A systematic withdrawal plan spends down a corpus while whatever remains keeps earning—retirees and endowment-style spenders use the pattern often.
This simulation withdraws a fixed amount each month and applies a constant return; real portfolios wobble, so treat output as directional.
SWP Calculator — key points
- Month-by-month balance trace
- Flags depletion if withdrawals outpace growth
- Pie of withdrawn vs remaining when stable
How SWP simulation helps
You can see whether a fixed monthly draw is sustainable at your assumed return.
- Lower withdrawals or raise return assumption to extend runway.
- Combine with bucket strategies off-platform.
Simulation logic (simplified)
Each month: balance = balance × (1 + r_month) − withdrawal where r_month = annual_assumption ÷ 12 ÷ 100.
Symbols
- balance — Corpus at start of month.
- withdrawal — Fixed cash taken out after growth accrues for the month in this model.
Interpreting warnings
If the tool warns the corpus goes negative, no real account would allow that—interpret it as ‘this spend rate fails under the assumed return.’
Benefits
- Visual feel for drawdown risk.
- Quick comparison of withdrawal amounts.
Frequently asked questions
- Inflation?
- Not built in—reduce real return assumption to approximate.
- Tax on withdrawals?
- Depends on instrument; handle externally.
Profitspire Hub publishes educational calculators only. Rates, slabs, and rules change—confirm with fund houses, banks, government notifications, or a qualified professional before acting.