SWP
SWP Calculator
Estimate how a monthly withdrawal plan affects a starting corpus at an assumed return, and whether the money lasts the full period.
What is SWP?
A Systematic Withdrawal Plan takes a fixed amount out of a mutual-fund or similar portfolio on a schedule, usually monthly. It is the inverse habit of a SIP: money leaves the corpus instead of entering it.
How this calculator works
Each month the withdrawal is taken first. Whatever remains then grows at the monthly assumed return. If the withdrawal is larger than the balance, the plan stops.
Taxes, fund expenses and inflation on living costs are not deducted. Use a lower return if you want a more cautious picture.
SWP model
Cₜ = (Cₜ₋₁ − W) × (1 + r)
C is the corpus, W is the monthly withdrawal, and r is the monthly assumed return. The run stops early if the corpus is fully withdrawn.
Frequently asked questions
Does SWP guarantee that my corpus will last?
No. This model uses a constant monthly return. Real markets can fall early in retirement (sequence risk) and exhaust the corpus sooner.
Is the withdrawal increased for inflation?
Not in this version. If you need rising withdrawals, raise the monthly amount or shorten the period and treat the result as conservative.
When does the calculator say the corpus is depleted?
When a monthly withdrawal would take more than the remaining balance. The remaining corpus is then zero and months lasted is less than the period you entered.
Related calculators
- SIP CalculatorEstimate the future value of monthly systematic investments, with an optional annual step-up.
- Retirement CalculatorEstimate a retirement corpus, required monthly investing and any shortfall or surplus.
- Mutual Fund CalculatorMeasure absolute gain and CAGR from the amount invested and the current fund value.
- XIRR CalculatorEstimate the annualised return of a monthly SIP given the ending portfolio value.
Browse the full directory on the calculators page.
Related guides
SmartCalculators provides educational calculators and estimates. Results are for informational purposes only and should not be considered financial, tax, investment, legal or professional advice.