Sukanya Samriddhi Yojana is a Government of India backed saving scheme for girl children that was introduced by Prime Minister Narendra Modi on 22 January 2015. Parents having girl child are eligible to open SSY account for their children.
The SSY scheme is a part of the “Beti Bachao Beti Padhao” campaign and one of the most popular savings schemes. This account can be open during the age of a girl child between 0 to 10 years.
In order to open an SSY account, an individual can approach any nationalized banks or any post offices. The rate of interest is also pretty attractive and offers a higher interest rate than a bank FD, Public Provident Fund (PPF), and other secure savings schemes. As of July 2020, the current rate of interest is 7.6% per annum that compounds annually.
The tenure of the SSY scheme is 21 years with the investment period of the initial 15 years. After 15 years, no farther investment is allowed for the rest of the 6 years. An individual can deposit monthly, quarterly, half-yearly, annually, or whatever frequency he/ she wants to invest. But one thing to remember, only 12 deposits or installments are allowed within a financial year.
In order to maintain, the Sukanya Samriddhi account holder needs to pay at least Rs. 500 for a financial year. Maximum Rs. 1.5 lakh is allowed to invest once in a financial year.
The investment over SSY is eligible for Income Tax deduction up to Rs. 1.5 lakh under section 80C Income Tax Act. And the most important and lucrative part of this yojana is that the return of maturity is completely tax-free.
Closing the account before maturity is permitted. However, there some rules of premature closure of SSY account like critical illness, the marriage of the girl, etc.
SSY Calculator is beneficial for those who want to open a Sukanya Samriddhi Yojana account. The SSY Calculator lets you measure the approximate return of investment over Sukanya Samriddhi Yojana. With few inputs and clicks, the calculator brings you the calculation result.
The use of the SSY Calculator is extremely easy. Most of the inputs are already filled in this calculator. You just need to enter the monthly contribution amount and click on the 'Calculate Now' button. However, you can customize the rate of interest input according to your convenience.
Once you clicked on the 'Calculate Now' button the calculation result will be displayed within a sec. The result includes accumulated interest, the total return on maturity, and a pie chart that shows a graphical view of the investment and the return.
Awareness about the returns of investment is very important to plan future goals. A parent or a legal guarding of a girl child of age between 0 to 10 years can use this calculator. Calculation of any long term scheme that includes compounding interest feature can be very critical and time-consuming. This calculator will help them to assume the returns and the amount needs to be invested to fulfill a future goal for the girl child.
The parents or a legal guardian of a girl child whose age in between 0 to 10 years can open SSY account for that daughter.
For a girl child, only one SSY account is restricted. If parents have two daughters, two separate SSY accounts can be opened for both. Having more than 2 girls, 3rd girl and onwards are not eligible for this scheme. However, in the case of twin girls after the first girl, three SSY account can be opened.
Yes, the SSY scheme falls under EEE (Exempt Exempt Exempt) income tax category. Means, the investor gets a tax rebate of its full yearly investment i.e. Rs. 1.5 lakh under 80C income tax act. Not only this, but the returns of investment under the SSY scheme is also tax-free.
The tenure of the Sukanya Samriddhi Yojana scheme is 21 years. However, the investment tenure is limited to 14 years.
Yes, premature account closure facility with some conditions.
The minimum deposit for the account opening is Rs. 250.
An individual can invest a minimum of Rs. 500 and maximum Rs. 1.5 lakh per financial year. The deposit amount must be multiple of 100.
Yes, there is a penalty of Rs. 50 in case the account holder does not deposit the minimum qualifying amount once in a financial year.