The safe withdrawal rate (SWR) is the maximum percentage of your retirement portfolio you can withdraw each year while maintaining a high probability that your money lasts for your entire retirement. The most famous SWR is 4%, from the Trinity Study.

SWR depends on several factors: portfolio allocation, expected returns, inflation, retirement length, and your risk tolerance. Conservative planners often use 3–3.5% for India, given higher inflation (around 6%) and the need for a longer horizon if retiring early.

SWR is not a fixed number—it varies by country, asset mix, and personal circumstances. It serves as a planning tool to estimate your required retirement corpus.