Calculators · Planning

SWP calculator

Use this SWP calculator to plan a systematic withdrawal plan from a mutual fund. Enter your corpus, the monthly withdrawal and an expected return to see how long the money lasts and whether the withdrawals are sustainable.

WorthOS Technologies Pvt. Ltd.  SEBI Registered Investment Adviser  ·  INA000022695  ·  These calculators are for educational purposes only and do not constitute investment advice. Assumptions can change; actual returns may vary.

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Educational tools built on standard formulas. Every figure below is illustrative, computed from the inputs you enter — not a projection, recommendation or guarantee.

SIP Calculator

The future value of a monthly SIP over your chosen horizon, assuming a constant expected rate of return. Instalments are treated as invested at the start of each month.

Your inputs

Future value —
Total invested
—
Wealth gained
—
Absolute return
—
Instalments paid
—
Invested Wealth gained

Mandatory disclaimerThis calculator uses an assumed constant return rate for illustration. Actual mutual fund returns vary with market conditions and are not guaranteed. Past performance is not indicative of future results.

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Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, enlistment with BSE, and certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

The method

How the SWP calculator works

Each period the corpus earns the expected return for that period, then the withdrawal is taken out. The calculator repeats this until the corpus runs out, or for up to 50 years.

Corpus(next) = Corpus × (1 + r / periods per year) − withdrawal

The key comparison is your annual withdrawal rate against the expected return. If you withdraw a larger share of the corpus each year than it earns, the corpus will eventually deplete.

Worked example (the calculator's default inputs)

Starting corpus
₹50,00,000
Monthly withdrawal
₹40,000
Expected return
8% a year
Annual withdrawal rate
9.60% of corpus
Corpus lasts
22 years 6 months

Withdrawing ₹30,000 a month instead keeps the annual withdrawal rate at 7.2%, below the 8% return, so the corpus does not run out within 50 years.

The essentials

What is a systematic withdrawal plan (SWP)?

How SWP in mutual funds works

A systematic withdrawal plan redeems a fixed amount from a mutual fund at regular intervals, usually monthly, while the remaining units stay invested. It is commonly used for a regular income in retirement. Each withdrawal sells units at that day's NAV, so the number of units falls over time while the rest of the corpus keeps earning.

How long will the corpus last?

It depends mainly on the withdrawal rate. In the example above, ₹40,000 a month from ₹50 lakh is 9.6% of the corpus a year, above the 8% return, so the money lasts about 22 and a half years. Bring the withdrawal below what the corpus earns and it can last indefinitely on these assumptions.

SWP vs FD interest

FD interest is fixed and fully taxable at your slab each year. SWP income is market-linked, and only the gain portion of each redemption is taxed as capital gains. The FD calculator shows what a deposit keeps after tax, and the retirement calculator sizes the corpus an SWP will draw from.

Common questions

SWP Calculator: frequently asked questions

Still have questions? Contact us
What is SWP in mutual funds?
An SWP (systematic withdrawal plan) redeems a fixed amount from a mutual fund at regular intervals, usually monthly, while the remaining units stay invested. It is commonly used for a regular income in retirement.
How long will my corpus last with an SWP?
It depends mainly on your withdrawal rate compared with the return. Withdraw less each year than the corpus earns and it can last indefinitely. Withdraw more and it depletes, faster the larger the gap.
What is a safe SWP withdrawal rate?
There is no single safe figure. On this calculator's logic, withdrawals that stay below the expected return keep the corpus intact, while higher withdrawals draw it down. Returns are not guaranteed, so test a lower return as well.
How are SWP withdrawals taxed?
Each withdrawal redeems units, so only the gain portion of each redemption is taxed, at capital gains rates that depend on the fund type and holding period. This calculator does not model tax.
Is SWP better than FD interest for regular income?
They work differently. FD interest is fixed and fully taxable each year, while SWP income depends on market returns and only the gain portion is taxed. Which suits you depends on how much variability you can accept.
Reviewed by Tanish Sadh, Principal OfficerWorthOS Technologies Private Limited · SEBI RIA INA000022695 · Last reviewed
SEBI disclaimerInvestment in securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, enlistment with BSE, and certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

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