The Sukanya Samriddhi Yojana (SSY)

The Sukanya Samriddhi Yojana (SSY) is a government-backed savings scheme in India designed to encourage parents to save for their daughters’ future education and marriage expenses. Here’s a summary of the key features of the scheme:

Eligibility:

  • The girl child must be an Indian resident.
  • The girl child must be under the age of 10 years at the time of account opening.

Account Opening:

  • The account can be opened by the girl child’s parents or legal guardians.
  • A maximum of two accounts can be opened per girl child.
  • The account can be opened at any branch of State Bank of India (SBI) or any other authorized bank or post office.

Deposits:

  • The minimum deposit amount is ₹250 per year.
  • The maximum deposit amount is ₹1.5 lakh per year.
  • Deposits can be made in cash, by cheque, or by demand draft.

Interest Rate:

  • The interest rate is set by the government and is subject to change every quarter.
  • The current interest rate is 8.2% per annum (as of January 1, 2024).
  • The interest is compounded annually and credited to the account.

Tenure:

  • The account matures 21 years from the date of opening or when the girl child gets married after turning 18.

Withdrawals:

  • Partial withdrawals of up to 50% of the account balance are allowed for higher education or marriage expenses once the girl child turns 18.

Tax Benefits:

  • Investments under the SSY are eligible for tax deductions under Section 80C of the Income Tax Act.
  • The interest earned on the account is also tax-free.

Other Benefits:

  • The account can be transferred to any other authorized bank or post office in India.
  • The account can be reactivated by paying a penalty of ₹50 if it becomes inactive due to non-payment of the minimum deposit amount.

How to Open an SSY Account at SBI:

  1. Visit your nearest SBI branch.
  2. Fill out the SSY application form.
  3. Submit the required documents:
    • Birth certificate of the girl child
    • Identity proof and address proof of the parents or legal guardian
    • Photographs of the girl child and the parents or legal guardian
  4. Make the initial deposit.

Additional Information:

  • The SSY is a part of the “Beti Bachao, Beti Padhao” campaign, which aims to empower girls.
  • The scheme offers a higher interest rate than most other small savings schemes.
  • The maturity amount is completely tax-free.

Please note: The information provided here is based on the current rules and regulations of the SSY. It is always advisable to check with the bank or post office for the latest updates.

I hope this information is helpful!