SWP Calculator Online – Calculate Monthly, Quarterly & Yearly Withdrawals Easily

SWP Calculator — Simulate Withdrawals & Remaining Corpus

Enter corpus, expected return, withdrawal amount and duration. Choose frequency: monthly, quarterly or yearly.

Corpus / Principal (numbers)

Expected annual return (%)

Withdrawal amount (per period)

Duration (years)

Frequency Monthly Quarterly Yearly

Withdrawal per period

—

(monthly)

Total withdrawn

—

Final corpus (remaining)

—

Schedule preview (first rows)

#	Opening	Growth	Withdrawal	Closing

What is an SWP and why use a calculator?

SWP, or Systematic Withdrawal Plan, lets an investor withdraw a fixed amount from a mutual fund at regular intervals. Unlike a fixed deposit that gives fixed interest, SWP offers flexibility and growth potential. You keep your money invested while taking an income. A calculator helps you plan — it shows how much you will withdraw in total and what will remain in your corpus after regular withdrawals.

How this calculator models real life

This tool works period-by-period. If you choose monthly frequency, it divides the year into months, applies a periodic return, then withdraws the amount you entered. It continues for the chosen duration or stops early when the corpus becomes zero. This method closely mirrors mutual fund behavior where returns accumulate and then you redeem units to take money out.

Why frequency matters

Frequency changes how quickly your corpus compounds and how often money leaves. Monthly withdrawals mean more frequent redemptions but smaller period growth. Quarterly and yearly withdrawals give the corpus more time to grow between redemptions. Use the calculator to compare frequency options and choose what best matches your cash flow needs.

Simple example

Suppose you have 22,00,000 invested and expect 12% annual return. You withdraw 16,348 each month for 10 years. The calculator simulates 120 months, adding 1% monthly growth (12%/12) before each withdrawal. You will see total withdrawals and final corpus. If withdrawals are too high, it will show the exact period when the corpus is exhausted — this helps you adjust the plan before you start withdrawing in real life.

Taxes and withdrawals

Each SWP withdrawal includes some principal and some gains. Tax is typically charged only on the gains portion and depends on the fund type and holding period. Equity funds have different tax rules compared to debt funds. Fixed deposits are taxed as regular income, often making SWP more tax-efficient for long-term withdrawals. Always consider post-tax returns when planning withdrawals.

How to choose withdrawal size

A safe withdrawal rate depends on your horizon and risk tolerance. For perpetual income, many financial advisers suggest 4–6% of the corpus per year. For a fixed term like 10 years, you can choose a higher rate because the goal is to exhaust the corpus in that period. Use this calculator to test different withdrawal amounts and pick one that keeps your final corpus at an acceptable level.

Practical tips

• Keep 6–12 months of emergency cash separate to avoid selling investments during market drops.
• Consider hybrid or balanced funds to reduce volatility if you need steady income.
• Review your withdrawal and returns annually and adjust as needed.
• Factor inflation into long-term plans — withdrawing the same amount will buy less over time.

SWP vs FD — short comparison

Fixed deposits (FD) give guaranteed returns and safety, but over long periods their real returns (after tax and inflation) can be low. SWP from equity or hybrid funds carries market risk but can give higher long-term growth and better inflation protection. A common strategy is to keep a portion in safe assets for short-term needs and use SWP from growth funds for long-term income.

Use this calculator to simulate realistic scenarios and choose a withdrawal plan that fits your goals and comfort with risk.

Frequently Asked Questions

1. What happens if my corpus becomes zero early?

The calculator stops and shows the exact period when the corpus is exhausted. To continue income you must reduce withdrawals, add funds, or change frequency.

2. Can I change withdrawal frequency later?

Yes — mutual funds allow changing SWP frequency via the fund house or distributor. Test both options in the calculator to see the effect.

3. Is SWP taxable?

Only the gains part of each withdrawal may be taxable. Tax rules vary by fund type and holding period. Consult a tax advisor for exact details.

4. Does the calculator include taxes?

No. This simulator assumes pre-tax returns. For post-tax planning, reduce expected return or withdrawal to reflect tax impact.

5. Should I prefer monthly or yearly withdrawals?

Monthly gives steady cash flow; yearly allows longer compounding and larger single payouts. Use the calculator to choose what suits your needs.

6. Can SWP be used for retirement?

Yes. SWP is widely used for retirement income. Combine SWP with safe assets to manage volatility and inflation risk.

7. How to choose a safe withdrawal rate?

Start conservatively (4–6% annually for perpetual income). For fixed-term goals, test higher rates using this calculator until you find a plan that suits your needs.

Developed By - Masroor Alam