Sukanya Samriddhi Yojana (SSY) is a government-backed small savings scheme for the girl child. The account can be opened anytime from birth to age 10, deposits are made for 15 years, and the account matures when the girl turns 21.

How the calculation works

Balance = (Previous Balance + Annual Deposit) × (1 + r)

Where:
r = Annual SSY Interest Rate
Deposits are made for 15 years
Account matures when the girl turns 21 years old

A quick example

Let us calculate SSY maturity for a typical deposit plan:

Annual Deposit:₹50,000

Child's Current Age:3 years

Interest Rate:8.2% p.a.

Step by step

1.Deposit ₹50,000 annually for 15 years (total deposited: ₹7,50,000)
2.Account matures at age 21 (18 years from age 3)
3.After 15 years of deposits, the account continues to earn interest for 3 more years (no deposits)
4.50% can be withdrawn at age 18 for higher education

So the answer is: Maturity Amount ≈ ₹22,00,000 | Interest Earned ≈ ₹14,50,000 | Returns: ~3× of deposited amount

Frequently Asked Questions

Who can open an SSY account?

A parent or legal guardian can open an SSY account for a girl child from birth until she turns 10 years old. Only one account per girl child is allowed.

What is the minimum and maximum deposit?

The minimum annual deposit is ₹250 and the maximum is ₹1.5 lakh. Deposits can be made in lump sum or in installments throughout the year.

What happens if I miss a deposit?

If the minimum annual deposit of ₹250 is not made, the account becomes inactive. It can be reactivated by paying a penalty of ₹50 per year along with the minimum deposit.

Is SSY tax-free?

Yes, SSY follows the EEE (Exempt-Exempt-Exempt) model. Deposits are eligible for deduction under Section 80C, interest earned is tax-free, and the maturity amount is completely tax-free.