Raising a daughter comes with love and pride, but it also comes with responsibility, especially when planning for her future. Whether it’s education or marriage, every parent wants to build a strong financial base for their daughter. Many depend on savings accounts or fixed deposits, but those options may not offer the returns needed to match rising expenses.
That’s where Sukanya Samriddhi Yojana (SSY) steps in. This is a government-backed small savings scheme specially designed for the girl child. With high returns, tax benefits, and long-term financial security, this scheme helps parents build a solid fund when their daughter becomes an adult.
Let’s understand how you can create a fund of nearly ₹69.27 lakh by saving ₹12,500 monthly in the Sukanya Samriddhi Yojana.
What Is Sukanya Samriddhi Yojana (SSY)?
Sukanya Samriddhi Yojana is a small savings scheme launched under the ‘Beti Bachao, Beti Padhao’ initiative. This scheme aims to support the future financial needs of girls, especially for education and marriage.
The Ministry of Finance manages this scheme, and you can open the account in any post office or authorized bank across India. The scheme is safe, and your money is fully secured as the Government of India backs it.
Key Features of Sukanya Samriddhi Yojana
1. High Interest Rate
Currently (April–June 2025 quarter), SSY offers an interest rate of 8.2% per annum—much higher than most fixed deposits, savings accounts, or other government schemes.
2. Long-Term Investment
You need to invest for 15 years only, but the account matures after 21 years from the opening date. So, your money continues to grow with interest even after you stop investing.
3. Minimum and Maximum Investment
- Minimum yearly deposit: ₹250
- Maximum yearly deposit: ₹1.5 lakh
- Depending on your convenience, you can make deposit instalments in a sum or monthly.
4. Tax Benefits
- The amount you invest qualifies 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 entirely tax-free.
This makes it an EEE (Exempt-Exempt-Exempt) investment category.
Who Can Open a Sukanya Samriddhi Account?
- The account can be opened only in the name of a girl child.
- The girl must be less than 10 years old at the time of account opening.
- Only one account per girl is allowed.
- A maximum of two accounts can be opened in a family of two daughters.
However, in the case of twin girls born a second time, the parent can open three accounts.
How to Open a Sukanya Samriddhi Yojana Account?
You can visit any nearby post office or authorized bank branch, such as SBI, PNB, HDFC, ICICI, etc., and follow these steps:
Required Documents:
- Birth certificate of the girl child
- PAN card or Aadhaar of the parent/guardian
- Address proof (electricity bill, Aadhaar, passport, etc.)
- Passport-size photos of the parent and child
Once the account is opened, you will get a passbook with all details.
How ₹12,500 Monthly Can Grow into ₹69.27 Lakh
Let’s understand this with a real example.
If you invest ₹12,500 every month, it is ₹1.5 lakh in a year.
You do this for 15 years = ₹22.5 lakh total investment.
With an 8.2% interest rate, your investment will earn compound interest for 21 years.
Final Maturity Value: ₹69,27,578 (approx)
This means your investment of ₹22.5 lakh can grow to ₹69.27 lakh—more than three times the money you put in. This amount can cover higher education in India or abroad, marriage costs, or even serve as financial independence for your daughter.
How and When Can You Withdraw the Money?
There are two stages when you can take out money from the SSY account:
1. Partial Withdrawal (After Class 10)
You can withdraw up to 50% of the balance when the girl turns 18 to pay for her college education or related expenses.
2. Full Withdrawal (After 21 Years)
You can withdraw the full maturity amount after 21 years from the account opening date. The girl must be at least 18 years old at maturity.
If the girl gets married before 21, the account must be closed one month before or three months after the marriage date.
What Happens If You Miss Payments?
- The account becomes inactive if you fail to make the minimum deposit of ₹250 in a financial year.
- To reactivate it, you must pay a penalty of ₹50 and the missed amount.
So, always remember to deposit even the minimum amount to keep the account active.
Benefits of Sukanya Samriddhi Yojana Compared to Other Options
Feature Sukanya Yojana Bank FD Recurring Deposit PPF
| Feature | Sukanya Yojana | Bank FD | Recurring Deposit | PPF |
| Interest Rate | 8.2% | 6%–7% | 5.5%–7% | 7.1% |
| Lock-in Period | 21 years | 5–10 years | 5 years | 15 years |
| Tax Benefits | Full EEE | Only up to ₹1.5L (taxable interest) | Limited | EEE |
| Investment for | Girl child only | Anyone | Anyone | Anyone |
As you can see, SSY stands out regarding interest, security, and tax benefits, especially for parents of young daughters.
Important Tips Before Investing
- Start early, as the account can be opened only before the child turns 10.
- Use standing instructions for automatic monthly deposits to avoid missing payments.
- Track interest rates quarterly from the Finance Ministry announcements.
- Nominate the account properly in case of the unfortunate demise of the guardian.
Sources: Amar Ujala, Ministry of Finance
Disclaimer: The information in this article is for general awareness. Always check the latest government notifications or consult a financial advisor before investing.
