calculator lets you test different amounts.
Will my corpus ever run out?+
Only if your withdrawals consistently exceed the returns the corpus earns. If returns comfortably exceed withdrawals, the balance can even grow over time. A weak market period, however, can deplete a corpus faster than an assumed average suggests.
Is SWP better than an annuity for retirement?+
An SWP keeps your money invested, flexible, and potentially growing, whereas an annuity locks it in for a fixed pension. The trade-off is that you bear the market risk yourself, so many retirees use a mix of both for stability and growth.
Can I change my SWP amount later?+
Yes. You can increase, decrease, or pause withdrawals whenever you like. Reducing withdrawals during weak market years is a common way to protect the corpus and make it last longer.