SWP Calculator
Plan regular withdrawals and see how long your investment corpus could last.
Open for rising withdrawals, payment timing, a terminal balance and return-order stress.
Remaining corpus through your withdrawals
No withdrawal shortfall within the selected period under these assumptions. Actual returns can vary.
View chart data
See how withdrawals use both returns and your original capital
A systematic withdrawal plan takes money out of an investment at regular intervals. The withdrawal amount is not the same as investment income: payments may also consume the starting capital. This calculator tracks the amount requested, the amount actually available, any unpaid portion and the remaining portfolio. Its default return is an illustration, not a fund forecast.
Worked example
With Rs 1,20,000, a Rs 10,000 monthly withdrawal, no increases and zero return, 12 payments are fully funded. The balance then reaches zero and month 13 is the first unpaid withdrawal in a two-year plan. If you begin with only Rs 5,000, the first Rs 10,000 request receives Rs 5,000 and records the remainder as unmet.
Formula and calculation method
Monthly return = (1 + annual return)^(1/12) - 1; beginning-month balance = (opening balance - actual withdrawal) x (1 + monthly return)For beginning-month timing, a withdrawal is made before growth; for end-month timing it is made after growth. Each actual payment is capped at available assets and the balance cannot fall below zero. The initial monthly request increases after each completed block of 12 months. The first shortfall is the first month whose request is not fully paid, ignoring sub-paisa numerical noise. Calculations are unrounded internally; displays round to rupees and the CSV retains two decimal places.
Interpretation and limitations
The withdrawal-budget view discounts each payment and an optional terminal balance to the start. The ending-balance target is stated in final-year money, not current purchasing power. Return-order stress uses one selected annual stress return and the base return in every other year, then reverses the sequence. Both sequences have the same no-withdrawal compound return, but may fund different amounts when withdrawals occur. No tax, exit load, NAV-unit rounding or business-day adjustment is automatically applied.
Reference: Vanguard: retirement risks, withdrawals and market volatility.
SWP Calculator: Frequently Asked Questions
What is a systematic withdrawal plan calculator?
An SWP calculator projects regular withdrawals from an invested corpus and tracks the remaining balance. It helps compare withdrawal amount, tenure and assumed return without treating the withdrawal itself as guaranteed interest.
How long will Rs 10 lakh last with monthly withdrawals?
It depends on the withdrawal amount, return, timing and increases. At zero return with no increases, Rs 10 lakh can fund 100 monthly payments of Rs 10,000. Positive or negative returns change that timeline.
What is the difference between SIP and SWP?
A SIP adds money to an investment at intervals; an SWP takes money out. They serve different cash-flow needs. During withdrawals, poor early returns can have a lasting effect because assets are sold to fund spending.
Can an SWP preserve my original investment?
It is possible under some modeled return and withdrawal assumptions, but it is not guaranteed. If withdrawals exceed available growth, or markets fall, the plan can consume principal and eventually run out.
Are SWP withdrawals shown after tax?
No. Tax and exit loads are not automatically deducted. A withdrawal can contain both invested capital and gains; treating the entire withdrawal as either tax-free or taxable interest would be misleading.
More questions (5)
Why do early market losses matter for an SWP?
Withdrawals during a downturn reduce the assets left to participate in a recovery. Two return sequences with the same no-withdrawal compound growth can produce different outcomes once regular withdrawals are added.
Is SWP interest or a guaranteed pension?
No. A mutual-fund SWP generally redeems units, so distributions can include invested capital. Market losses or withdrawals above growth can exhaust the portfolio. The calculator does not guarantee any income.
Can withdrawals rise with inflation?
Enter an annual withdrawal increase. For example, 5% changes a Rs 10,000 monthly request to Rs 10,500 starting in month 13. This is an annual step-up, not a monthly increase.
What does the modeled monthly budget mean?
It is the initial payment that mathematically funds the selected term and terminal balance under one constant return assumption. It is not a safe-withdrawal recommendation and has no assigned probability of success.
What if the corpus runs out exactly at the end?
The final payment can be fully funded even if the final balance is zero. The tool reports an unpaid month only when a requested payment cannot be met within the modeled term.