SWP calculator
An SWP (systematic withdrawal plan) takes a fixed amount out of a mutual fund every month, often as an income in retirement. What is left keeps earning the fund's return.
How long a sum lasts when you withdraw a fixed amount from it every month
- Sum invested
- ₹10,00,000
- Withdrawn in all
- ₹9,60,000
The money lasts the whole period.
Left at each year end
What if
₹2,000 more a month
₹3,90,180
₹3,65,892 lower
A return 2% lower
₹5,08,362
₹2,47,710 lower
10 more years
₹2,14,639
₹5,41,433 lower
How it is worked out
Each month the balance earns a twelfth of the yearly rate, then the withdrawal is taken. When the balance cannot pay a full withdrawal, it pays what is left and the plan ends.
Tax on the gains in each withdrawal is not taken off.
An SWP is a SIP run the other way: a SIP puts a fixed amount into a fund each month, an SWP takes a fixed amount out of money already in one.
The largest funds' NAV and returns
By average assets over the latest quarter. Each fund's page has its NAV history and what a monthly SIP in it became.Every fund
- SBI Nifty 50 ETF NAV₹2,12,777 Cr
- Parag Parikh Flexi Cap Fund NAV₹1,47,064 Cr
- SBI BSE Sensex ETF NAV₹1,21,079 Cr
- HDFC Flexi Cap Fund NAV₹1,10,925 Cr
- HDFC Balanced Advantage Fund NAV₹1,06,770 Cr
- HDFC Mid Cap Fund NAV₹1,05,346 Cr
- SBI Liquid Fund NAV₹92,629 Cr
- SBI Aggressive Hybrid Fund NAV₹87,765 Cr
- ICICI Prudential Multi Asset Allocation Fund NAV₹86,744 Cr
- Nippon India Small Cap Fund NAV₹80,841 Cr
About SWP calculator
The SWP calculator works out how long a lump sum in a mutual fund lasts when a fixed amount is withdrawn from it every month, and how much is left at the end. A systematic withdrawal plan (SWP) is an instruction to a fund house to redeem units for that amount on a set date each month.
How the calculation runs
Inputs are the sum invested (₹10,000 to ₹10,00,00,000), the withdrawal a month (₹500 to ₹5,00,000), the expected return a year (1% to 20%) and the period (1 to 40 years). It shows the amount left, the total withdrawn, a yearly balance chart and whether the money lasts the whole period.
Each month the balance first earns one-twelfth of the yearly return, then the withdrawal is taken: new balance = old balance × (1 + yearly rate ÷ 12) − withdrawal. If the balance cannot cover a full withdrawal, the plan pays out what remains and ends there.
A worked example
Take ₹10,00,000 invested at 8% a year with ₹8,000 withdrawn each month for 10 years. The total withdrawn is ₹9,60,000 (8,000 × 120 months), and the formula above, repeated 120 times, leaves ₹7,56,072.
The page also shows three what-if changes: ₹2,000 more withdrawn a month, a return 2% lower, and a period 10 years longer.
What the calculator assumes
The return is one fixed rate for the whole period. A real fund's NAV (the price of one unit) rises and falls, and the order of high and low years changes how long money lasts, which a fixed rate cannot show. The withdrawal never rises with inflation. Exit loads are not modelled.
Tax on withdrawals
Each SWP withdrawal is a redemption, and only the gain inside it is taxed, not the part that returns the original cost. Units sold are counted oldest first. For equity funds, gains on units held up to 12 months are taxed at 20%, and gains on units held longer at 12.5% above ₹1.25 lakh of long-term gains in a financial year. Gains on debt fund units bought on or after 1 Apr 2023 are taxed at the income tax slab rate. The calculator deducts no tax.
SWP and IDCW payouts
An SWP redeems units at the NAV on each date, so the number of units falls with every withdrawal. An IDCW (income distribution cum capital withdrawal) option instead pays out amounts the fund house declares, with no fixed amount. IDCW payouts are taxed as income at the slab rate.