SWP Calculator - Systematic Withdrawal Plan

What is an SWP Calculator?

SWP stands for Systematic Withdrawal Plan. You invest a lump sum in a mutual fund and withdraw a fixed amount every month. The money you have not withdrawn stays invested and keeps earning returns. An SWP is the opposite of a SIP: a SIP builds a corpus, while an SWP uses a corpus to create regular income, for example after retirement.

This free SWP calculator shows your total withdrawal, the corpus left at the end, and how long your money will last. It also gives a year-wise table.

Example

You invest ₹10,00,000 and withdraw ₹10,000 per month for 20 years, assuming a return of 12% per year.

The corpus stays the same because 12% per year is 1% per month, and 1% of ₹10,00,000 is exactly ₹10,000, which is your withdrawal. In real markets, returns are not constant every year, so actual results will differ.

How This Calculator Works

The monthly return rate is the annual return divided by 12. For every month, the calculator applies:

Balance = Previous Balance × (1 + Monthly Rate) − Monthly Withdrawal

The withdrawal is taken at the end of each month. Total Profit = Total Withdrawal + Final Corpus − Total Invested. If the balance falls to zero before the selected period, your corpus has finished.

Assumptions

• The return stays constant every year.
• The withdrawal amount stays fixed. It does not increase with inflation.
• Tax, exit load and expense ratio are not included.

How Long Will Your Corpus Last?

₹10,00,000 corpus, ₹10,000 withdrawal per month

₹1 crore corpus, ₹50,000 withdrawal per month, 30 years (total withdrawal ₹1.8 crore)

Break-even return

Your corpus does not shrink if your yearly withdrawal is less than or equal to the yearly return on it. Break-even return = (Monthly withdrawal × 12 ÷ Corpus) × 100. For ₹1 crore and ₹50,000 per month, that is 6%. Below 6% the corpus declines, and above 6% it grows.

Do not forget inflation

This calculator uses a fixed withdrawal. If expenses rise 6% every year, ₹50,000 today will need about ₹2.87 lakh per month after 30 years. Use our Inflation Calculator to plan for this.

How to Use the SWP Calculator

1. Enter your total investment (corpus), for example ₹10,00,000.
2. Enter the monthly amount you want to withdraw.
3. Enter the expected annual return, or pick a preset: 8%, 10%, 12% or 15%.
4. Enter the time period in years.
5. Click Calculate SWP.
6. Check the total withdrawal, final corpus, total profit and the year-wise table. Use Copy Result or Download Report to save it.

If the corpus reaches zero before the selected years, your money will finish early. Reduce the withdrawal or increase the corpus.

Tax on SWP

Every SWP withdrawal is a redemption of mutual fund units, and only the gain part of the units sold is taxed, not the full amount. For example, if you withdraw ₹10,000 and the units sold had cost you ₹7,000, the taxable gain is ₹3,000.

Tax rules can change. Please check the latest rules or consult a tax professional.

Why Use the WebToolsKit SWP Calculator?

• No signup, no mobile number and no email needed.
• Runs in your browser. Your numbers are never sent to a server.
• Year-wise table of withdrawn amount and remaining balance.
• Amounts shown in Indian format (₹ lakh and crore).
• Works on mobile and desktop.

Planning your corpus first? Use our SIP Calculator to see how much you can build, then use this SWP calculator to see how much you can withdraw from it. You can also try the PPF Calculator.

Frequently Asked Questions

What is SWP in a mutual fund?

A Systematic Withdrawal Plan lets you withdraw a fixed amount from your mutual fund investment every month. The remaining units stay invested. For example, you can invest ₹20 lakh and withdraw ₹15,000 every month.

How is SWP different from SIP?

A SIP invests a fixed amount every month to build a corpus. An SWP does the opposite: you already have a corpus and withdraw from it every month.

How long will my money last in an SWP?

It depends on your corpus, monthly withdrawal and return. If your monthly withdrawal is less than or equal to the monthly return on your corpus, the corpus does not shrink. For example, ₹10 lakh at 12% earns ₹10,000 per month, so a ₹10,000 withdrawal leaves it unchanged. If the withdrawal is higher, the corpus finishes after some years.

Is SWP tax free?

No. Only the gain part of each withdrawal is taxed. For equity funds held for more than 12 months, gains above ₹1.25 lakh per year are taxed at 12.5%. Debt funds bought on or after 1 April 2023 are taxed as per your slab.

Is SWP better than FD for regular income?

They work differently. An FD gives fixed, pre-decided interest, which is taxed at your slab rate. An SWP depends on market returns, which are not guaranteed and can be lower than expected, but only the gain part of each withdrawal is taxed. The right choice depends on your risk appetite and time horizon.

Are the results of this calculator guaranteed?

No. The calculator assumes a constant return. Actual market returns change every year, so real results will differ.

Can I increase my withdrawal every year?

This calculator uses a fixed monthly withdrawal. To understand how rising expenses affect your plan, check our Inflation Calculator.