Sukanya Samriddhi Yojana (SSY) – Complete Guide
Sukanya Samriddhi Yojana (SSY) is a Government of India-backed small savings scheme launched in 2015 under the Beti Bachao, Beti Padhao campaign.
It is designed to help parents secure the future education and marriage expenses of their girl child with attractive interest rates and tax-free returns.
What is SSY?
A long-term savings scheme for the girl child, encouraging parents to invest regularly for her future.
Who Can Open the Account?
Account Holder: Girl child (up to 10 years of age).
Guardian/Parents operate the account until she turns 18 years.
Birth Certificate Requirement
To open the account, a Birth Certificate of the girl child issued by:
Municipal authority, or
Registrar of Births and Deaths, or
Indian Consulate (for children born abroad)
is mandatory.
Maturity Period
The account matures after 21 years from the date of opening.
However, it can be closed earlier if the girl gets married after turning 18 years.
Number of Accounts in a Family
A family can open up to 2 accounts (for 2 girl children).
Exception: Allowed for twins/triplets.
Each girl child can have only 1 account.
Deposits
Minimum deposit: ₹250 per year.
Maximum deposit: ₹1.5 lakh per year.
Deposits accepted for 15 years from the date of opening.
Must be made in multiples of ₹50.
Interest Rate History
Interest Calculation
Interest is calculated monthly on the lowest balance between the 5th and the last day of the month.
Credited annually.
Rounded off to the nearest rupee.
Operation of Account
Till the girl turns 18 years, the account is managed by the guardian.
After 18 years, the girl herself operates the account.
Premature Closure
Death of Account Holder: Balance + interest paid to guardian.
Emergency Grounds: Allowed after 5 years in cases like life-threatening illness or death of guardian.
Interest for emergency closure = Post Office Savings Account rate (if applicable).
Withdrawal Rules
Allowed after the girl turns 18 years or passes 10th standard (whichever earlier).
Up to 50% of balance (previous year closing) for higher education OR the amount actually required for admission/fees (whichever is lower).
Proof required: Admission letter or fee slip issued by educational institution.
Can be taken lump sum or in instalments (max 1 per year for 5 years).
Closure on Maturity
Account closes after 21 years.
Can be closed earlier for marriage after 18 years with declaration on stamp paper + age proof.
Tax Benefits (EEE Status)
Exempt-Exempt-Exempt category.
Deposits: Eligible for Section 80C deduction (up to ₹1.5 lakh, old regime).
Interest earned: Tax-free.
Maturity proceeds: Tax-free.
Transfer of Account
Account can be transferred across India:
Between banks and post offices.
Between branches (intra-bank/post office).
Free transfer if guardian/child shifts residence.
Otherwise, ₹100 fee applies.
If linked with CBS (Core Banking System) → transfer happens electronically.
In short:
SSY is the best long-term investment scheme for a girl child, offering high interest (8.2% in 2024-25), flexible deposits (₹250 – ₹1.5 lakh/year), EEE tax benefit, and secure maturity after 21 years..