Mutual Fund Compare

SWP calculator

Written and reviewed by Omm · Last reviewed · General information, not investment advice

A Systematic Withdrawal Plan (SWP) takes a fixed amount out of a mutual fund every month. Enter your corpus, the monthly withdrawal and an expected return to see how long the money lasts.

Between 10000 and 1000000000

Between 500 and 10000000

%

Between 1 and 30

years

Between 1 and 40

Total withdrawn

₹72,00,000

Balance at the end

₹69,63,401

Money lasts

the full 20 years

Year 1Year 20
ValueInvested
Year-by-year breakdown
YearWithdrawn in yearBalance
1₹3,60,000₹50,41,500
2₹3,60,000₹50,86,444
3₹3,60,000₹51,35,119
4₹3,60,000₹51,87,833
5₹3,60,000₹52,44,923
6₹3,60,000₹53,06,751
7₹3,60,000₹53,73,711
8₹3,60,000₹54,46,229
9₹3,60,000₹55,24,765
10₹3,60,000₹56,09,820
11₹3,60,000₹57,01,935
12₹3,60,000₹58,01,695
13₹3,60,000₹59,09,735
14₹3,60,000₹60,26,742
15₹3,60,000₹61,53,461
16₹3,60,000₹62,90,697
17₹3,60,000₹64,39,324
18₹3,60,000₹66,00,287
19₹3,60,000₹67,74,610
20₹3,60,000₹69,63,401

How it works

Each month: balance = balance × (1 + i), then withdraw the monthly amount; i = yearly return ÷ 12

The balance first grows for the month at the yearly return divided by 12, and then the withdrawal is taken at the end of the month. If the balance cannot cover a full withdrawal, the remaining amount is paid out and the plan ends.

A withdrawal larger than the monthly growth slowly eats into the corpus. A withdrawal equal to the monthly growth keeps the corpus unchanged.

This calculator does not include tax on the gains in each withdrawal, exit loads or changes in the amount over time.

The expected return is an assumption, not a promise. Equity mutual fund returns change from year to year and can be negative; use the screener to see what specific funds have actually delivered.

Example. Withdrawing ₹30,000 a month from ₹50,00,000 at an assumed 8% a year for 20 years pays out ₹72,00,000 and leaves about ₹69,63,401.

Read the guide: Growth vs IDCW (dividend) option in mutual funds.

Frequently asked questions

What is an SWP?

A Systematic Withdrawal Plan lets you redeem a fixed amount from a mutual fund at regular intervals, for example every month, while the remaining money stays invested.

How long will my money last?

It depends on the corpus, the withdrawal and the return. If the withdrawal is more than the monthly growth, the balance falls. The calculator shows the month in which the money runs out, if it does.

Are withdrawals taxed?

Each withdrawal is a redemption, so the gain portion can be taxed according to the fund type and holding period. This calculator does not model tax. Check the current rules or ask a tax professional.

What return should I assume?

Use a cautious number. If actual returns are lower than assumed, the corpus will run out sooner than the calculator shows.

Can I raise the withdrawal every year for inflation?

This calculator keeps the withdrawal the same every month. If you plan to raise it each year, start with a lower withdrawal than the one that just lasts, because rising withdrawals use up the money faster. A simple check is to enter a return that is lower by the inflation rate.

What is a safe monthly withdrawal?

No rate is safe in every market. A withdrawal well below what the money is expected to earn leaves room for bad years and for inflation; a withdrawal equal to or above the expected return will use up the money. Test a lower return to see how much margin you have.

Sources

Rules, rates and definitions on this page come from these official sources. Check the current position there before you decide.

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