Index your monthly withdrawal to inflation and see the ending balance in today’s money.
An inflation-adjusted SWP calculator raises your withdrawal by the inflation rate each year so your spending power stays constant, and it also shows the ending corpus in today’s money — a truer picture than a plain rupee figure.
Why adjust an SWP for inflation?
A fixed ₹30,000 withdrawal feels the same on paper every month, but inflation quietly erodes what it buys. Indexing the withdrawal to inflation keeps your real lifestyle steady. This tool grows the withdrawal each year by your chosen inflation rate.
What does “today’s money” mean?
A corpus of ₹1 crore in 25 years is not worth ₹1 crore today. The calculator discounts the ending balance back by your inflation rate so you can see its real value in current terms — the number that actually matters for planning.
💡 Worked example
From ₹50 lakh, withdraw ₹30,000 a month (today’s value) at 10% with 6% inflation. Your withdrawal rises each year to hold its purchasing power, and the calculator reports the leftover corpus in today’s money.
FAQ
SWP with Inflation questions
What inflation rate should I use?
India’s long-run consumer inflation has averaged around 5% to 6%. Using 6% is a reasonable, slightly conservative default for retirement planning.
Why is the balance shown in today’s money smaller?
Because future rupees buy less. Discounting the ending balance by inflation converts it into what it would be worth today, which is the honest number for planning.
Is this the same as a step-up SWP?
The mechanics are similar — the withdrawal rises each year. The difference is that this tool ties the increase to inflation and also reports the real, inflation-adjusted ending value.
Does ignoring inflation make an SWP look too good?
Yes. A plain SWP can look sustainable while your real income quietly shrinks. Adjusting for inflation gives a far more realistic view.