---
title: "SWP Calculator: Systematic Withdrawal Plan | RupeeCase"
description: "SWP calculator: how long a corpus lasts with a monthly withdrawal and a yearly step up, the balance after N years, and the highest withdrawal that lasts."
source_url: "https://www.rupeecase.com/learn/tools/swp-calculator"
---

How long the money lasts**23 years 2 months**278 withdrawals paid in full, then a last ₹11,732
Balance after 20 years**₹47.4 L**after the withdrawals
Total withdrawn in 20 years**₹1.98 Cr**
Highest monthly withdrawal that lasts 20 years**₹55,656**to start with, rising 5% a year
Withdrawal rate in year one**6.00%**₹6,00,000 in the first 12 months
Monthly withdrawal in year 20**₹1,26,348**after 19 step ups
Balance after 20 years at the Dynamic Asset Allocator model CAGR**₹1,412.81 Cr**Dynamic Asset Allocator, model, back tested CAGR 45.18% as of 27 Apr 2026. Not a promise of future returns.

* Balance
* Withdrawn so far
* Dynamic Asset Allocator, model

Withdrawals at the start of each month, raised 5% once a year; the balance earns 0.643% a month (8.0% a year). Tax is not deducted.
      Share this resultReset

  01How it works

## In plain words.
A systematic withdrawal plan (SWP) sells a fixed amount from an investment every month. Here the withdrawal comes out at the start of each month and what is left earns the monthly rate. With a step up the withdrawal rises once a year. When a withdrawal is larger than what is left, it takes the rest and the money has run out. The reverse works backwards: the highest first withdrawal whose payments, each discounted at the monthly rate, add up to exactly the corpus over the years you choose.

    The formula

`i = (1 + r)^(1/12) - 1, the monthly rate from a yearly return r``Withdrawal in month k = W x (1 + step)^floor(k / 12), taken at the start of the month (k = 0, 1, 2 ...)``Balance after month k = (balance - withdrawal) x (1 + i)``Highest W that lasts n months = corpus / sum of (1 + step)^floor(k / 12) / (1 + i)^k, k = 0 to n - 1`

  02Worked example

## The default numbers, by hand.
Rs 1 crore at 8% a year with Rs 50,000 a month, rising 5% a year: the monthly rate is 1.08^(1/12) - 1 = 0.643%, and the first year takes Rs 6 lakh, 6% of the corpus. After 20 years about Rs 47.4 lakh is left and about Rs 1.98 crore has been withdrawn; the money lasts 23 years 2 months. The highest withdrawal that lasts exactly 20 years, rising 5% a year, starts at about Rs 55,700 a month. Without the step up, Rs 50,000 is less than the monthly return on Rs 1 crore after the withdrawal (about Rs 64,000), so the corpus does not run out.

| Input | Value |
| --- | --- |
| Corpus at the start | ₹1,00,00,000 |
| Monthly withdrawal | ₹50,000 |
| Yearly step up of the withdrawal | 5% |
| Expected return a year | 8% |
| Years to check | 20 years |

| Result | Value |
| --- | --- |
| How long the money lasts | 23 years 2 months |
| Balance after 20 years | ₹47.4 L |
| Total withdrawn in 20 years | ₹1.98 Cr |
| Highest monthly withdrawal that lasts 20 years | ₹55,656 |
| Withdrawal rate in year one | 6.00% |
| Monthly withdrawal in year 20 | ₹1,26,348 |
| Balance after 20 years at the Dynamic Asset Allocator model CAGR | ₹1,412.81 Cr |

  03Key concepts

## What to know before you use it.

### Withdrawal rate
The first year’s withdrawals as a share of the corpus. Research on US data (Bengen 1994; the Trinity study, 1998) found that about 4% a year, raised with inflation, lasted 30 years in most historical periods for a mix of stocks and bonds. It is a US result and a rule of thumb, not a promise; the card shows your rate so it can be compared.

### Sequence of returns
A constant return is a simplification. With returns that vary, a fall in the first years of withdrawals hurts more than the same fall later, because units are sold low to pay each withdrawal. Two plans with the same average return can last very different lengths of time.

### Step up
Expenses usually rise with inflation, so a flat withdrawal buys less each year. A step up keeps the withdrawal closer to expenses, and the corpus runs down faster. A step up equal to an inflation assumption shows a withdrawal that holds its value.

### Good to know

* The retirement calculator works out the corpus a set of expenses needs; this calculator starts from a corpus you already have.
* Each withdrawal from a mutual fund is a sale of units, and the gain part of it can be taxed as a capital gain; this calculator does not deduct tax.
* A lower return, for example for a debt heavy mix, shows how much of the result depends on the return.

  04Assumptions

## What the calculator assumes.

* One constant return; withdrawals at the start of each month, raised once a year by the step up.
* Money left after each withdrawal earns the monthly rate i = (1 + r)^(1/12) - 1; "lasts" counts the withdrawals paid in full, up to 100 years.
* Tax, exit load and expense ratio are not deducted; the capital gains tax calculator covers the tax on equity gains. The default 8% is an assumption for illustration, not a forecast.

    Sources, checked 12 Oct 2026

1. [Cooley, Hubbard and Walz (Trinity University), Retirement Savings: Choosing a Withdrawal Rate That Is Sustainable, AAII Journal, February 1998](https://www.aaii.com/files/pdf/6794_retirement-savings-choosing-a-withdrawal-rate-that-is-sustainable.pdf)
2. [William Bengen, Determining Withdrawal Rates Using Historical Data, Journal of Financial Planning, October 1994](https://www.financialplanningassociation.org/sites/default/files/2021-04/MAR04%20Determining%20Withdrawal%20Rates%20Using%20Historical%20Data.pdf)

  05Questions

## Asked about the SWP calculator.
What is an SWP?A systematic withdrawal plan sells units of a fund for a fixed amount at a fixed interval, usually monthly, and pays the money to your bank account. It turns a corpus into a regular income while the rest stays invested.

How long will my money last with an SWP?It depends on the withdrawal, the step up and the return. Rs 1 crore at 8% a year with Rs 50,000 a month, rising 5% a year, lasts 23 years 2 months here; without the step up the return covers the withdrawal and the corpus does not run out.

How is the maximum SWP amount calculated?It is the first withdrawal whose payments, each discounted back at the monthly rate, add up to the corpus over the chosen number of months. With a step up the later payments are larger, so the first one is smaller.

Is SWP income taxed?Each withdrawal is a sale of units, so the gain part of it is a capital gain, taxed by the type of fund and how long the units were held. This calculator does not deduct tax.

How does the SWP calculator work?Enter the corpus, the monthly withdrawal, an optional yearly step up and a return. The SWP calculator shows the balance over time and the month it runs out, if it does.

    Explore next

## Learn the idea behind the numbers.

* [GuideHow to invest for your child's education: the cost, the monthly amount and the glide pathThe future cost, the monthly amount at different returns, and the glide path out of equity.](/guides/child-education-investing)
* [Blog noteThe flat SIP shrinksPersonal finance and tax, a short note](/blog/2026-07-30-morning-flat-sip-shrinks/)
* [Blog noteReal vs nominal: the three numbers in a returnReturns and risk maths, a short note](/blog/2026-07-01-evening-real-vs-nominal-return/)

      Community

## Join my WhatsApp group.

      Scan the code, fillFill one short form, and join my WhatsApp group. Slides, sources, factsheets and the rebalance logs live there, and members join a daily Google Meet with me.

        [Sign up for RupeeCase](https://invest.rupeecase.com/signup)
        [Join the WhatsApp group](https://forms.gle/C6HMtM1Z2GfeocQV7)

      [One form, one group](https://forms.gle/C6HMtM1Z2GfeocQV7)Scan with your phone camera

06Keep going

## Learn the idea, see it applied.

  [Module 7.3Inflation: Types, Measurement, and Investment Impact11 min read, Path 07](/learn/path-7/module-7-3-inflation-types-measurement-investment-impact)[Module 6.7Bonds and Fixed Income in India8 min read, Path 06](/learn/path-6/module-6-7-bonds-fixed-income-india)[Module 4.5Risk Management for Systematic Portfolios11 min read, Path 04](/learn/path-4/module-4-5-risk-management)[The matching indexDynamic Asset AllocatorOne fixed equity core, two regime switches. The machine decides how much risk to carry.CAGR45.2%Sharpe2.32Max DD−10.6%Model, back tested, as of 27 Apr 2026. Not client returns, not a promise. Risk band: Moderately High.](/strategies/dynamic-asset-allocator)

  Related calculators

[Retirement planner](/learn/tools/retirement-calculator)[FIRE calculator](/learn/tools/fire-calculator)[LTCG and STCG on equity](/learn/tools/capital-gains-tax-calculator)[Goal planner](/learn/tools/goal-planner)[All 28 calculators](/learn/tools)

  Education only, not investment advice. RupeeCase (QC Alpha Technologies Pvt Ltd) is not a fund, a PMS or a SEBI registered investment adviser. Model returns are back tested, not a promise; figures carry the date checked.