What is Sukanya Samriddhi Yojana (SSY)?
The Sukanya Samriddhi Yojana (SSY) is a government-backed small savings scheme designed exclusively for the benefit of the girl child. It offers one of the highest interest rates among small savings schemes and helps parents build a secure financial future for their daughters.
Important Features of the Sukanya Samriddhi Yojana
- Eligibility: A girl child aged 10 years or below at the time of account opening.
- Tenure: Maturity period of 21 years from the account opening date.
- Deposit Window: Contributions must be made for the first 15 years; the account continues to earn interest for the full 21 years.
- Interest Rate: Currently 8.2% per annum (compounded annually; subject to quarterly revisions by the government).
- Maximum Contribution: ₹1.5 lakh per year.
- Minimum Contribution: ₹250 per year (to keep the account active).
- Tax Benefits: Tax-free under Section 80C of the Income Tax Act. Maturity amount is also tax-exempt.
How This Sukanya Samriddhi Yojana Calculator Works
The calculator estimates the maturity amount you will receive at the end of 21 years based on:
- Annual Contribution: The amount you deposit every year (can vary between ₹250 and ₹1.5 lakh).
- Girl’s Current Age: Helps determine the investment window and maturity year.
- Interest Rate: Fixed as per the latest SSY rate (currently 8.2%).
- Investment Duration: 15 years of contribution, with interest accruing for 21 years total.
Understanding the SSY Maturity Calculation
The maturity amount is calculated using the compound interest formula:
A = P × (1 + r/n)nt
But in SSY, since you contribute annually, it is calculated iteratively for each year's deposit:
- P: Annual Contribution
- r: Annual Interest Rate (8.2%)
- t: Number of years each contribution remains in the account
Example of Maturity Value Using the SSY Calculator
| Annual Contribution | Girl's Current Age | Maturity Year | Total Investment | Interest Earned | Maturity Value |
|---|---|---|---|---|---|
| ₹50,000 | 5 | 2046 | ₹7.5 Lakhs | ₹10.7 Lakhs | ₹18.2 Lakhs |
Benefits of Using the Sukanya Samriddhi Yojana Calculator
- Financial Planning: Helps parents estimate the maturity amount for their daughter’s future needs (education, marriage, etc.).
- Tax Planning: Understand Section 80C tax benefits and tax-free maturity.
- Goal Setting: Visualize how regular savings grow over time with compounded interest.
Important Points to Remember About SSY
- Deposit Consistently: Missing a year may deactivate the account, requiring penalties to reactivate.
- Account Transfer: The account can be transferred across India if the depositor relocates.
- Partial Withdrawal: Allowed up to 50% of the balance after the girl turns 18 for education/marriage.
- Maturity Use: Full maturity amount is paid to the girl child after 21 years or earlier if she gets married after turning 18.
Sukanya Samriddhi Yojana is an excellent long-term investment tool to secure your daughter’s future while earning assured and tax-free returns. Use this calculator to plan your yearly savings and visualize the benefits at maturity.
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