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Hydrological models are generally calibrated at longer time-steps (monthly, seasonal, or annual) than their computational time-step (daily), because of better calibration performance, lower computational requirements, and the lack of reliable temporally-fine observed discharge data (particularly in developing countries). The consequences of having different calibration and computation time-steps on model performance have not been extensively investigated. This study uses the Soil and Water Assessment Tool (SWAT) model to explore the correctness of calibrating a hydrological model at the monthly time-step even if the problem statement is suited to monthly modeling. Multiple SWAT models were set up for an agricultural watershed in the Indo-Gangetic basin. The models were calibrated with observed discharge data of different time-steps (daily and monthly) and were validated on data with the same or different time-steps. Intra- and inter-decadal comparisons were conducted to reinforce the results. The models calibrated on monthly data marginally outperformed the models calibrated on daily data when validated on monthly data, in terms of <i>P</i>-<inline-formula> <math display="inline"> <semantics> <mrow> <mi>f</mi> <mi>a</mi> <mi>c</mi> <mi>t</mi> <mi>o</mi> <mi>r</mi> </mrow> </semantics> </math> </inline-formula>, <i>R</i>-<inline-formula> <math display="inline"> <semantics> <mrow> <mi>f</mi> <mi>a</mi> <mi>c</mi> <mi>t</mi> <mi>o</mi> <mi>r</mi> </mrow> </semantics> </math> </inline-formula>, the coefficient of determination (<inline-formula> <math display="inline"> <semantics> <msup> <mi>R</mi> <mn>2</mn> </msup> </semantics> </math> </inline-formula>), and Nash&#8722;Sutcliffe Efficiency (<inline-formula> <math display="inline"> <semantics> <mrow> <mi>N</mi> <mi>S</mi> <mi>E</mi> </mrow> </semantics> </math> </inline-formula>). However, the monthly-calibrated models performed poorly as compared to daily-calibrated models when validated on daily discharge data. Moreover, the daily simulations from the monthly-calibrated models were unrealistic. Analysis of the calibrated parameters revealed that the daily- and monthly-calibrated models differed significantly in terms of parameters governing channel and groundwater processes. Thus, though the monthly-calibrated model captures the patterns in monthly discharge data fairly well, it fails to characterize daily rainfall-runoff processes. The results challenge the existing practice of using different calibration and computation time-steps in hydrological modeling, and suggest that the two time-steps should be the same, irrespective of the time-step required for modeling.