Under the initiative ‘Beti Bachao – Beti Padhao’ campaign, the government of India launched Sukanya Samriddhi Yojana scheme on 22nd January, 2015. This scheme was launched with an aim to ensure betterment of girl children.
Sukanya Samriddhi Yojana (SSY) is a government-backed scheme aim to fulfil the financial needs for girl children. Similar to PPF and NSC investments, SSY offers guaranteed returns along with protection of your capital. With help of SSY scheme, you can make savings for your girl child’s future. It offers high rate of interest that helps accumulate a corpus that can be utilized for her education and marriage expenses. This scheme also offers several tax benefits.
|Interest Rate||7.6% per annum|
|Investment Amount||Minimum of Rs. 250, subject to a maximum of Rs. 1.5 lakh|
|Maturity Amount||As per the amount invested|
|Tax Benefits||u/s 80C. Interest is also tax-exempt|
To start investing money in Sukanya Samriddhi Yojana scheme, you need to open a Sukanya Samriddhi Account (SSA).
Following are the conditions you are required to fulfil for opening an SSA account.
- A parent or legal guardian of the girl child can open this account
- Age of girl below must be below 10 years at the time of opening the account
- Open account with a post office or authorized bank branch in the name of a girl child
- Birth certificate is required to open SSA account
- You can open only one account for a girl child
You can invest in Sukanya Samriddhi Yojana (SSY) scheme by opening a Sukanya Samriddhi Account (SSA) account in the post offices or authorized banks.
There is no online option to invest in SSY. You need to visit the branch to open SSA account and start investing in SSY scheme.
- Birth certificate of the girl child
- Address and Identity proof of parent/ legal guardian
- KYC documents such as PAN, Aadhaar Card, Voter ID, etc
- Other documents may be required by the post office or bank
How Many Sukanya Samriddhi Accounts Can I Open?
The parent or guardian are allowed to open up to two sukanya samriddhi accounts. However, opening a third account is allowed, only if there are triplets in first birth or twin girls in second birth.
Note: Only one SSA account is allowed for a girl child.
For investing in Sukanya Samriddhi Yojana scheme, you need to deposit a minimum amount of Rs. 250. The maximum amount that you can invest in this scheme is Rs. 1.5 lakh during a financial year.
If you don’t make a required minimum deposit during a financial year, the Sukanya Samriddhi Account may become default. You can revive the account before the completion of 15 years by paying the minimum amount of deposit plus penalty amount, i.e., Rs. 250 + 50 = Rs. 300 per year of default.
SSY has a tenure or maturity period of 21 years from the account opening date. However, you need to make contributions every year in this scheme till 15 years from the year of account opening. The account earns interest until maturity.
The rate of interest for Sukanya Samriddhi Yojana is 7.60% per annum. This interest rate is applicable from 1st July to 30th September, 2021. It is revised by Ministry of Finance every quarter. The rate of interest on SSY is calculated on yearly basis. Its interest rate is higher than traditional savings instruments such as bank’s FD or RD.
|Financial Year||Interest Rate (p.a)|
|2nd quarter (July to September)||7.60%|
|1st quarter (April to June) FY 2020-21||7.60%|
|4th quarter (January to March) FY 2019-20||8.40%|
|3rd quarter (October to December) FY 2019-20||8.40%|
|2nd quarter (July to September) FY 2019-20||8.40%|
|1st quarter (April to June) FY 2019-20||8.50%|
|4th quarter (January to March) FY 2018-19||8.50%|
|3rd quarter (October to December) FY 2018-19||8.50%|
|2nd quarter (July to September) FY 2018-19||8.10%|
|1st quarter (April to June) FY 2018-19||8.10%|
|4th quarter (January to March) FY 2017-18||8.10%|
|3rd quarter (October to December) FY 2017-18||8.30%|
|2nd quarter (July to September) FY 2017-18||8.30%|
|1st quarter (April to June) FY 2017-18||8.40%|
|4th quarter (January to March) FY 2016-17||8.50%|
|3rd quarter (October to December) FY 2016-17||8.50%|
|2nd quarter (July to September) FY 2016-17||8.60%|
|1st quarter (April to June) FY 2016-17||8.60%|
- Account closure is allowed at maturity, i.e., after 21 years from the account opening date.
- Marriage of a girl after 18 years of age. You can submit application for account closure between one month before marriage and 3 months after her marriage.
- Withdraw amount after the girl child attains 18 years of age
- Withdrawal is allowed up to 50% of SSA account balance available at the end of previous financial year
- It is allowed in one lump sum or instalments. Only one withdrawal is allowed in a year, up to a maximum of 5 years.
You can prematurely close the account after 5 years of account opening, subject to following conditions.
- Upon death of account holder
- Extreme compassionate grounds such as life-threatening disease of girl child, death of the guardian
You can close the account prematurely upon providing complete documentation along with the required application.
Sukanya Samriddhi Yojana account can be transferred to any city in India. The account holder needs to fill a transfer request form and visit their post office or bank branch with the passbook.
Such account transfer is free of cost, upon submission of required proof of shifting of residence of account holder or parent/guardian. Upon non-submission of proof, the applicant will be required to pay Rs. 100 to the branch where the account is being transferred.
Sukanya Samriddhi Yojana comes with EEE tax benefits.
- Investments/ deposits made in the scheme qualifies for deductions under section 80C, up to a maximum of Rs 1.5 lakh in a financial year.
- The interest that accrues in this account is also exempt from tax.
- The maturity or withdrawal amount is also exempt from tax.