SWP Calculator 2026
Estimate the future value of your investments after making systematic monthly withdrawals.
Last updated: May 2026
Final Balance after 25Y
Total Withdrawn
₹ 0.0 L
Total Interest Earned
₹ 0.0 L
Your corpus is sustainable. At 8% return, your capital is growing faster than your withdrawals.
What is an SWP?
A Systematic Withdrawal Plan (SWP) is the reverse of an SIP. While an SIP helps you accumulate wealth, an SWP allows you to withdraw a fixed amount from your investment at regular intervals (usually monthly).
It is a popular tool for retirees in India to generate a regular 'pension' from their mutual fund or stock market corpus. The primary goal is to ensure that the withdrawal rate is sustainable so that the capital lasts for the entirety of one's retirement.
How to use this calculator
- 1Initial Investment — Enter the total amount you have currently invested or plan to invest (e.g., ₹1 Crore).
- 2Monthly Withdrawal — Input the amount you wish to withdraw every month for your expenses.
- 3Expected Return — Set the annual return rate you expect from your remaining corpus (e.g., 8-10% for balanced funds).
- 4Duration — Select how many years you need the withdrawals to last (e.g., 25-30 years).
Formula & example
Balance = P(1+r)^n - [W((1+r)^n - 1) / r]
Example: ₹50 Lakhs Corpus, ₹40,000 Withdrawal, 8% Return.
- Withdrawal over 20 Years: ₹96 Lakhs
- Remaining Corpus after 20 Years: ~₹24 Lakhs
- Result: This is a sustainable plan as the principal is still intact and growing.
Benefits
Regular Income
Create your own pension plan with full control over the amount and frequency.
Tax Efficiency
In India, SWP is often more tax-efficient than dividends or interest income (using LTCG benefits).
Capital Growth
The money remaining in the account continues to grow and compound over time.
Use cases
Retirees
Managing monthly household expenses from a life-long savings pool.
Early Retirees (FIRE)
Calculating the 4% rule sustainability for digital nomads or early retirees.
Education Fund
Withdrawing yearly or monthly for a child's higher education expenses.
Frequently asked questions
Is SWP tax-free in India?+
No, but only the 'capital gains' portion of the withdrawal is taxed. This usually results in a much lower effective tax rate compared to FD interest.
What is a safe withdrawal rate?+
Globally, the 4% rule is popular. In India, with higher inflation, a 4-5% annual withdrawal rate is generally considered safe for a balanced portfolio.
Can I stop an SWP anytime?+
Yes, SWP is highly flexible. You can increase, decrease, or stop the withdrawals whenever you want.