This 3-in-1 calculator combines an Initial Lumpsum Corpus, monthly SIP Accumulation, and long-term SWP Retirement Withdrawals with optional annual Inflation Adjustments. It projects corpus accumulation prior to retirement and tests the long-term sustainability of your monthly income stream under real market & inflation conditions.
Corpus Projection Timeline
Direct Answer: The line graph shows corpus growth during the SIP phase (green) and corpus longevity during the SWP payout phase (pink).
Monthly SWP Schedule
| Month | Withdrawal | Return | Balance |
|---|
How to Calculate 3-in-1 SIP + SWP in 3 Simple Steps
Direct Answer: Model your accumulation phase, set withdrawal parameters, and analyze remaining wealth in three steps:
Set Lumpsum & SIP
Enter your starting lump sum and monthly SIP contribution with expected return during the accumulation phase.
Define SWP & Inflation
Specify your starting monthly withdrawal, select Fixed or Inflation-Adjusted mode, and set duration.
Review Wealth Payout
Inspect corpus at SWP start, cumulative withdrawals, remaining capital, and monthly schedule.
Understanding the 3-in-1 SIP + SWP Lifecycle
A complete wealth lifecycle consists of two primary phases: the Accumulation Phase (building capital via initial lumpsum and regular SIP deposits) and the Distribution Phase (drawing regular monthly income via SWP). Adding inflation adjustments protects your purchasing power across retirement.
Why Inflation-Adjusted SWP is Critical
According to guidelines from the Reserve Bank of India (RBI), inflation averages around 4%–6% annually. A fixed monthly SWP payout of ₹25,000 today will buy significantly less in 20 years. Enabling **Inflation-Adjusted Mode** increases your monthly withdrawal automatically by your chosen rate every year.
Capital Preservation
Keeping monthly SWP payouts below the monthly interest earned preserves principal indefinitely.
Inflation Shield
Stepping up withdrawals annually prevents inflation from eroding your standard of living.
Tax Efficiency
Redemptions are taxed strictly on capital gains, outperforming 100% taxable bank FDs.
Frequently Asked Questions (FAQ)
Direct Answer: It combines three key elements in one projection: an initial starting lumpsum, ongoing monthly SIP investments, and systematic monthly withdrawals (SWP) — with an optional inflation adjustment to account for rising costs.
Direct Answer: In inflation-adjusted mode, your monthly SWP withdrawal increases every year by the specified inflation rate (e.g. 6%), protecting your real purchasing power over 20–30 years of retirement.
Direct Answer: During the accumulation phase (SIP), investments are placed in equity funds for higher growth (12–15%). Upon retirement (SWP phase), funds are typically shifted into safer hybrid or debt instruments (8–10%) to preserve capital.
Direct Answer: Yes. If your monthly withdrawal rate is lower than the monthly compound return earned by the corpus, your principal will continue to grow, making your income stream perpetual.