Building a corpus is one challenge. Knowing how long it will last, and at what withdrawal pace — is a different one entirely. The Bajaj Broking SWP calculator lets you model that second question before you commit to anything. Enter your corpus, your planned monthly withdrawal, and an expected return, and the tool shows you how the balance is likely to behave over time.
Whether you are planning for retirement income, managing expenses post-redemption, or simply trying to understand what a sustainable withdrawal pace looks like, this tool can help you map it out before you act on it.
An SWP calculator is a projection tool, not a return guarantee. You put in a starting corpus, a fixed monthly withdrawal amount, a duration, and an assumed annual return. The calculator works through the math of repeated partial redemptions and compounding, and tells you what the remaining balance looks like at the end.
The core value isn’t the output for one scenario. It’s the ability to test several. If you’re considering an SWP on a ₹50 lakh corpus and wondering whether ₹15,000 a month is sustainable over 12 years at 9% returns, the calculator answers that in under a minute. Change the return assumption to 7% and see what happens. Lower the withdrawal to ₹12,000 and check the remaining balance. That’s the kind of scenario comparison the tool is built for.
The tool is designed to be quick and intuitive. Here's the step-by-step flow:
The Bajaj Broking SWP calculator uses a standard formula for periodic withdrawals from a growing corpus:
A = P × (1 + r)ⁿ – W × [(1 + r)ⁿ – 1] / rWhere: A = Remaining balance at end of tenure | P = Initial corpus | r = Monthly return (annual rate ÷ 12) | n = Total months | W = Monthly withdrawal
The formula accounts for both the compounding on the remaining corpus and the monthly outflow. It assumes a constant return throughout the tenure — which is what makes it a projection, not a forecast. Markets don’t deliver constant returns, so actual outcomes will differ. The value here is in understanding the directional impact of changing your inputs, not in treating the output as a precise prediction.
The example below is illustrative and based on assumed constant returns. Actual outcomes may vary depending on market performance, fund expenses, taxation, and withdrawal timing.
Parameter | Value |
Initial Corpus | ₹15,00,000 |
Monthly Withdrawal | ₹12,000 |
Expected Return (p.a.) | 10% |
SWP Duration | 15 years |
Total Amount Withdrawn | ~₹21,60,000 |
Projected Final Balance | ~₹8,40,000 (indicative) |
What the numbers show: at ₹12,000 per month from a ₹15 lakh corpus growing at an assumed 10% annually, the investor withdraws a total of roughly ₹21.6 lakh over 15 years — and still has approximately ₹8.4 lakh remaining. That’s because the assumed return is partly offsetting the monthly outflows, so the corpus doesn’t reduce at a straight-line pace.
Change the return assumption to 6% with the same withdrawal and duration, and the picture looks different. That’s the exercise worth running before settling on a withdrawal amount.
*Note on projections
The example above uses a constant assumed return. Real fund returns vary year to year. Use the calculator as a planning reference, not a guaranteed forecast. Consider running it at two or three different return assumptions to understand the range of possible outcomes.
A Systematic Withdrawal Plan isn’t just a way to take money out of a mutual fund. For investors in the distribution phase of their financial life — post-retirement, or simply past the accumulation stage — it’s often a more thoughtful structure than redeeming in one go. A few reasons it tends to work well in practice:
The rest stays invested. For a large lump sum, this distinction matters. A full redemption locks in returns at a single point in time and then the money sits outside the market entirely. An SWP keeps most of the corpus compounding while still delivering regular cash flow.
If the fund’s annual return exceeds the effective annual withdrawal rate, the corpus can hold steady or even grow over time. The SWP calculator is the tool for figuring out where that breakeven point is for your specific numbers.
Redeeming everything when markets are down locks in losses. Monthly redemptions spread that exposure across different market levels. It’s not a hedge, but it avoids the concentration risk of a single large exit at a single price.
A fixed withdrawal amount each month makes household cash flow planning straightforward — useful for managing regular expenses, EMIs, or financial commitments without having to think about it each month.
Each SWP withdrawal is a partial sale of units, and only the capital gains portion of each redemption is taxable — not the full amount. For equity funds where units have been held over 12 months, long-term capital gains up to ₹1 lakh annually are currently exempt from tax. This is a general note, not tax advice — your actual liability depends on your holding period, fund type, and overall income. A tax professional can work through the specifics.
The fund type matters as much as the withdrawal amount. A debt fund and a balanced advantage fund both support SWPs, but they behave very differently over a 7-year horizon. The table below gives a broad-brush view of how common fund categories compare for SWP purposes.
Fund Category | Risk Level | Ideal For | Suggested Horizon | Historical Return Range |
Hybrid Fund | Moderate | Retirees / moderate risk | 3–7 years | 9–12% p.a. |
Large Cap Fund | Moderate | Long-term SWP with stability | 5+ years | 10–13% p.a. |
Balanced Advantage | Moderate | Dynamic SWP with risk control | 3–5 years | 9–11% p.a. |
Debt Fund | Low | Short-duration SWP, low risk | 1–3 years | 6–8% p.a. |
Multi Asset Fund | Moderate-High | Diversified SWP strategy | 5+ years | 10–14% p.a. |
Past performance does not indicate future returns. The return ranges above are broad historical references. Fund selection should reflect your own risk tolerance, income requirement, and investment horizon. This is not a fund recommendation.
SIP and SWP are often described as two halves of a single strategy. The SIP is for building a corpus — regular contributions, rupee-cost averaging, compounding over time. The SWP is for drawing it down in a structured way once you get there. They’re designed for different life stages, but the same mutual fund corpus can transition from one to the other.
Parameter | SIP | SWP |
Purpose | Build wealth over time | Generate income from existing wealth |
Cash flow direction | Money goes IN to fund | Money comes OUT from fund |
Phase of investing | Accumulation phase | Distribution / withdrawal phase |
Minimum frequency | Monthly (typically) | Monthly, quarterly, or annually |
Market timing risk | Managed via cost averaging | Spread via scheduled redemptions |
Who it suits | Working professionals, first-time investors | Retirees, investors in income phase |
Tax on each transaction | No; only on redemption | Capital gains tax on each withdrawal |
For investors who’ve run SIPs for a decade or more and are now moving into a phase where they need regular income, switching to an SWP from the same corpus is a natural transition. The tax implications of that switch are worth thinking through in advance — a conversation with a financial advisor before making the change is time well spent.
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You enter four inputs: the corpus you’re starting with, the monthly withdrawal amount you want, the SWP duration in years, and an expected annual return. The calculator applies a compound interest formula adjusted for periodic withdrawals and shows you the projected remaining balance and total amount withdrawn over the period.
No. The retirement use case is the most common, but an SWP works for any investor who wants structured, regular access to a corpus without redeeming it all at once. Some investors use SWPs to fund specific recurring expenses; others use them to gradually exit a position over time while keeping most of the money invested.
No. The corpus is invested in a mutual fund, which is market-linked. Both the return on the remaining corpus and the final balance at the end of the tenure depend on actual fund performance, which can differ from the assumed rate you enter in the calculator.
In most cases, yes. Fund houses and platforms generally allow you to modify SWP instructions — changing the withdrawal amount, adjusting the frequency, or cancelling the plan entirely. Processing timelines and the specific process vary by platform and AMC.
The minimum in the Bajaj Broking SWP calculator is ₹500 per withdrawal. The actual minimum for any specific scheme depends on the AMC and the fund’s offer document.
Each withdrawal is treated as a partial redemption of units. The tax treatment depends on the fund type and how long those units have been held. For equity funds, gains on units held over 12 months are long-term capital gains — currently exempt up to ₹1 lakh annually, with gains above that taxed at 10%. Short-term gains (units held under 12 months) are taxed at 15%. For debt funds, gains are added to your income and taxed at your applicable slab rate. The specifics of your situation — which units are being redeemed, in what order, and at what cost — are best worked through with a tax professional.
The corpus starts depleting faster than it compounds. Over time, the balance falls, and if the withdrawal rate stays high enough relative to returns, the corpus can reach zero before your planned tenure ends. The calculator shows this clearly — it’s one of the most useful things to stress-test before locking in a withdrawal amount.
The calculator is accurate for the inputs you provide, given the assumption of a constant annual return. The gap between the projection and the actual outcome comes from return variability in the real world — fund returns are not constant year to year. Treat the output as a planning range, not a precise figure. Running it at multiple return assumptions gives you a more realistic sense of the possibilities.
It depends on your income requirement and how much volatility you can accept. Hybrid and balanced advantage funds are commonly used because they offer a balance between growth potential and stability. Debt funds are more predictable but offer lower return potential, which affects corpus longevity. Large-cap or multi-asset funds can work for longer SWP horizons where a higher return assumption is reasonable.
An FD pays a fixed interest rate with capital protection. The income is predictable, but it doesn’t keep pace with inflation over time, and the entire interest amount is taxable each year. An SWP from a mutual fund offers potentially higher and inflation-adjusting returns, with more favourable tax treatment on long-term gains — but with market risk attached. Many investors use both: an FD for a reliable income base and an SWP for the growth-oriented portion of their savings.
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