Loading…
Loading…
Loading…
Model a Systematic Withdrawal Plan: withdraw a fixed amount every month from an invested lump sum and see whether the corpus grows, shrinks, or runs out — and exactly when.
Last updated 5 September 2026
Total withdrawn
₹54,00,000
Final corpus value
₹60,84,253
Corpus lasted
Full 15 years
The amount already invested, e.g. in a mutual fund.
The fixed amount you plan to withdraw each month for expenses or income.
See the total withdrawn, the final corpus value, and — if the withdrawal rate is too high — exactly which month the corpus would run out.
Each month: balance = (balance − withdrawal) × (1 + monthly return)
Withdrawals are modelled at the start of each month, with growth applied to what remains for the rest of the month.
At ₹30,000 a month (≈ 7.2% of the initial corpus annually) against an 8% expected return, the corpus's growth outpaces the withdrawals, so it not only lasts the full period but ends up larger than it started.
A ₹1 crore corpus withdrawing ₹1,50,000 a month (18% annually) will deplete quickly no matter how large it started, because the withdrawal rate far exceeds any realistic return. The relationship between your monthly withdrawal and the expected return — not the absolute rupee amount — determines whether the corpus survives.
A commonly cited safe withdrawal guideline is to keep annual withdrawals around 4–6% of the corpus for a multi-decade horizon, adjusted for your specific return expectations and how long you need the money to last.
SWP is a popular way to turn a retirement corpus into a monthly income stream without locking the money into an annuity — you keep the flexibility to change or stop the withdrawal amount and the remaining balance stays invested and potentially growing, unlike most annuity products.
The trade-off is that flexibility comes without a guarantee: if the market underperforms in the early years of a large, sustained withdrawal, the corpus can be depleted faster than a conservative plan assumed. Run a few pessimistic return scenarios here alongside your expected one before relying on SWP as a sole income source.
The corpus shrinks over time and, at a high enough rate, is depleted before your target period ends. This calculator flags exactly which month that happens.
It behaves similarly — regular payouts from an investment — but there is no guarantee: the amount, duration and outcome all depend on actual market returns, unlike an annuity or pension with contractual payouts.
No. Each SWP withdrawal from a mutual fund is technically a partial redemption and may attract capital gains tax depending on the fund type and holding period — use the Capital Gains Calculator alongside this one.
This calculator assumes a fixed monthly withdrawal for simplicity. To model an increasing withdrawal, re-run it in segments with a higher monthly amount for later years.
A more conservative estimate than a pure equity SIP is generally wise — many retirement portfolios blend equity and debt, so 7-9% is a more cautious planning assumption than the 10-12% sometimes used for long-term equity SIPs.
This calculator provides estimates for general information only. Results are mathematical calculations based on the figures you enter and standard formulas. Actual bank, loan, deposit and investment products may differ due to fees, rounding conventions, day-count methods and changing rates and rules. Projected investment returns are not guaranteed and you may get back less than you invest. Nothing here is financial, tax or investment advice — verify the actual terms with the relevant institution or a qualified adviser before making a decision. See our full disclaimer.