Introduction to Sukanya Samriddhi Yojana
Sukanya Samriddhi Yojana, commonly called SSY, is one of India’s most popular small savings schemes launched by the Government of India in 2015 under the Beti Bachao Beti Padhao campaign. It is specially designed to encourage parents to save for the future education and marriage expenses of their girl child. Backed by the Ministry of Finance, the scheme offers attractive interest rates, tax benefits, and long-term security, making it a reliable investment for families.
Purpose of the Scheme
The primary aim of SSY is to secure the financial future of girl children in India. Many parents worry about the rising cost of higher education and marriage, and SSY acts as a dedicated savings plan that grows steadily over time. By making small annual deposits, parents can build a significant corpus by the time their daughter turns 21 years old.
Eligibility to Open an SSY Account
The scheme is available exclusively for girl children. Parents or legal guardians can open the account in the name of a girl child below the age of ten years. Each girl can have only one SSY account, but a family is allowed to open up to two accounts if they have two daughters. In special cases of twins or triplets, more than two accounts are permitted.
Minimum and Maximum Investment Limits
The Sukanya Samriddhi Yojana account can be opened with a minimum deposit of ₹250. Parents can continue to contribute any amount in multiples of ₹50, subject to a maximum of ₹1.5 lakh in a financial year. This flexibility allows families from different income groups to participate according to their financial capacity. The account matures after 21 years from the date of opening or upon the marriage of the girl child after the age of 18, whichever comes first. Contributions need to be made for only 15 years, after which the account continues to earn interest until maturity. This makes SSY a long-term wealth-building option with guaranteed returns.
Interest Rate of Sukanya Samriddhi Yojana
The Government of India reviews and updates the SSY interest rate every quarter. As of 2025, the scheme offers 8.2% per annum, compounded annually. This rate is higher than most other small savings schemes, which makes SSY one of the most rewarding options for long-term investors. SSY enjoys EEE status, which means Exempt–Exempt–Exempt. The deposits made are eligible for tax deduction under Section 80C of the Income Tax Act up to ₹1.5 lakh per year. The interest earned and the maturity amount are also completely tax-free, giving families an additional financial advantage.
Partial Withdrawal Facility
When the girl child turns 18 years old, the account allows a partial withdrawal of up to 50% of the balance. This option is particularly useful to meet higher education expenses such as tuition fees, hostel charges, or professional course costs. The remaining balance continues to earn interest until maturity. To open an SSY account, parents need to provide the girl child’s birth certificate, proof of identity and residence of the parent or guardian, and passport-sized photographs. The account can be opened easily at any post office or authorized bank branch across India.
Where to Open an SSY Account
Sukanya Samriddhi Yojana accounts are available through all major banks and India Post branches. This wide availability ensures that families in both rural and urban areas can benefit from the scheme. Online deposit facilities are also available in many banks, making it convenient to manage contributions.
Premature Closure of the Account
Although SSY is designed for long-term savings, the account can be closed prematurely in special cases such as the unfortunate death of the account holder, critical illness, or financial hardship of the guardian. The government has laid down clear rules to ensure that premature closure is allowed only in genuine cases. Compared to other popular savings schemes like Public Provident Fund (PPF) and National Savings Certificate (NSC), SSY offers one of the highest interest rates. Unlike PPF, which is open to everyone, SSY is exclusively for girl children, which makes it a focused scheme with a clear social purpose. The higher interest rate, tax benefits, and guaranteed returns make it stand out among long-term savings options.
Importance of SSY for Families
SSY is more than just a financial product; it represents the government’s effort to empower the girl child. It gives parents peace of mind that they are systematically saving for their daughter’s future, while also instilling a culture of planned investment. By reducing financial worries, the scheme helps families focus on education and skill development for their daughters. The Sukanya Samriddhi Yojana is one of the best schemes in India for families who want to secure their daughter’s future. With an attractive interest rate of 8.2%, tax benefits, and government backing, it is both safe and rewarding. It combines financial planning with social responsibility, ensuring that every girl child gets the opportunity to study and grow without financial obstacles. For parents looking to invest wisely, SSY is an investment that creates both wealth and confidence for the future.
