Financial Calculators
SWP Calculator
Turn your corpus into a monthly income - and see exactly how long it lasts.
Your income in year one. It rises with inflation from there.
At this rate, your corpus lasts
12 years 3 months
Reduce the withdrawal or corpus needs topping up
- Starting corpus
- ₹50,00,000
- Total withdrawn
- ₹83,16,449₹56,89,603 in today’s money
- Monthly withdrawal in year 13
- ₹80,488buys ₹40,000 in today’s money
- Corpus remaining
- ₹0₹0 in today’s money
Estimates assume a constant rate of return and a constant rate of inflation, for illustration only. Mutual fund investments are subject to market risks; read all scheme related documents carefully.
These figures are for illustrative purposes only and are not investment advice. Please consult your investment adviser for investment related advice.
Income after service, done properly
After retirement, the question changes from “how do I grow this?” to “how do I draw from this without running out?” An SWP answers it with discipline: a fixed monthly withdrawal lands in your bank account like a salary, while the rest of the corpus stays invested and keeps earning. The balance between the three - withdrawal rate, return and inflation - decides whether your money outlasts your retirement. This calculator shows you that balance honestly, including the exact month a plan would run dry if the withdrawal is too aggressive.
How the calculator works
It simulates your plan month by month: the corpus earns one month of return, then the withdrawal is taken at the end of the month. No shortcuts or approximations - if the corpus depletes, you see the precise month it happens.
Inflation is built into that simulation in two separate places, because it works on you in two separate ways. First, the withdrawal itself steps up once every 12 months, so your income holds its purchasing power rather than its rupee value - the single assumption most retirement income plans get wrong. Second, every figure is also reported in today’s money, discounted at the same rate, so a large closing balance cannot flatter a plan that has quietly been eroded. Both are optional: set inflation to zero, or untick the step-up, and the calculator behaves exactly as a plain nominal one.
What inflation does to an SWP
Worked example: a corpus of ₹50,00,000 earning 8% with a fixed ₹40,000 monthly withdrawal sustains a full 20 years - ₹96,00,000 withdrawn in total, with about ₹10,73,197 still remaining. It looks comfortable. But at 6% inflation that final ₹40,000 instalment buys roughly ₹13,221 of today’s groceries, and the ₹10.7 lakh left over is worth about ₹3.3 lakh. The plan did not survive twenty years; the number did.
Now hold the income constant in real terms instead. Step the same ₹40,000 up by 6% a year, so it reaches about ₹80,488 a month by the end, and the corpus runs dry in 12 years and 3 months - after ₹83,16,449 withdrawn. To make an inflation-protected income last the full 20 years on this corpus, the starting withdrawal has to come down to around ₹25,000 a month, which still rises to ₹75,640 by year 20 and leaves about ₹13.6 lakh at the end. That gap, between ₹40,000 and ₹25,000, is the entire cost of taking inflation seriously - and it is far cheaper to discover it now than in year twelve.
Frequently asked questions
What is a Systematic Withdrawal Plan (SWP)?
An SWP is the mirror image of a SIP: instead of investing a fixed amount monthly, you withdraw a fixed amount monthly from an invested corpus. The balance stays invested and keeps earning, making it a popular way to draw regular income in retirement.
How long will my corpus last?
It depends on the balance between your withdrawal rate, your return and inflation. A ₹50 lakh corpus earning 8% supports a flat ₹40,000 monthly withdrawal for a full 20 years, with about ₹10.7 lakh left over. But hold that income steady in real terms - raising it 6% a year with the cost of living - and the same corpus runs dry in 12 years and 3 months. The calculator shows you the exact month either way.
Why does the calculator raise my withdrawal every year?
Because your expenses will. A ₹40,000 monthly withdrawal held flat for 20 years buys about ₹13,200 of today's groceries by the end - a two-thirds pay cut, taken quietly. Ticking the inflation step-up keeps your standard of living constant instead of the rupee figure, which is what a retirement income plan is actually for. You can untick it to model a fixed instalment, and the calculator will show you what that instalment erodes to.
What does “in today's money” mean?
It is the same rupee figure discounted back at your inflation rate, so you can judge it against prices you know. ₹10.7 lakh left after 20 years sounds comfortable; at 6% inflation it is worth about ₹3.3 lakh in today's terms. Both numbers are shown side by side so neither can flatter the plan on its own.
What inflation rate should I use?
Six per cent is a reasonable long-run default for Indian household expenses and is what the calculator starts with. Medical costs typically run higher, so retirees with significant healthcare exposure often stress-test at 8% or more. Try a few rates: a plan that only works at low inflation is not a plan.
Is SWP better than a fixed deposit for monthly income?
They serve different needs. FD interest is fixed and fully taxable at your slab rate, while SWP withdrawals from mutual funds are treated as capital gains, which can be more tax-efficient - and the remaining corpus can keep growing. Many retirees use both; the right mix depends on your income needs and tax situation.
Who should use an SWP?
Anyone converting a corpus into income: retired officers deploying pension commutation, gratuity or DSOP proceeds, or anyone who wants a regular income stream while staying invested. It pairs naturally with the Senior Citizen Schemes we help families structure.
Are the projections guaranteed?
No. The calculator assumes a constant return and fixed withdrawals, for illustration. Actual returns vary with markets, and a poor early sequence of returns can shorten how long a corpus lasts. Mutual fund investments are subject to market risks; read all scheme related documents carefully.
Design your retirement income.
We combine SWPs with Senior Citizen Schemes to build dependable, tax-aware income plans.