Sukanya Samriddhi Yojana: Key Things to Know

Eligibility: The scheme is open to parents or legal guardians of a girl child below the age of 10 years.

Account Opening: An SSY account can be opened at authorized post offices or designated banks. The account can be opened with a minimum deposit of Rs. 250.

Deposits and Balance: Deposits can be made in the account until the completion of 15 years from the date of account opening. The account remains active until the completion of 21 years, but no further deposits are allowed after the completion of 15 years. The account balance earns a specified rate of interest, which is announced by the government annually.

Investment Limit: The minimum annual deposit required is Rs. 250, while the maximum limit is Rs. 1.5 lakh. Deposits can be made in multiple of Rs. 100.

Tax Benefits: Contributions made to the SSY account are eligible for a deduction under Section 80C of the Income Tax Act, up to a maximum of Rs. 1.5 lakh per financial year.

Withdrawals: Partial withdrawals are allowed from the account when the girl child reaches the age of 18 years, but the amount is limited to 50% of the account balance. The purpose of the withdrawal must be for the girl child's higher education or marriage.

Maturity and Closure: The account matures after the completion of 21 years from the date of account opening. At maturity, the account holder can withdraw the entire balance, including interest.

Transferability: The SSY account can be transferred from one post office/bank to another, anywhere in India.

Purpose: The primary objective of the Sukanya Samriddhi Yojana is to promote the financial well-being of girl children, ensuring funds are available for their higher education or marriage expenses.