The Post Office Sukanya Samriddhi Yojana was launched in the year 2015 with an aim to encourage the parents to secure the future for their daughters. The Prime Minister of India Narendra Modi launched the scheme under the ‘Beti Bachao, Beti Padhao’ campaign. It is a small deposit scheme that is meant to meet the education and marriage expenses of the girl child.
Sukanya Samriddhi Yojana account is targeted towards the minor girl child. It can be opened by the parents or legal guardian in the name of the girl from her birth to any time before she turns 10 years old. The scheme is operated for 21 years from the date of opening. A partial withdrawal of up to 50 percent of the SSY account balance is allowed to meet the education expenses of the girl child till she attains 18 years of age.
A parent can open a maximum of two accounts under the Sunkanya Samriddhi Scheme, one for each daughter (if they have two daughters). In case if there is twin girls from the first or second delivery, the scheme allows parents to open a third account, if they have another daughter.
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|Name||Sukanya Samriddhi Yojana|
|Account Type||Small Savings Scheme|
|Launch Date||22nd January 2015|
|Launched By||PM Narendra Modi|
|Target Audience||Girl Child|
|Current Interest Rate||7.6% per annum (Q3 FY 2021-22)|
|SSY Opening Age Limit||10 years & less|
|Minimum Deposit Limit||INR 1,000|
|Maximum Deposit||INR 1.5 lakh|
Documents required to open a Sukanya Samriddhi Account are as follows:
The Sukanya Samriddhi account can be opened in the post office or with the authorized banks by the RBI by submitting these details along with the deposit of INR 1,000 by the parent of the guardian of the girl child. Generally, all the banks that provide the Facility to open a PPF (Public Provident Fund) account offers Sukanya Smariddhi Yojana Scheme too.
A minimum deposit into Sukanya Samriddhi Yojana Scheme is of INR 1,000 is required every year.
The maximum amount that can be deposited in the scheme in a year is INR 1.5 lakh per Sukanya Samriddhi Yojana account.
The interest rate of Sukanya Samriddhi Yojana account is notified from time to time by the Finance Ministry of India. The interest rate for the Q3 financial year 2021-22 is
7.6% per annum, and is compounded on an annual Basis.
SSY scheme matures when the girl completes her 21 years from the date of opening. On maturity, the balance, along with the interest outstanding in the account, will be payable to the account holder. If SSY account is not closed after maturity, the balance amount will continue to earn interest. Point to note is that the account will automatically close if the girl child gets married before the completion of the tenure of 21 years.
From the date of opening, the deposits can be made up to 14 years. After this period, the account will only earn interest as per applicable rates.
A premature withdrawal can be made after the girl child attains the age of 18 years. This withdrawal will also be limited to 50 percent of the balance standing at the end of the preceding financial year.
The SSY account will turn inactive if the requirement of the minimum annual deposit of INR 1,000 is not met. Though, the account can be reactivated by paying a penalty INR 50 per year, along with the minimum deposit amount required for that year.
No loan facility is available under this scheme.
The calculator helps in determining the maturity year and calculate the maturity amount. In short, it helps to determine the growth of the investment over time. Below are some of the key details you need to enter to perform the calculations:
The calculator easily gives you the estimation of maturity amount till the girl turns 21 years old.
Illustration of the calculations are given below-
Suppose Mrs Seema plans to invest in an SSY scheme with an amount of Rs. 3,000. The daughter is currently, 5 years old and the investment will go on until she turns 21 years of age. So, with the current interest rate of 7.6% p.a., here's the computation:
Currently, any amount deposited in Sukanya Samriddhi Yojana scheme account would be exempted from tax till a maximum of INR 1.5 lakh under 80C of IT Act, 1961. The maturity and interest amount of this scheme is also exempted from income tax. Moreover, the amount matured at the time of the account/scheme closer would be completely tax free.
The deposit in the SSY account can be made in cash or by submitting the cheque or through the Demand Draft (DD). A user can also deposit the money through electronic means (e-transfers), if there is a Core Banking Solution available at the post office or the bank.
Some of the key advantages of the scheme are as follows: