SWP, also called a systematic withdrawal plan, is a financial strategy where investors withdraw a fixed amount regularly from their investments.
SWP Calculator
Total Investment (₹)
Amount you wish to invest today for your SWP
Please enter an amount between 500,000 and 10,000,000 rupees.
Withdrawal amount per month (₹)
Amount you wish to withdraw every month. Higher the amount, lower the number of months for your SWP. / No. of months for which you wish to withdraw a fixed amount. Higher the number of months, lower the monthly withdrawal amount
Please enter an amount between 10,000 and 1,00,000 rupees.
Expected Returns (%)
Returns expected on your investment
Please enter value between 1 to 30.
Tenure (In years)
Please enter Tenure between 1 and 25.
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Total Investment
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Total Withdrawal
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What is SWP Calculator?
A systematic withdrawal plan (SWP) is a method of withdrawing your investments periodically and strategically, so you do not exhaust your entire corpus in one go. In this type of withdrawal, you take away only a part of the corpus for yourself, allowing the rest to continue earning interest. This way, your capital grows even as you withdraw funds.
How Can an SWP Calculator Assist You?
An SWP calculator can help you understand how much of your corpus remains and how much is withdrawn in a systematic withdrawal plan. By using it, you can obtain more clarity about the remaining capital and withdrawn amount after each period. This is crucial for investment planning, budgeting, and retirement planning.
Example of a Systematic Withdrawal Plan
To help illustrate how a systematic withdrawal plan works, let's discuss an example:
Month
Opening Balance (Rs.)
Withdrawal (Rs.)
Interest Earned (Rs.)
Closing Balance (Rs.)
1
1,00,000
5,000
791.67
95,791.67
2
95,791.67
5,000
756.60
91,548.26
3
91,548.26
5,000
721.24
87,269.50
4
87,269.50
5,000
685.58
82,955.08
5
82,955.08
5,000
649.63
78,604.70
6
78,604.70
5,000
613.37
74,218.08
7
74,218.08
5,000
576.82
69,794.89
8
69,794.89
5,000
539.96
65,334.85
9
65,334.85
5,000
502.79
60,837.64
10
60,837.64
5,000
465.31
56,302.96
11
56,302.96
5,000
427.52
51,730.48
12
51,730.48
5,000
389.42
47,119.90
Note: The example uses simple interest for ease of understanding. Some investments may offer compound interest, leading to varying monthly returns.
How to Use the Research 360 SWP Calculator?
The Research 360 SWP calculator is user-friendly. To use this tool, follow these steps:
Step 1:Enter the total investment amount in rupees.
Step 2: Enter the amount you wish to withdraw per month.
Step 3: Enter the expected rate of return per annum from the investment.
Step 4: Submit the SWP period in years.
After entering these values, the calculator computes the final investment value, helping you plan your withdrawals effectively.
Advantages of Using the Research 360 SWP Calculator
Customisable Scenarios: Adjust inputs like investment amount, expected returns, and period to explore various withdrawal strategies.
Long-Term Planning: The calculator provides a clear picture of how your investment evolves over time, enabling informed decision-making.
Effective Retirement Planning: Especially useful for retirees, helping ensure sustainable withdrawals and consistent income throughout retirement.
Strategy Comparison: Compare different investment options and adjust the withdrawal period as per your financial goals.
SWP Calculator FAQs
While beneficial, SWPs may have limitations like tax implications, increased exit loads, higher transaction costs, and possibly lower returns compared to full investment during good market performance.
The final value is the remaining balance after a specified period of withdrawals. It includes initial investment, withdrawal amounts, expected returns, and the duration.
An SWP enables regular income, disciplined investment, flexible withdrawals, and potential extension of corpus lifespan with continued growth of remaining funds.
There is no universal maximum limit. It depends on your investment and fund policies. It is recommended to set a sustainable withdrawal rate that does not deplete your corpus quickly.
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Amount you wish to invest today for your SWP
