SWP Calculator - Systematic Withdrawal Plan Calculator

Looking to generate regular income from your mutual fund investments? A Systematic Withdrawal Plan (SWP) lets you withdraw a fixed amount at regular intervals while your remaining investment continues to grow. Our SWP Calculator helps you estimate how long your funds will last or how much you can withdraw, based on your investment amount, frequency, and expected returns. It’s a smart way to plan steady cash flow—especially post-retirement or during financial transitions.

What Is SWP Calculator?

The SWP Calculator helps you plan regular monthly withdrawals from your mutual fund investments while showing the remaining value of your investment over time. It’s an effective tool for estimating how long your money will last and what kind of steady income you can expect—making it especially useful for retirement planning. With an SWP, you can create a predictable cash flow without redeeming your entire investment at once.

How Does SWP Calculator Work?

The Systematic Withdrawal Plan (SWP) Calculator helps estimate regular cash flows from your mutual fund investment. It uses the formula:

A = PMT × [(1 + r/n)^(nt) – 1] / (r/n)

Where,

• A = Future value of the investment
• PMT = Withdrawal amount per period
• r = Expected annual rate of return
• n = Number of compounding periods per year
• t = Investment period in years

Example Of SWP Calculator

Let us understand the working of SWP calculator with an example. Consider the following scenario: 

• Initial Investment: ₹1,20,000
• Monthly Withdrawal (PMT): ₹10,000
• Withdrawal Tenure: 12 months (1 year)
• Expected Annual Return (r): 7% or 0.07
• Compounding Frequency (n): 12 (monthly)

Each month, the interest is calculated on the remaining balance, and the withdrawal is deducted.

Month 1:

Opening Balance: ₹1,20,000
Interest (7% annually / 12 months): ₹700 (approx)
Total before withdrawal: ₹1,20,700
Withdrawal: ₹10,000
Closing Balance: ₹1,10,700

Month 2:

Opening Balance: ₹1,10,700
Interest: ₹645.75 (approx)
Total before withdrawal: ₹1,11,345.75
Withdrawal: ₹10,000
Closing Balance: ₹1,01,345.75

…and so on, until the end of 12 months.

By the end of the tenure, the SWP Calculator provides a clear summary of your investment performance. It displays the total amount withdrawn over the selected period, the remaining corpus (if any) left in the mutual fund, and the total interest earned during the withdrawal phase. This helps investors assess how effectively their investment has supported regular cash flows while continuing to grow.

You have a future value of Rs 4,026 as shown in the table.