SIP and SWP Calculator: Simplifying Your Investment Journey
Stock-market investment is one of the most lucrative investment methods for wealth generation. Stocks, mutual funds, bonds, ETFs, and various other valuable assets listed on the stock market can be selected for investment. The investment process for a beginner or an experienced investor can be made easy and hassle-free through the adoption of various invaluable tools.
A SIP return calculator helps calculate the right monthly instalments, which investors can use to invest in mutual funds and stocks to generate wealth over a long period. On the other hand, a systematic withdrawal plan calculator helps make periodic withdrawals easy and streamlined. These tools help investors make the right decision, save time, and fulfill the ultimate financial and investment goals. Let’s explore the benefits of SIP and SWP calculators:
A Systematic Investment Plan or SIP
A SIP is a systematic method of investment of a fixed sum into mutual funds, stocks, and other securities. A fixed amount, when selected, is invested at regular intervals over a long period to reduce the effect of market volatility and for long-term wealth generation. Leveraging the power of compounding and long-term investment, a systematic investment plan makes the investment process easier and more effective.
A Systematic Withdrawal Plan or SWP
Under a systematic withdrawal plan, investors can withdraw a fixed sum from the pool of investments at regular intervals keeping the remaining sum invested for return generation and overall growth. Helping with the creation of a fixed income, SWP is a beneficial tool for retired individuals.
Use of SIP calculator
Helping investors with the selection of the right fixed amount for investment, a SIP calculator delivers amazing benefits. Investors through an SIP calculator can identify a fixed amount that can be invested in a particular mutual fund or stock for a certain period like 5 or 10 years. Investors by inputting various details like the monthly instalments for investment, the approximate rate of return, the total investment tenure, and the type of investment can ascertain the future value of their investment. This even helps investors learn the importance of saving and investing a fixed amount for future income generation.
Use of SWP calculator:
A systematic withdrawal plan calculator can help investors determine the amount they can withdraw from their investments at regular intervals. Through correct estimation of a fixed sum, investors can leave their remaining corpus for continued investment thereby generating a fixed income and returns at the same time. Details like investment amount, amount of withdrawal, frequency of withdrawal, and the expected rate of return are required for an SWP calculator to work.
Benefits of SIP and SWP calculators
- Easy financial planning:
By making financial planning easier and streamlined, Investors through the use of the dedicated SIP and SWP calculators can make their investment journey free of any hurdles. Investors can track their investments, identify a fixed sum for investment and withdrawals, and ultimately work towards fulfilling their ultimate financial goal.
- Saving valuable time
The calculators even provide necessary information to the investors with a click of a button. Investors do not have to depend upon manual calculations and other middlemen for their SIP and SWP plans.
- Hassle-free decision-making:
With access to necessary information and clear projections of the future value of their investments, decision-making can be made hassle-free.
Conclusion
SWP and SIB calculators make calculations simpler. Making decisions regarding investment and withdrawals easier, the calculators are the best tools that investors can opt for.
