SWP Calculator – Calculate Systematic Withdrawal Plan Returns Online (India)

SWP Calculator

Calculate your Systematic Withdrawal Plan (SWP) easily with monthly compounding and inflation adjustments.

Inputs

Initial Corpus

Monthly Withdrawal

Expected Annual Return (%)

Tenure (Years)

Results Summary

Total Withdrawn

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Total Interest Earned

—

Ending Balance

—

Plan Duration

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Cash Flow Table

Month	Opening Balance	Interest	Withdrawal	Closing Balance

 

🧾 What Is an SWP (Systematic Withdrawal Plan)?

A Systematic Withdrawal Plan (SWP) is a feature in mutual funds that allows you to withdraw a fixed amount regularly (monthly, quarterly, or annually) from your investment while the rest of your money continues to stay invested and earn returns.

It’s a great option for:

• Retirees looking for monthly income

• Investors wanting to book profits gradually

• Anyone seeking cash flow without redeeming all units

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📊 How the SWP Calculator Works

The SWP Calculator helps you estimate how long your investment will last, how much you can withdraw, or how much you’ll earn in returns over time.

You just need to enter:

1. Total Investment Amount (e.g., ₹10,00,000)

2. Expected Annual Return Rate (% p.a.)

3. Withdrawal Amount per Month (e.g., ₹10,000)

4. Duration (in months/years)

The calculator then uses compound interest formulas to show:

• The final value of your fund after withdrawals

• Total amount withdrawn over time

• Net profit or loss

• Investment longevity (if withdrawal > return rate)

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🧮 How the SWP Calculation Is Done (Step-by-Step)

Let’s break down the math behind SWP —

Formula Used:

$$A = P(1 + r/n)^t - W \times \left(\frac{(1 + r/n)^t - 1}{r/n}\right)$$

Where:

• A = Final amount left after all withdrawals

• P = Initial investment

• r = Annual interest rate (in decimal form)

• n = Compounding frequency (usually monthly = 12)

• t = Total months invested

• W = Monthly withdrawal amount

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Example:

Let’s say:

• Initial investment = ₹10,00,000

• Annual return = 10%

• Monthly withdrawal = ₹10,000

• Duration = 5 years (60 months)

1. Convert annual return to monthly →
   $r = 10/12 = 0.8333\%$ per month = 0.008333 in decimal.

2. Apply the formula month by month or use compound interest logic:

   • Each month, the investment earns interest,

   • Then the withdrawal (W) is deducted.

So after 60 months:

$$A = 10,00,000(1.008333)^{60} - 10,000 × \left(\frac{(1.008333)^{60} - 1}{0.008333}\right)$$ $$A ≈ ₹8,23,800$$

✅ Total Withdrawn: ₹10,000 × 60 = ₹6,00,000
✅ Final Balance: ₹8,23,800
✅ Total Wealth Generated: ₹14,23,800

That means even after withdrawing ₹6 lakh, your balance grew — thanks to compounding.

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📈 Key Benefits of Using an SWP Calculator

✔ Predicts Investment Longevity — Know how long your investment will last.
✔ Estimates Monthly Income — Helps plan regular withdrawals without full redemption.
✔ Tracks Growth Potential — See how compounding impacts returns.
✔ Assists Retirement Planning — Perfect for steady post-retirement income.
✔ Helps Avoid Over-Withdrawal — Prevents depleting your fund too fast.

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💡 Real-Life Use Cases

• Retirement Income Planning: Get ₹20,000/month while funds continue to grow.

• Profit Booking: Gradually withdraw from an equity fund during volatile markets.

• Tax Planning: Avoids lump-sum redemptions and manages capital gains efficiently.

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⚙️ Why This Calculator Matters

The SWP Calculator takes the guesswork out of financial planning.
It gives you a clear picture of:

• How much you can safely withdraw

• What returns to expect

• How long your funds will last

Instead of random withdrawals, you can now plan with data-backed precision.

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💬 Final Thoughts

A Systematic Withdrawal Plan (SWP) is one of the smartest ways to generate steady income while keeping your money working through compounding.

Use the SWP Calculator before starting your plan — it will show you exactly how your monthly withdrawals and returns interact over time.

👉 Try it now and plan your monthly income smartly with our SWP Calculator.