SWP Calculator
Calculate Systematic Withdrawal Plan duration and required investment for regular income
Calculate Your SWP
Total amount you have invested in mutual funds
Amount you want to withdraw regularly
How often you want to withdraw money
Expected annual return from your mutual fund
SWP Results
Example SWP Calculation
Retirement Planning Example
Initial Investment: ₹50,00,000
Monthly Withdrawal: ₹25,000
Expected Return: 8% per annum
Fund Type: Balanced Mutual Fund
Results
SWP Duration: ~22 years and 9 months
Total Withdrawal: ₹68,25,000
Total Returns: ₹18,25,000
Number of Withdrawals: 273
Types of SWP
Fixed Amount SWP
Withdraw a fixed amount regularly
Fixed Units SWP
Withdraw fixed number of units
Capital Appreciation SWP
Withdraw only capital gains
SWP Benefits
Regular cash flow for expenses
Potential for capital appreciation
Tax-efficient withdrawal strategy
Flexible withdrawal options
Better than fixed deposits for long-term
Understanding Systematic Withdrawal Plan (SWP)
What is SWP?
A Systematic Withdrawal Plan (SWP) is a facility offered by mutual fund companies that allows investors to withdraw a fixed amount periodically from their mutual fund investments. It's essentially the opposite of a SIP (Systematic Investment Plan).
How does SWP work?
In SWP, you redeem a specific number of units from your mutual fund investment at regular intervals to get the desired cash flow. The number of units redeemed depends on the withdrawal amount and the current NAV (Net Asset Value) of the fund.
Who should use SWP?
- •Retirees looking for regular income
- •Investors needing regular cash flow
- •Parents planning for child's education
- •Anyone wanting disciplined withdrawal strategy
SWP vs Traditional Options
| Feature | SWP | FD |
|---|---|---|
| Returns | 8-12%* | 6-7% |
| Tax Efficiency | Better | Lower |
| Inflation Beat | Yes | Difficult |
| Risk | Moderate | Low |
*Returns are indicative and subject to market risks
Tax Implications
- Equity Funds: 15% tax on gains <1 year, 10% on gains >1 year
- Debt Funds: As per tax slab <3 years, 20% with indexation >3 years
- No TDS: Unlike bank deposits, no TDS is deducted
- FIFO Method: First In First Out method used for tax calculation