Why plan SIP and SWP together
Most calculators answer half the question. A SIP calculator tells you the corpus; an SWP calculator tells you how long a corpus lasts. This one connects them, so you can see whether today’s SIP really funds the income you want later.
Worked example
₹10,000 a month for 20 years at 12% builds about ₹99.91 lakh. Moved to funds earning 8%, that corpus can pay about ₹77,116 a month for 25 years before it runs out.
How to use it
- Fill in the investing stage: SIP, return, years, and any starting amount or step-up.
- Tick “Wait before withdrawing” if there is a gap, for example between stopping work and needing income.
- Fill in the withdrawing stage: monthly withdrawal, how many years, and the return you expect then.
- Check the highest safe withdrawal, then adjust your SIP until the plan holds.
How it is calculated
Investing months add the SIP at the start of the month, then grow. Waiting months only grow. Withdrawing months grow, then pay out the withdrawal. The safe withdrawal is found by solving for the amount that brings the balance to exactly zero at the end of the withdrawal years.
Frequently asked questions
What is a SIP + SWP plan?
You invest monthly through a SIP while you earn, then withdraw monthly through an SWP from the same money when you need income, often in retirement.
Why use a lower return for the withdrawal stage?
People usually shift to steadier funds once they depend on the income, which tends to mean lower but more stable returns.
How do I find the SIP I need for a monthly income?
Set the withdrawal you want, then raise the SIP until the insight says the plan holds. You can also use the Goal SIP calculator with the corpus shown here.
Can I add a gap between investing and withdrawing?
Yes. Tick “Wait before withdrawing”. The money keeps growing during the gap with nothing added or taken out.