Sukanya Samriddhi Yojana Calculator
Calculate maturity amount, interest earned, and annual contributions for Sukanya Samriddhi Yojana. Plan your child's future with this powerful tool.
functions Mathematical Formula
The Sukanya Samriddhi Yojana (SSY) calculation involves two main phases:
-
Accumulation during Contribution Period (15 years):
For each year 't' from 1 to 15, if 'P' is the annual contribution and 'r' is the annual interest rate, the accumulated amount (A_t) at the end of year 't' is:
A_t = (A_{t-1} + P) \times (1 + r)
where A_0 = 0. This iteratively calculates the growth of the account balance with annual deposits and compounding interest.
-
Accumulation from End of Contribution Period to Maturity (Total 21 years from account opening):
After 15 years, no further contributions are made. The accumulated sum (A_{15}) continues to earn interest until the maturity period of 21 years from account opening. This means interest accrues for an additional 6 years (21 - 15 = 6).
Maturity Amount = A_{15} \times (1 + r)^{6}
The calculator performs these calculations based on the initial 'Girl Child's Age (at opening)', 'Annual Investment', and the 'Current Interest Rate' to determine the final maturity amount.
What is Sukanya Samriddhi Yojana (SSY)?
The Sukanya Samriddhi Yojana (SSY) is a small savings scheme launched by the Government of India as part of the 'Beti Bachao Beti Padhao' campaign. It is designed to encourage parents to build a fund for the future education and marriage expenses of their girl child. The scheme offers attractive interest rates and tax benefits, making it a popular choice for long-term financial planning for girls.
Eligibility Criteria for SSY Account
- A girl child must be a resident Indian citizen.
- The account can be opened anytime from the birth of a girl child until she attains the age of 10 years.
- Only one account is allowed per girl child.
- A maximum of two SSY accounts are allowed per family (for two girl children). In case of twin/triplet girls in the first or second birth order, a third account may be permitted.
- The legal guardian or parent can open and operate the account until the girl child turns 18 years old.
Key Features & Benefits
- High Interest Rate: SSY typically offers one of the highest interest rates among small savings schemes, revised quarterly by the government.
- Tax Benefits: Contributions, interest earned, and maturity amount are all exempt from tax under Section 80C of the Income Tax Act, making it an EEE (Exempt-Exempt-Exempt) scheme.
- Assured Returns: Being a government-backed scheme, SSY provides guaranteed returns with no market risks involved.
- Long-term Savings: The scheme encourages long-term savings, maturing when the girl child turns 21, aligning with typical higher education or marriage timelines.
- Partial Withdrawal: Up to 50% of the balance can be withdrawn for higher education expenses once the girl child turns 18 or passes Class 10.
How to Open an SSY Account?
Opening a Sukanya Samriddhi Yojana account is a straightforward process:
- Visit a Bank or Post Office: Accounts can be opened at any authorized commercial bank branch or post office.
- Fill the Application Form: Obtain and fill the SSY account opening form, providing details of the girl child and the parent/guardian.
- Submit Documents: Required documents typically include the birth certificate of the girl child, identity proof of the parent/guardian (e.g., Aadhar Card, PAN Card), and address proof.
- Make Initial Deposit: A minimum initial deposit of ₹250 is required to open the account. Subsequent deposits can be made annually in multiples of ₹50, with a minimum of ₹250 and a maximum of ₹1.5 lakh per financial year.
- Get Passbook: A passbook will be issued, documenting all transactions related to the SSY account.
Frequently Asked Questions
What is the minimum and maximum deposit limit for SSY?
The minimum annual deposit for an SSY account is ₹250, and the maximum is ₹1.5 lakh per financial year. Deposits can be made in multiples of ₹50.
When does an SSY account mature?
An SSY account matures upon the completion of 21 years from the date of account opening or upon the marriage of the girl child after she attains 18 years of age, whichever is earlier. No deposits are required after 15 years from the account opening date, but the account continues to earn interest until maturity.
Are there any tax benefits associated with Sukanya Samriddhi Yojana?
Yes, SSY offers significant tax benefits under Section 80C of the Income Tax Act. The deposits made, the interest earned, and the maturity amount are all exempt from tax. This makes it an 'EEE' (Exempt-Exempt-Exempt) investment option.
Can I withdraw money from the SSY account before maturity?
Partial withdrawal is allowed once the girl child turns 18 years old or has passed 10th standard, whichever is earlier. Up to 50% of the balance available at the end of the preceding financial year can be withdrawn for the purpose of higher education expenses.
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