SWP stands for Systematic Withdrawal Plan that allows to invest first a sum of money in mutual fund and withdraw partial Amount on the monthly basis. This will add as monthly income.
Whenever you want invest in swp, you must know the factors that affect your SWP investment.
In this article we will discuss all the aspect of Systematic Withdrawal Plan (SWP) in detail.
What is SWP ( Systematic Withdrawal Plan)?
SWP stands for Systematic Withdrawal Plan that means The Investor will invest large amount of money at first in Mutual Fund and then withdraw small amount of money every month and enjoy the benefits of market growth partially.
SWP Example
Here is SWP Example in simple words that could be easy to understand Systematic Withdrawal Plan :-
Mr Ram invested 10 lakhs at once in perticular Mutual fund and decided to withdraw the monthly 10,000 rupees.
If market grow 12% per year than he will enjoy the market growth and montly income too.
After withdrwal of monthly 10,000 rupees for 10 years, Mr Ram will have still ₹886547.79. (Intresting !)
Again to understand the income and calculation we can use SWP Calculator for this purpose. We have enclosed the pic below SWP calculation using SWP calculator.
Mr Ram will get this kind of Result
| Month | Monthly Withdrawal | Remaining Balance |
|---|---|---|
| 1 | 10000.00 | 999488.79 |
| 2 | 10000.00 | 998972.74 |
| 3 | 10000.00 | 998451.78 |
| 4 | 10000.00 | 997925.88 |
| 5 | 10000.00 | 997394.99 |
| 6 | 10000.00 | 996859.07 |
| 7 | 10000.00 | 996318.06 |
| 8 | 10000.00 | 995771.91 |
| 9 | 10000.00 | 995220.59 |
| 10 | 10000.00 | 994664.03 |
| 11 | 10000.00 | 994102.19 |
| 12 | 10000.00 | 993535.02 |
| 13 | 10000.00 | 992962.47 |
| 14 | 10000.00 | 992384.48 |
| 15 | 10000.00 | 991801.02 |
| 16 | 10000.00 | 991212.01 |
| 17 | 10000.00 | 990617.42 |
| 18 | 10000.00 | 990017.18 |
| 19 | 10000.00 | 989411.25 |
| 20 | 10000.00 | 988799.57 |
| 21 | 10000.00 | 988182.08 |
| 22 | 10000.00 | 987558.73 |
| 23 | 10000.00 | 986929.47 |
| 24 | 10000.00 | 986294.24 |
| 25 | 10000.00 | 985652.99 |
| 26 | 10000.00 | 985005.64 |
| 27 | 10000.00 | 984352.16 |
| 28 | 10000.00 | 983692.47 |
| 29 | 10000.00 | 983026.53 |
| 30 | 10000.00 | 982354.26 |
| 31 | 10000.00 | 981675.62 |
| 32 | 10000.00 | 980990.53 |
| 33 | 10000.00 | 980298.95 |
| 34 | 10000.00 | 979600.80 |
| 35 | 10000.00 | 978896.03 |
| 36 | 10000.00 | 978184.57 |
| 37 | 10000.00 | 977466.37 |
| 38 | 10000.00 | 976741.34 |
| 39 | 10000.00 | 976009.44 |
| 40 | 10000.00 | 975270.59 |
| 41 | 10000.00 | 974524.73 |
| 42 | 10000.00 | 973771.79 |
| 43 | 10000.00 | 973011.71 |
| 44 | 10000.00 | 972244.42 |
| 45 | 10000.00 | 971469.84 |
| 46 | 10000.00 | 970687.92 |
| 47 | 10000.00 | 969898.58 |
| 48 | 10000.00 | 969101.74 |
| 49 | 10000.00 | 968297.35 |
| 50 | 10000.00 | 967485.32 |
| 51 | 10000.00 | 966665.59 |
| 52 | 10000.00 | 965838.08 |
| 53 | 10000.00 | 965002.72 |
| 54 | 10000.00 | 964159.43 |
| 55 | 10000.00 | 963308.14 |
| 56 | 10000.00 | 962448.77 |
| 57 | 10000.00 | 961581.25 |
| 58 | 10000.00 | 960705.49 |
| 59 | 10000.00 | 959821.43 |
| 60 | 10000.00 | 958928.97 |
| 61 | 10000.00 | 958028.05 |
| 62 | 10000.00 | 957118.58 |
| 63 | 10000.00 | 956200.48 |
| 64 | 10000.00 | 955273.67 |
| 65 | 10000.00 | 954338.07 |
| 66 | 10000.00 | 953393.58 |
| 67 | 10000.00 | 952440.14 |
| 68 | 10000.00 | 951477.64 |
| 69 | 10000.00 | 950506.02 |
| 70 | 10000.00 | 949525.17 |
| 71 | 10000.00 | 948535.02 |
| 72 | 10000.00 | 947535.47 |
| 73 | 10000.00 | 946526.44 |
| 74 | 10000.00 | 945507.83 |
| 75 | 10000.00 | 944479.56 |
| 76 | 10000.00 | 943441.53 |
| 77 | 10000.00 | 942393.65 |
| 78 | 10000.00 | 941335.83 |
| 79 | 10000.00 | 940267.97 |
| 80 | 10000.00 | 939189.98 |
| 81 | 10000.00 | 938101.76 |
| 82 | 10000.00 | 937003.21 |
| 83 | 10000.00 | 935894.24 |
| 84 | 10000.00 | 934774.75 |
| 85 | 10000.00 | 933644.63 |
| 86 | 10000.00 | 932503.79 |
| 87 | 10000.00 | 931352.13 |
| 88 | 10000.00 | 930189.54 |
| 89 | 10000.00 | 929015.91 |
| 90 | 10000.00 | 927831.15 |
| 91 | 10000.00 | 926635.15 |
| 92 | 10000.00 | 925427.80 |
| 93 | 10000.00 | 924208.99 |
| 94 | 10000.00 | 922978.62 |
| 95 | 10000.00 | 921736.57 |
| 96 | 10000.00 | 920482.74 |
| 97 | 10000.00 | 919217.01 |
| 98 | 10000.00 | 917939.27 |
| 99 | 10000.00 | 916649.41 |
| 100 | 10000.00 | 915347.30 |
| 101 | 10000.00 | 914032.84 |
| 102 | 10000.00 | 912705.91 |
| 103 | 10000.00 | 911366.39 |
| 104 | 10000.00 | 910014.16 |
| 105 | 10000.00 | 908649.09 |
| 106 | 10000.00 | 907271.08 |
| 107 | 10000.00 | 905879.98 |
| 108 | 10000.00 | 904475.69 |
| 109 | 10000.00 | 903058.07 |
| 110 | 10000.00 | 901627.00 |
| 111 | 10000.00 | 900182.36 |
| 112 | 10000.00 | 898724.00 |
| 113 | 10000.00 | 897251.81 |
| 114 | 10000.00 | 895765.64 |
| 115 | 10000.00 | 894265.38 |
| 116 | 10000.00 | 892750.88 |
| 117 | 10000.00 | 891222.01 |
| 118 | 10000.00 | 889678.63 |
| 119 | 10000.00 | 888120.60 |
| 120 | 10000.00 | 886547.79 |
Summary
Total Profit (Interest Earned): ₹1086547.79
Final Value of Fund: ₹886547.79
How to invest in SWP?
Here is simple steps for how to do SWP ( Systematic Withdrawal Plan ):
- To start SWP( Systematic Withdrawal Plan, you have to buy mutual fund first.
- When mutual fund unit credit in your Follio then you can place request of SWP to you mutual fund AMC.
- While starting SWP, You have give amount that you want to withdraw every month & Date in which you want amount to be credit in you bank account.
Also Read
SIP vs SWP : One Builds Wealth, Other Pays Your Bills in 2026
SWP vs. FD in 2026: Why the New Income Tax Act 2025 Changes Your Monthly Income
Disclaimer : This article is for informational purposes only and does not constitute financial or investment advice. Returns and tax implications may vary based on market conditions and individual circumstances. Please consult a qualified financial advisor before making any investment decisions.
Navnit Kumar (ARN-183463) is an AMFI-Registered MFD and financial expert with 8+ years of experience. Author of the Amazon bestsellers Anybody Can Trade and Anybody Can Trade Options , Navnit simplifies complex strategies like SWP & SIP to help investors achieve sustainable financial freedom.
