Complete Guide to SWP Calculators (2024)

What is a Systematic Withdrawal Plan (SWP)?

A Systematic Withdrawal Plan (SWP) is a strategic mutual fund withdrawal method that allows investors to regularly withdraw fixed amounts from their investments while keeping the remaining corpus invested. Our SWP calculator helps you:

• • Calculate sustainable withdrawal amounts
• • Project long-term corpus growth
• • Compare different withdrawal frequencies
• • Plan tax-efficient retirement income

SWP vs Fixed Deposit: Key Differences

Factor	SWP	Fixed Deposit
Returns	Market-linked (8-15%)	Fixed (6-8%)
Tax Efficiency	LTCG tax after ₹1 lakh	Full interest taxed
Liquidity	Flexible withdrawals	Fixed tenure

Tax Implications of SWP

Understanding SWP taxation is crucial for effective planning:

• • Equity Funds: 10% LTCG tax over ₹1 lakh gains
• • Debt Funds: Slab rate after indexation
• • STCG: 15% for equity (if held <1yr)

SWP Strategy Tips

• • Maintain 2-3 years of expenses in liquid funds
• • Rebalance portfolio annually
• • Use debt funds for stable returns
• • Consider inflation-adjusted withdrawals

FAQs