Audience:

  • Are you parent or guardian of girl child who is yet to attain 10 years of age, then Sukanya Samriddhi Yojana Account is suitable for your girl child if you’re interested.

Why Government of India introduced this Account?

  • To promote welfare of girl child’s also we can say it as “Girl Child Prosperity Account”

What is the Eligibility to open SSY Account?

  • Only one account is allowed per child. Parents can open a maximum of two accounts for each of their children (exception allowed for twins and triplets). The account can be transferred to anywhere in India.
  • The account can be opened at any India Postoffice or branch of authorised commercial banks.

How to Apply for SSY Account?

Fill in below mentioned form and submit to any India Post office or branch of authorised commercial banks with necessary documents listed below,

Documents Required

  • Birth certificate of girl child
  • Proof of Address of Parent/guardian – Can be Passport, Driving Licence, Electricity or Telephone bill, Election ID card, Ration card or any other address proof provided by Government of India (GoI)
  • Proof of identity of Parent/guardian – Can be Passport, Matriculation certificate, Election ID card or any other certificate issued by Government of India

Application Form

Is there any limit to deposit?

  • Minimum Rs. 1000/- and Maximum Rs. 1.5 lakhs in a Financial Year
  • Variable contribution between Rs 1000 and Rs 1.5 Lakh is allowed. What it implies is that you can deposit any amount of your choice in Sukanya Samriddhi Account during FY. For example, the 1st year you deposited Rs 1000 to open the account. Now 2nd year you can deposit Rs 10,000, 3rd year Rs 90,000 and so forth. The contribution is not fixed and may vary.

What is the rate of interest (RoI)?

  • Sukanya Samriddhi offers attractive ROI initially but it has reduced to 8.1%per annum (Compounded annually). It was 9.1%, when it was introduced in FY 2015-16.

What is the tenure of deposit?

  • Deposits in the account can be made till the completion of 15 years, from the date of the opening of the account
  • Maturity at 21 years from the date of opening of the account
  • After 15 years of deposit period, the account will earn only applicable rate of interest
  • If the account is not closed, then it will not earn interest at the prevailing rate

When withdrawals can be made?

  • Withdrawals permitted only after completion of 21 years from the date of opening the account, however after attaining the age of 18 years, 50% of the balance lying in the account at the end of previous financial year can be withdrawn for higher education or marriage

How and under which section can we avail tax benefits for SSY account?

  • At the time of launch, only the deposits in the account were eligible for tax deduction under Section 80C of the Income Tax Act, which is 150,000 in 2015-16. However, Finance Minister Arun Jaitley announced, during the 2015 Union Budget, tax exemption on the interest from the account and on withdrawal from the fund after maturity, making the tax benefits similar to that of the Public Provident Fund. These changes were applied retrospectively from 1 April 2015. These benefits will be reassessed annually.

What are the mode of payment?

  • Cash/Cheque/Demand Draft/Online transfer

How about the closure of SSY Account?

  • The Account shall mature on completion of a period of twenty-one years from the date of its opening: Provided that the final closure in the Account may be permitted before completion of such period of twenty one years, if the account holder, on an application, makes a request for such premature closure for reasons of intended marriage of the Account holder and on furnishing of age proof confirming that the applicant will not be less than eighteen years of age on the date of marriage: Provided that no such premature closure shall be made before one month preceding the date of the marriage or after three months from the date of such marriage.
  • On maturity, the balance including interest outstanding in the Account shall be payable to the Account holder, on an application by the Account holder for closure of the Account, and on furnishing documentary proof of her identity, residence and citizenship.
  • No interest shall be payable once the Account completes twenty-one years from the date of its opening.

Transfer of Account under Sukanya Samriddhi Account

  • The Account may be transferred anywhere in India and from or to post offices and from or to Banks and between post office and Bank, free of cost on furnishing of proof of shifting of residence of either the guardian or the Account holder and otherwise, on payment of a fees of one hundred rupees to the post office or the Bank to which the transfer is made.
  • The process of transfer of the account shall be affected electronically if the post office or the Bank concerned, has access to the facility of CBS.

Summary of revision

Financial YearDate RangeInterest RateMinimum InvestmentMaximum Investment
2014-151 April 2014 to 31 March 20159.10%1,0001,50,000
2015-161 April 2015 to 31 March 20169.20%1,0001,50,000
2016-171 April 2016 to 31 Dec 20178.60%1,0001,50,000
2016-171 Jan 2017 to 31 Mar 20178.50%1,0001,50,000
2017-181 Apr 2017 to 30 June 20178.40%1,0001,50,000
2017-181 July 2017 to 31 Dec 20178.30%1,0001,50,000
2018-20191 Jan 2018 to till now8.10%1,0001,50,000

A girl child is eligible for an SSY account only if she is a resident Indian citizen when the account is opened and remains so until the maturity or the closure of account.

Is NRI girl child gets benefited from SSY Account?

  • Non-resident Indians can no longer open an SSY account. In fact, if you or your child’s residential status changes to non-resident or she takes up another country’s citizenship during the term of the scheme, no interest shall be paid from the date of citizenship or residential status changes and the account will be considered closed

Calculation for SSY Account

Sukanya Samriddhi Calculator
YearAge of Girl ChildOpening BalanceMonthly ContributionYearly ContributionInterest Rate @8.3%Closing Balance
20181-100012,00099612,996
2019212,996100012,0002,07527,071
2020327,071100012,0003,24342,314
2021442,314100012,0004,50858,822
2022558,822100012,0005,87876,700
2023676,700100012,0007,36296,062
2024796,062100012,0008,969117,031
20258117,031100012,00010,710139,741
20269139,741100012,00012,594164,335
202710164,335100012,00014,636190,971
202811190,971100012,00016,847219,817
202912219,817100012,00019,241251,058
203013251,058100012,00021,834284,892
203114284,892100012,00024,642321,534
203215321,534100012,00027,683361,217
203316361,217--29,981391,198
203417391,198--32,469423,668
203518423,668--35,164458,832
203619458,832--38,083496,915
203720496,915--41,244538,159
203821538,159--44,667582,827
180,000402,827582,827

What are the banks we can approach to open SSY Account?

  • All nationalised public-sector banks will operate for maintaining SSY Account

Please note that the information provided on this page:

  • Does not provide a complete or authoritative statement of the law
  • Does not constitute legal advice by us
  • Does not create a contractual relationship
  • Does not form part of any other advice, whether paid or free

 

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