03 SWP Calculator
Draw an income. Watch the reservoir.
A systematic withdrawal plan pays you a monthly income from an invested corpus. See how long it lasts — and whether it runs dry.
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| Horizon | Corpus balance |
|---|---|
| — | |
How to read this tool What each input changes
An SWP draws a fixed monthly income from an invested corpus. It is a quiet race: returns refill the pot while withdrawals empty it, and the question is which one wins.
- Starting corpus
- The amount you begin with. A larger corpus both lasts longer and leaves more behind at the end.
- Monthly withdrawal
- What you take out each month. Set it too high and withdrawals outpace returns, draining the corpus before the horizon is over.
- Expected annual return
- The yearly growth on whatever is still invested. Higher returns refill the pot faster and push depletion further away.
- Withdrawal period
- How long you draw the income for. A longer horizon needs either a larger corpus or a smaller withdrawal to survive it.
What's a sustainable withdrawal rate?
For a corpus invested 60/40 equity-debt, drawing 4–5% per year typically lasts indefinitely on historical Indian return averages. Higher withdrawal rates risk depleting the corpus before your horizon ends — the chart above shows when, for your specific inputs.
Will my corpus last forever?
Only if your withdrawal rate stays below the corpus's net real return. The chart shows the answer for your specific inputs — if the status flips to "corpus runs dry", you're drawing faster than the corpus can replenish itself.
Are SWP withdrawals taxed?
Yes, but favourably. Each withdrawal is split between principal (untaxed) and gains (taxed at LTCG or STCG depending on holding period). The effective tax rate is usually well below your income-slab rate, which is why SWP often beats interest-paying deposits for tax-conscious retirees.
Can I change the withdrawal amount over time?
Yes — you can edit it any time at your fund house. Many retirees step up the withdrawal annually to keep up with inflation, a useful pattern this single-rate calculator can't model end-to-end, but a TRW partner can plan around.
For illustrative purposes only. Mutual fund investments are subject to market risks. Past returns do not guarantee future performance. This tool does not constitute investment advice.