Sukanya samriddhi yojana 2025: returns, rules & benefits explained
Why sukanya samriddhi yojana matters in 2025
Planning your daughter’s future in today’s financial world can be a difficult task, With increasing education and marriage costs, finding a secure and high return investment is essential. One of the most trusted and tax saving schemes offered by the government of India is the sukanya samriddhi yojana.
If you are a parent wondering how to secure long term financial security for your girl child, this scheme is worth understanding in detail.
About sukanya samriddhi yojana:
sukanya samriddhi yojana is a government supported savings scheme started as part of the beti bachao beti padhao campaign. It allow parents/guardians to open a savings account in the name of a girl child aged 10 years/younger.
- Launched by: Government of India
- Eligibility: Girl child aged 0-10 years
- Deposit period: 15 years
- Maturity: 21 years from the date of account opening
- Minimum deposit: 250 per year
- Maximum deposit: 1.5 lakh per year
Key Benefits of SSY
High Interest Rate
SSY currently gives an interest rate of 8.2% per annum (as of Q2 FY 2024-25), which is higher than major fixed deposits and recurring deposits.
Triple Tax Exemption (EEE)
- Investment: Deduction under Section 80C [upto 1.5 lakh]
- Interest earned: Tax free
- Maturity amount: Tax free
Safe & Government Backed
Being backed by the government, SSY offers guaranteed returns & is considered one of the secured options for long term savings.
Sukanya samriddhi yojana rules simplified
Age Limit
- Girl child must be under 10 years at the time of opening the account.
Who Can Open the Account?
- A parent or legal guardian can open the account for up to two girl children (third allowed in case of twins).
Account Maturity
- Matures 21 years from the date of account opening, or upon marriage of the girl after age 18.
- Deposits are required for only 15 years; interest continues until maturity.
Withdrawal Rules
- Up to 50% of the balance can be withdrawn after the girl turns 18, for higher education or marriage.
Premature Closure
- Allowed in case of death, marriage after age 18, or if the girl becomes NRI or citizen of another country.
Practical example: How much can you earn?
Suppose you invest 5,000 every month in an SSY account from the time your daughter is 1 year old.
- Annual investment: 60,000
- Deposit period: 15 years
- total investment: 9,00,000
- Interest earned: 12,62,000 (approx @8.2%)
- Maturity value at 21 years: 21,62,000
That’s over 2.4x returns compared to your principal amount, without any tax liability!
SSY vs PPF vs Fixed Deposit: Which is better?
| Feature | SSY | PPF | Bank FD |
| Interest Rate | 8.2% | 7.1% | 6-7% |
| Lock-in | 21 years | 15 years | 5 years (min) |
| Tax Saving | Yes (EEE) | Yes (EEE) | Only under 80C |
| Safety | Govt-backed | Govt-backed | Bank dependent |
SSY wins in interest rate and tax-free maturity, making it ideal for girl child financial planning.
Tax Benefits with Real Example
Suppose you invest ₹1.5 lakh annually under SSY:
- You can save up to ₹45,000 in taxes [if in 30% tax slab] under Section 80C.
- Interest & maturity amounts are fully tax free.
When SSY May Not Be Suitable
- If you plan to move abroad (NRI status not eligible)
- Cannot commit for 15 continuous years of deposit
- Want higher growth through market-linked options
Common myths busted
- Myth: SSY matures when the girl turns 21 ❌
- Fact: It matures 21 years after account opening, not age.
- Fact: It matures 21 years after account opening, not age.
- Myth: Interest is fixed for 21 years ❌
- Fact: Interest is revised quarterly by the government.
- Fact: Interest is revised quarterly by the government.
- Myth: Can’t withdraw before 21 ❌
- Fact: 50 percentage withdrawal allowed after age 18.
- Fact: 50 percentage withdrawal allowed after age 18.
Final thoughts: Is SSY worth it?
If you are thinking for a assured, tax free and high interest investment to secure your daughter’s future sukanya samriddhi yojana is a best choice. It supports disciplined saving and provides peace of mind for long term goals like higher education or marriage.
FAQ’s about sukanya samriddhi yojana
No, only one SSY account is allowed per girl child.
No, NRI’s are not eligible to open or maintain SSY accounts.
You can revive the account by paying a penalty of ₹50 per year + missed minimum deposit.
Yes, you can transfer it to any authorized bank or post office across India.
Yes, many banks and financial websites provide free SSY maturity calculators.
https://www.sbisecurities.in/calculators/sukanya-samriddhi-yojana
Check out our other posts:
Provident funds in India: A simple guide for long term savings
NPS tax benefits explained: Save up to ₹2 lakh with India’s top retirement scheme
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