How to set up SWP on a PPFAS scheme

Sun, 17 May 2026 00:00:00 +0000

An SWP (Systematic Withdrawal Plan ) is the mirror image of an SIP : instead of recurring purchases into a scheme, you receive recurring withdrawals from it into your registered bank account. The common PPFAS use cases are retirement income (a Fixed SWP from PPFCF or the Conservative Hybrid Fund) and goal-aligned drawdown (funding annual education expenses, a planned cash flow, or anything else with a predictable schedule). The actual setup is straightforward; what matters is the rate. A 4-6 per cent annual withdrawal rate from an equity-oriented corpus is the broadly defensible range over long horizons; rates above that risk depleting the corpus in adverse market sequences. Each installment is a redemption under tax law, with the same Section 112A or 111A treatment as a regular redemption.

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How to set up SWP on a PPFAS scheme