Sukanya Samriddhi Yojana

Objective

Features

• To promote the welfare of Girl Child.
• To help parents build funds for higher education and other expenses for their girl child

• Launch:  22nd January 2015 as part of the Beti Bachao, Beti Padhao Campaign.
• Eligibility:
  • The account can be opened by the natural or legal guardian for a girl child of age below 10 years.
  • A depositor can open and operate only one account in the name of a girl child under the scheme rules.
  • Natural or legal guardian of a girl child is allowed to open the account for two girl children only.
• Deposits and contributions
  • Minimum deposits:  ₹250
  • Maximum deposits: ₹1,50,000 in a financial year.

Note- Deposits can be made for a period of up to fifteen years from the account opening date.

• Tax benefits: Contributions, interest earned, and maturity proceeds are exempt under Section 80C of the Income Tax Act, making it a triple tax-free (EEE) scheme.
  • Interest rate: The SSY's interest rate is revised quarterly by the Ministry of Finance.
  • Interest calculation: Interest is calculated monthly based on the lowest balance in the account between the close of the fifth day and the end of the month. At the end of each financial year, this interest is credited to the account.
• Maturity of the account
  • The account matures upon the completion of 21 years of the account holder from its opening date.
  • Early closure is permitted for marriage after 18 years, with required documentation.
• Account Management
  • The account is managed by the guardian until the girl child reaches the age of eighteen.
  • Upon turning eighteen, the account holder can take control of the account herself by submitting the necessary documents.
• Withdrawals for education
  • An account holder can apply for a withdrawal of up to 50%. This withdrawal is permissible only after the account holder turns eighteen or completes the tenth standard, whichever comes first.
  • Withdrawals can be made either as a lump sum or in installments, with a maximum of one withdrawal per year for up to five years.
• Premature closure
  • In the unfortunate event of the account holder's death, the account can be closed immediately.
  • In cases of extreme compassionate grounds: such as the account holder facing life-threatening medical issues or the death of the guardian, the accounts office may allow premature closure.
  •  However, no premature closure can occur within the first five years of opening the account.