The classic safe-withdrawal heuristic says 4% of the initial corpus per year. India's inflation runs hotter, so 3-3.5% is closer to safe. This calculator inflates the withdrawal annually and simulates month by month.
Cells show months the corpus survives. Anything under your plan horizon × 12 means the plan fails.
| Return ↓ / Monthly → | ₹30,000 | ₹40,000 | ₹50,000 | ₹60,000 | ₹70,000 |
|---|---|---|---|---|---|
| 6.0% | ≥ 300m | 263m | 210m | 174m | 149m |
| 7.5% | ≥ 300m | ≥ 300m | 243m | 197m | 165m |
| 9.0% | ≥ 300m | ≥ 300m | 298m | 229m | 187m |
| 10.5% | ≥ 300m | ≥ 300m | ≥ 300m | 284m | 219m |
| 12.0% | ≥ 300m | ≥ 300m | ≥ 300m | ≥ 300m | 275m |
Bengen's 4% rule (US, 1994) says you can withdraw 4% of the starting corpus per year, inflated annually, with high probability of the corpus lasting 30 years. The Trinity study refinements raised it slightly. For India, the relevant adjustment is higher inflation (6% vs ~3% US baseline) — empirically the equivalent is closer to 3-3.5% in India.
This model is deterministic. Real corpus survival depends on the sequence of returns — a 30% drawdown in year 2 is much worse than the same drawdown in year 25. Production-grade retirement planning runs 10,000 Monte Carlo paths against historical or block-bootstrap return distributions. This calculator gives you the "average path" — useful as a sanity check, not a guarantee.
Tax: SWP from equity MFs after 1 Apr 2023 = post-budget LTCG @ 12.5% beyond ₹1.25 L exemption per year. Debt funds = slab-rate. Capital efficiency of the withdrawal is materially improved by routing through equity SWP rather than dividend option.
What this doesn't model: rebalancing between equity and debt sleeves, sequence-of-returns risk, taxes on each redemption, fund-level expense ratios (assume net-of-fee return), and the fact that real households cut spending in down years — which materially extends corpus life.
Calculators on this site use the inputs you provide and the assumptions disclosed in their methodology. Returns are not promised or guaranteed. MintByte is an AMFI-registered mutual fund distributor (ARN-314872). MintByte does not issue buy/sell recommendations on specific securities — the site is an educational data and analytics platform. Not investment advice. Methodology · How we earn.