SWP Calculator (Systematic Withdrawal Plan)
A SWP calculator works out how long a lump-sum investment lasts if you withdraw a fixed amount every month, based on the expected annual return.
Last updated 2026-08-14
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quizExample
How this calculator works, with real numbers (no JavaScript needed):
Inputs
- Initial investment
- 5000000
- Monthly withdrawal
- 25000
- Expected annual return
- 8
Results
- How long your money lasts
- 600
- Duration
- 50 years 0 months
- Total withdrawn
- ₹1,50,00,000
- Net income earned
- ₹1,00,00,000
functionsThe formula
A Systematic Withdrawal Plan (SWP) lets you withdraw a fixed amount from a mutual fund investment at regular intervals — commonly monthly. It's popular with retirees who want a regular "salary" from a lump-sum corpus, and with investors planning income from their investments.
How the calculation works
The calculator simulates the corpus month by month:
- Each month the balance earns the expected monthly return.
- Your fixed withdrawal is then deducted.
- This repeats until the balance hits zero.
If your withdrawal is larger than the monthly earnings, the corpus shrinks — eventually to nothing. If it's smaller than the earnings, your money can last indefinitely and even grow.
Worked example
Invest ₹50,00,000 expecting 8% annual returns, withdrawing ₹25,000 per month:
- Monthly return = 8% ÷ 12 ≈ 0.667%
- Balance after month 1 = 50,00,000 × 1.00667 − 25,000 ≈ ₹50,33,333
- The corpus keeps growing for years because ₹25,000 is below the ~₹33,333 monthly earnings, so your money effectively never runs out.
Now try ₹50,000 per month: the corpus declines and runs out in roughly 12 years — the calculator shows you exactly how many months.
A note on returns
SWPs usually run on equity or hybrid funds, so returns vary. This tool uses a flat expected return for simplicity. In practice, volatile returns mean the corpus can last shorter or longer than projected.
helpFrequently asked questions
question_markWhat is an SWP?
A Systematic Withdrawal Plan is a facility that lets you withdraw a fixed amount from your mutual fund investment at regular intervals, such as monthly, providing a regular income.
question_markHow long will my money last with an SWP?
It depends on your corpus, withdrawal amount and returns. If your monthly withdrawal is less than your monthly earnings, the corpus lasts indefinitely; otherwise it runs out eventually. This calculator shows the exact months.
question_markIs SWP good for retirement income?
SWPs are a popular retirement-income tool because they provide regular, flexible payouts while the remaining corpus keeps earning. However, market-linked returns mean income is not guaranteed.