Finance Suite
SWP Calculator
Calculate your final corpus after making regular withdrawals through a Systematic Withdrawal Plan.
SWP Details
SWP Summary
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Final Balance
Total Investment
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Total Withdrawals
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What is a Systematic Withdrawal Plan (SWP) Calculator?
A Systematic Withdrawal Plan (SWP) Calculator helps you figure out how much money will remain in your mutual fund account after withdrawing a fixed amount periodically over a certain tenure. It is exactly the reverse of a SIP. Instead of investing money regularly, you withdraw money regularly from your existing corpus.
How does the SWP Calculator work?
When you withdraw money monthly, the remaining balance in your mutual fund continues to earn returns based on the expected annual rate. The calculation handles the compound growth of your principal minus the periodic deductions.
Why Should You Use an SWP?
- Regular Income: Ideal for retirees who want a fixed monthly income from their accumulated retirement corpus.
- Capital Appreciation: If the withdrawal amount is less than the expected return, your original investment might actually grow over time!
- Tax Efficiency: SWP in equity mutual funds is considered highly tax-efficient compared to receiving dividends or keeping money in Fixed Deposits.