Sukanya Samriddhi Yojana: A bright future for your daughter

Learn everything you need to know about Sukanya Samriddhi Yojana (SSY), a government scheme designed to secure the future of your girl child. Discover its benefits, eligibility criteria, and how to open an account. Sukanya Samriddhi Yojana (SSY) is a ray of hope for parents looking to secure their daughters’ financial future. This government-backed scheme is not just an investment, but a commitment to nurturing your child’s dreams. In this comprehensive guide, we will explore the ins and outs of SSY, ensuring you are well-informed about its features, benefits, and procedures. Let’s embark on this journey towards financial security and empowerment for your girl child.

Understanding Sukanya Samriddhi Yojana

What is Sukanya Samriddhi Yojana (SSY)?

Sukanya Samriddhi Yojana, commonly known as SSY, is a government-initiated savings scheme aimed at empowering parents to secure their daughter’s future. It encourages long-term savings for the girl child’s education, marriage, and overall well-being.

How does it work?

The scheme requires parents or legal guardians to open a sukanya samriddhi yojana account in the name of their daughter before she reaches age of 10 years. Sabsequently, regular contributions are made to this account, which matures when the girl turns 21. (sukanya samriddhi yojana)

Benefits of sukanya samriddhi yojana

  1. Focused goal: SSY is uniquely designed to cater to the specific financial needs of a girl child, primarily of her education and marriage. This focus ensures that your savings are aligned with your intended objectives, providing a sense of purpose and security.
  2. High-Interest Rates: The scheme offers one of the highest interest rates among all small savings schemes in India. The interest rate is typically higher than what is offered by banks on regular savings accounts or fixed deposits.
  3. Tax Benefits: Contributions made to Sukanya Samriddhi Yojana are eligible for tax deductions under Section 80C of the Income Tax Act, up to a specified limit. Additionally, the interest earned and the maturity amount are tax-free, making it a tax-efficient savings option.
  4. Long-term Savings: The scheme has a long maturity period, typically 21 years from the date of opening the account. This ensures that the savings accumulate and grow over a substantial period, which can be beneficial for long-term financial goals like education and marriage.
  5. Girl Child’s Future: The scheme is specifically designed to secure the financial future of a girl child. The funds can be used for her education, marriage, or any other financial needs, ensuring that the parents or guardians have the necessary funds when required.
  6. Flexibility in Contributions: Account holders have the flexibility to choose the amount they want to deposit each year, subject to a minimum and maximum limit. This makes it accessible to people with varying income levels.
  7. Partial Withdrawals: After the account holder reaches the age of 18, partial withdrawals are allowed for the girl’s education or marriage expenses. This feature provides financial support when needed without prematurely closing the account.
  8. Simple Account Opening Process: Opening a Sukanya Samriddhi Yojana account is relatively straightforward, and it can be done at authorized banks and post offices across India. Minimal documentation is required.
  9. Interest Compounding: The interest on the account is compounded annually, which means that the interest earned in one year becomes part of the principal for the next year. This compounding effect accelerates the growth of the savings over time.
  10. Secure and Government-backed: Sukanya Samriddhi Yojana is a government-backed savings scheme, ensuring the safety and security of the invested funds. It is not subject to market fluctuations, making it a stable savings option.
  11. Rural Development: The scheme also contributes to the development of rural areas by encouraging people to open accounts for their girl children, especially in areas with low female literacy rates.

Eligibility and account opening

To open an SSY account, certain eligibility criteria must be met:

  • Age Limit: Parents or guardians can open an account for a girl child below 10 years of age.
  • Citizenship: The girl child must be an Indian citizen.
  • Number of Accounts: A family can open only one SSY account for a single girl child, and a maximum of two accounts for two daughters.
  • Deposits: Minimum and maximum annual deposits are required, ensuring steady savings growth.

Benefits of Sukanya Samriddhi Yojana

Discover the myriad benefits of SSY, making it an ideal choice for securing your daughter’s future:

  • High Interest Rates: SSY offers one of the highest interest rates among all government schemes, making your savings grow significantly.
  • Tax Benefits: Contributions made under SSY are eligible for tax deductions under Section 80C of the Income Tax Act, providing additional financial relief.
  • Maturity Amount: The scheme matures after 21 years, ensuring that your daughter receives a substantial corpus for her life goals.
  • Partial Withdrawal: SSY allows partial withdrawals after the girl child turns 18, facilitating educational and other financial needs.
  • No Risk Involved: Being a government-backed scheme, SSY offers a secure and risk-free investment avenue.

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Making the most of sukanya samriddhi yojana

  1. Start Early: Open an SSY account as soon as possible, ideally when the girl child is below 10 years old. Starting early allows you to maximize the maturity amount.
  2. Regular Contributions: Contribute consistently to the SSY account. While the minimum annual deposit is INR 250, aim to invest the maximum limit of INR 1.5 lakh per year to earn the highest interest.
  3. Leverage Tax Benefits: Take advantage of the tax benefits available under Section 80C of the Income Tax Act. The contributions you make to the SSY account are eligible for tax deductions, reducing your taxable income.
  4. Stay Informed About Interest Rates: The interest rates for SSY are subject to change every financial year. Keep yourself updated on the current rates to ensure you’re earning the maximum possible interest on your investments.
  5. Monitor Account Performance: Regularly check the balance and performance of the SSY account. This will help you track the growth of your savings and assess whether you need to adjust your contributions.
  6. Use Partial Withdrawals Wisely: SSY allows partial withdrawals for specific purposes, such as higher education or marriage expenses. Plan these withdrawals strategically to avoid hampering the account’s long-term growth.

Certainly here’s a comparative analysis of Sukanya Samriddhi yojana and other popular savings schemes in tabular format:

SchemeSukanya Samriddhi YojanaPublic Provident Fund (PPF)National Savings Certificate (NSC)Senior Citizens Savings Scheme (SCSS)
PurposeFinancial savings for the girl child’s future education and marriageLong-term retirement savingsSecure savings with fixed returnsFor senior citizens looking for regular income
EligibilityParents or legal guardians of a girl child below 10 years of ageOpen to all Indian citizensOpen to all Indian citizensAvailable to senior citizens aged 60+ or 55+ with early retirement
Investment LimitMinimum INR 250 per year, Maximum INR 1.5 lakh per yearMinimum INR 500 per year, Maximum INR 1.5 lakh per yearNo maximum limitMinimum INR 1,000, no maximum limit
Interest RateVaries annually (currently around 7.6%)Varies annually (currently around 7.6%)Varies annually (currently around 6.8%)Varies quarterly (currently around 7.4%)
Tax BenefitsTax deduction under Section 80C of the Income Tax ActTax deduction under Section 80C of the Income Tax ActTax deduction under Section 80C of the Income Tax ActTax deduction under Section 80C of the Income Tax Act
Maturity Period21 years from the date of account opening15 years5 years5 years, extendable for 3 years
Withdrawal RestrictionsPartial withdrawal allowed for higher education or marriagePartial withdrawals allowed after the 7th yearNo premature withdrawals allowedPremature withdrawals with penalties
Lock-in PeriodUntil the girl child turns 2115 years5 years5 years, extendable for 3 years
Special FeaturesAccount can be transferred to any part of India if the girl relocatesLoan facility available against PPF balanceInterest compounded annuallyQuarterly interest payouts


This table provides a comparative overview of Sukanya Samriddhi Yojana and other popular savings schemes in India, considering factors such as eligibility, investment limits, interest rates, tax benefits, maturity periods, withdrawal restrictions, lock-in periods, and special features. Depending on your financial goals and circumstances, you can choose the scheme that best suits your needs.

How to Open an SSY Account

Opening an SSY account is a simple process:

  1. Visit your nearest authorized bank or post office.
  2. Fill out the SSY account opening form, providing all necessary details.
  3. Submit relevant documents such as the girl child’s birth certificate and address proof.
  4. Deposit the initial amount, ensuring you adhere to the minimum deposit requirements.
  5. Receive the passbook, which will track your account’s progress.

You can account with Sbi bank


Sukanya Samriddhi Yojana offers a combination of attractive interest rates, tax benefits, and a focus on securing the financial future of girl children, making it a popular choice among Indian parents and guardians for long-term savings and financial planning. Sukanya Samriddhi Yojana (SSY) is not just a financial scheme; it’s a promise to secure your daughter’s future. With its high-interest rates, tax benefits, and risk-free nature, SSY is a beacon of hope for parents who dream of providing the best for their girl child. By opening an SSY account, you take the first step towards ensuring her bright and prosperous future.


Q: What is the minimum annual deposit required for an SSY account?

A: The minimum annual deposit for an SSY account is Rs. 250, ensuring that even modest savers can participate.

Q: Can I open an SSY account for more than one girl child in my family?

A: Yes, you can open a maximum of two SSY accounts for two daughters, provided they meet the eligibility criteria.

Q: Is the interest earned on SSY taxable?

A: No, the interest earned on SSY is tax-free, making it an attractive investment option.

Q: Can I make partial withdrawals from my SSY account before maturity?

A: Yes, you can make partial withdrawals from the SSY account once the girl child turns 18, helping you address her educational and other financial needs.

Q: What happens if I miss making the annual deposit?

A: If you fail to make the minimum annual deposit, your account may be considered dormant, and a penalty might be imposed.

Q: Is there an age limit for the girl child to withdraw the entire amount?

A: The girl child can withdraw the entire amount on maturity, which occurs after 21 years from the account’s opening, ensuring she receives a substantial corpus.

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