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What Is SWP?

A Systematic Withdrawal Plan (SWP) is a structured way to withdraw a chosen amount from an investment portfolio at regular intervals. It is often discussed in the context of generating periodic cash flow from an accumulated corpus.

How SWP works

You start with an investment corpus and specify a withdrawal amount and frequency. At each withdrawal date, money is taken from the portfolio according to the plan.

What affects the corpus?

The starting corpus, withdrawal amount, withdrawal frequency, investment return and duration all affect how long the portfolio may last under a given set of assumptions.

Step-up withdrawals

Some plans increase the withdrawal amount over time to account for changing expenses. A calculator can model an annual increase as an assumption.

Example

Suppose a corpus of ₹50 lakh is used to support monthly withdrawals. The outcome will depend on the withdrawal amount, assumed return and length of the withdrawal period.

Important caution

An SWP is not a guarantee of a fixed income. Market returns can vary, and withdrawals during periods of poor performance can affect the remaining corpus.

Use the SWP calculator

Experiment with different corpus sizes, withdrawal amounts, returns and durations using our SWP calculator.

Try the calculator Use your own numbers and assumptions to explore different scenarios. Open Calculator →
This guide is for educational purposes only. Calculator results are estimates based on the inputs and assumptions you provide and should not be treated as guaranteed returns or personalized financial advice.