The amount invested when withdrawals begin.
The fixed amount you take out each month.
Your own assumption, not a promised or guaranteed return.
How many years you plan to withdraw.
Quick examples
Withdrawing ₹20,000/month from ₹25,00,000 for 15 years at an assumed 8% annual return.
What each result means
Total withdrawn
What it is: Every monthly withdrawal actually paid out.
Your value: ₹36,00,000
The income the plan delivered.
Balance at the end
What it is: What remains invested after the last withdrawal.
Your value: ₹13,46,539
Zero means the corpus ran out.
Estimated returns earned
What it is: Growth earned along the way: withdrawals + ending balance − starting corpus.
Your value: ₹24,46,539
Returns can stretch a corpus well beyond its face value.
How long it lasts
What it is: The month the corpus runs out, or the full period if it survives.
Your value: Full 15 years
Plan withdrawals so this covers the time you need.
Withdrawal rate
What it is: Yearly withdrawals as a share of the starting corpus.
Your value: 9.6% a year
A rate above your assumed return shrinks the corpus.
Year-by-year breakdown
| Year | Opening balance (₹) | Withdrawn this year (₹) | Returns this year (₹) | Balance at year end (₹) |
|---|---|---|---|---|
| 1 | ₹25,00,000 | ₹2,40,000 | ₹1,98,500 | ₹24,58,500 |
| 2 | ₹24,58,500 | ₹2,40,000 | ₹1,95,056 | ₹24,13,556 |
| 3 | ₹24,13,556 | ₹2,40,000 | ₹1,91,325 | ₹23,64,881 |
How to read this: each row is one year. Returns are added monthly on the remaining balance and each withdrawal is taken at month end. The highlighted row is your final year.
Showing the first 3 of 15 years. Want charts, formulas and the full schedule? Get the detailed PDF.
What this calculator does
A Systematic Withdrawal Plan (SWP) pays you a fixed amount every month from an invested corpus. This calculator grows the remaining balance at your assumed return, compounded monthly, subtracts each withdrawal, and shows how long the money lasts.
What your result means
If the monthly return on the balance is larger than your withdrawal, the corpus can keep growing; if not, it shrinks and may run out. The result is a projection under your assumptions, not a guaranteed income.
Formula
1. Month-by-month balance
Symbols
- Bₖ
- Balance after month k (₹)
- i
- Monthly return = annual return ÷ 12 (decimal)
- W
- Monthly withdrawal (₹)
Why this formula works
Each month the remaining balance earns one month of return, then the withdrawal is paid out.
Unit check
₹ = ₹ × (no unit) − ₹. ✓
Worked example
B₀ = ₹25,00,000, 8% → i ≈ 0.006667, W = ₹20,000: B₁ = 25,00,000 × 1.006667 − 20,000 ≈ ₹24,96,667.
Common mistakes
Using the annual rate every month. Forgetting to stop withdrawals once the balance reaches zero.
2. Closed-form balance after n months
Symbols
- B₀
- Starting corpus (₹)
- n
- Months elapsed
Why this formula works
Repeating the monthly step n times grows the corpus by (1 + i)ⁿ and subtracts the future value of all withdrawals, which is an ordinary annuity.
Unit check
₹ = ₹ − ₹. ✓
Worked example
With the default inputs, after 180 months: 25,00,000 × (1.006667)¹⁸⁰ − 20,000 × [((1.006667)¹⁸⁰ − 1) ÷ 0.006667] ≈ ₹13,46,539.
Common mistakes
Using the annuity-due form here: withdrawals are at month end, so no extra × (1 + i).
The table and result use the month-by-month rule, which stops at zero; the closed form gives the same answer while the balance stays positive.
Working for your numbers
- Monthly return i = 8% ÷ 12 = 0.006667
- Month 1: ₹25,00,000 × 1.006667 − ₹20,000 = ₹24,96,667
- Repeat for 180 months (stopping at zero)
- Total withdrawn = ₹36,00,000
- Ending balance = ₹13,46,539
- Returns earned = ₹36,00,000 + ₹13,46,539 − ₹25,00,000 = ₹24,46,539
Frequently asked questions
What withdrawal keeps the corpus from shrinking?
Roughly, a monthly withdrawal no larger than corpus × i (the monthly return on the balance). Anything above that draws down the principal — under your assumed return, which is not guaranteed.
Is the expected return guaranteed?
No. The return you enter is your own assumption, not a promise. Market-linked returns go up and down, and actual results will differ from this projection.
How often are the figures on this page updated?
The formulas don't change. The FY label and sources are checked on the review date shown below. This calculator does not use tax-specific limits.
When should I talk to a professional instead of relying on this calculator?
Before a real investment decision, especially a large or long-term one, consult a SEBI-registered investment adviser. This calculator is for educational planning only and does not consider taxes, costs or your risk profile.
Symbols and assumptions
- B₀
- Starting corpus (₹)
- W
- Monthly withdrawal (₹)
- r
- Assumed annual return (%)
- i
- Monthly return, r ÷ 12
- Withdrawals are taken at the end of each month; returns are credited monthly.
- A constant annual return — real returns vary and a bad early sequence hurts more.
- Withdrawals stop once the balance reaches zero.
- Does not account for taxes (e.g. capital gains tax), expense ratios, exit loads or inflation.
- Figures are in Indian Rupees (₹).
Sources and review
Reviewed 2026-09-29 · Next review 2027-09-29
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How it works
Systematic Withdrawal Plan allows you to withdraw a fixed amount regularly while the remaining balance continues to grow.
The formula
Remaining = (Corpus - Withdrawal) * (1 + r)- C
- Initial Corpus
- W
- Monthly Withdrawal
Worked example
₹50L corpus, ₹30k monthly withdrawal at 8% return lasts for many years.
Pro tips
- Ideal for generating regular income post-retirement.
Common mistakes
- Withdrawing more than the generated returns (depleting principal too fast).
Go deeper
Related lessons
Concepts to explore
Related guides
Institutional grade calculations are illustrative and for educational wealth architecture. Results do not constitute investment advice.