What is a Systematic Withdrawal Plan (SWP)?

An SWP allows you to withdraw a fixed amount from your mutual fund investments at regular intervals. It's often used to generate a regular income stream, especially during retirement, while the remaining balance continues to grow.

How is SWP different from SIP?

While SIP is used for investing money regularly (wealth creation), SWP is used for withdrawing money regularly (income generation). SIP adds to your corpus, whereas SWP draws from it.

What is the 4% Rule in SWP?

The 4% Rule suggests that if you withdraw 4% of your initial retirement portfolio annually (adjusted for inflation), your money has a high probability of lasting 30 years. Our calculator tracks your SWR (Safe Withdrawal Rate) to help you stay within safe limits.

Are SWP withdrawals taxable?

Yes, withdrawals from equity mutual funds are subject to Long Term Capital Gains (LTCG) tax (currently 12.5% for gains above 1.25L per year). Our calculator can estimate these taxes using the FIFO method.

Back to Calculators

SWP CALCULATOR

The ultimate retirement planning tool. Calculate systematic withdrawals, track portfolio longevity, and optimize for taxes and inflation.

SWP Parameters

Configure your systematic withdrawal plan

Total Corpus₹50,00,000

Withdrawal / monthly₹30,000

Expected Return (p.a)10%

Duration (Years)20 Yrs

Advanced & Tax

Expense Ratio (p.a)1%

Net Expected Return: 9.00%

Market Scenario

Inflation Adjusted

Increase withdrawal with inflation

Yearly Step-up

Fixed % increase every year

Calculate Tax (LTCG)

Estimate post-tax corpus

Aggressive Withdrawal Rate

Your initial withdrawal rate is 7.2%. Financial experts typically recommend the "4% Rule" for long-term sustainability. You risk depleting your corpus early.

Total Withdrawn₹72,00,000

Total Growth₹1,22,09,152

Final Balance₹1,00,09,152

SWR (Safe Withdrawal)7.20%

Regular Income

Plan your monthly or quarterly payouts to maintain your lifestyle after retirement.

Inflation Adjusted

Automatically increase your withdrawals every year to keep up with rising costs.

Tax Optimization

Estimate your net in-hand income after accounting for LTCG taxes and exemptions.

Survival Analysis

Identify exactly when your corpus might run out based on your withdrawal rate.

FAQ

Common questions about SWP and retirement planning.