What is SSY? (Sukanya Samriddhi Yojana)
Sukanya Samriddhi Yojana is a government savings scheme launched in 2015 under the "Beti Bachao, Beti Padhao" initiative, designed specifically for the financial future of a girl child. The account matures when the girl turns 21 years of age.
The scheme currently offers 8.2% interest per annum, compounded annually — one of the highest rates among government small savings schemes.
Key Rules of SSY
- Eligibility: Account can be opened for a girl child below 10 years of age.
- Investment Limit: Minimum ₹250 and maximum ₹1,50,000 per year.
- Contribution Period: Deposits must be made for 15 years from account opening.
- Maturity: Account matures when the girl turns 21.
- Partial Withdrawal: Up to 50% allowed after the girl turns 18 (for education).
Tax Benefits
- Contributions qualify for deduction under Section 80C (up to ₹1.5 lakh).
- Interest earned is completely tax-free.
- The maturity amount is fully exempt from tax (EEE status).
Who Should Invest?
- Parents or guardians of a girl child below 10 years of age.
- Those looking for a safe, high-return, tax-free investment for a daughter's education or marriage.
