What is an SWP Calculator?
A Systematic Withdrawal Plan (SWP) lets you withdraw a fixed amount from a mutual fund at regular intervals, while the remaining money stays invested.
This calculator shows how much you could withdraw over time, what would remain at the end, and whether your money may run out.
How it helps you
- Plan a regular monthly income from your investments, for example after retirement.
- See the withdrawal amount that keeps your original money intact.
- Check how long your money lasts at a given withdrawal.
How it is calculated
Each month: Balance = Balance × (1 + i) − W
- W
- Monthly withdrawal
- i
- Monthly rate = expected yearly return ÷ 12 ÷ 100
- Balance
- Starts at your investment; withdrawals stop if it reaches zero
Withdrawing no more than Investment × i each month keeps the original amount intact.
You invest ₹25,00,000 and withdraw ₹20,000 a month for 10 years, expecting 8% a year.
- 1Monthly rate i = 8 ÷ 12 ÷ 100 ≈ 0.667%
- 2Total withdrawn = ₹20,000 × 120 = ₹24,00,000
- 3A withdrawal up to ≈ ₹16,667 a month would keep ₹25 lakh intact
Estimated balance after 10 years ≈ ₹18,90,180.
How to use the SWP Calculator
- 1Enter your total investment.
- 2Enter the monthly amount you want to withdraw.
- 3Set the expected return and the time period.
- 4Read the total withdrawn and final value, or the warning if money may run out.
Frequently asked questions
How is SWP different from a dividend (IDCW) option?
An SWP pays a fixed amount on dates you choose. IDCW payouts depend on the fund's declared distributions and are not fixed.
How is an SWP taxed?
Each withdrawal is treated as a redemption. Only the gain portion of each withdrawal is taxable, as per the capital gains rules for that fund type. Exit loads may also apply.
What is a safe withdrawal amount?
Withdrawing less than the expected return keeps your capital intact. Withdrawing more uses up capital, which may be fine if you plan for a fixed period.
Which funds are used for SWP?
It depends on how long you need the income and how much risk you can take. Lower-volatility funds are often used for near-term income.
Are the results guaranteed?
The result is an estimate based on a constant rate. Actual market returns change every year and are not guaranteed.