Sukanya Samriddhi Yojana: Invest Rs 250 for your girl child and get Rs 65 lakh in return

Sukanya Samriddhi Yojana was introduced by the Indian government, enabling parents to register savings accounts for their daughters and earn interest on the money put. The scheme was launched in 2015, and is available to parents or legal guardians of a girl child below the age of 10 years.

Investors can open Sukanya Samriddhi Yojana Accounts at Indian post offices and 25 authorized banks. The process for opening an account is straightforward and requires only a few documents. With a minimum deposit of Rs 250, you can open this account.

To complete the process, you will need to follow these steps: fill out the account opening form, have the necessary documents and photographs ready, and pay the deposit amount (which can be any amount between Rs 250 and Rs 1.5 lakh). You can set up automatic credit to the account through net banking or give a standing instruction at the branch.

To open an account, you will need the following documents: the account opening form, the beneficiary's birth certificate (which can be obtained from the hospital, a government-notified domicile, or the child's school principal), valid address proof for the guardian or parents, and identity proof for the guardian or parents. Each family can open upto 1 account for each girl child and a maximum of up to three in case of twin girls being born the second time.

The maturity period of Sukanya Samriddhi Yojana is 21 years from the date of account opening. Deposits upto a maximum of Rs 1.5 lakh can be made every year for a period of 15 years from the date of opening, as per SSY rules.

Additionally, deposits up to Rs 1.5 lakh are eligible for tax deductions under Section 80C of the Income Tax Act, making this a compelling investment option. Upon submission of Form 3, the investor can withdraw up to 50% of maturity amount provided the girl has attained 15 years of age or passed 10th standard, whichever is earlier.

The interest shall be calculated for the calendar month on the lowest balance in the account between the close of the fifth day and the end of the month.

The interest shall be credited to the account at the end of each financial year and any amount of interest in fraction of a rupee shall be rounded off to the nearest rupee and for this purpose any amount of fifty paisa or more shall be treated as one rupee and any amount less than fifty paisa shall be ignored.

A parent or a legal guardian may open the SSY account on behalf of the girl child upon her birth. According to the SSY calculator, the maturity amount at the end of 21 years with an annual deposit of 1.5 lakh for 15 years at an assumed average rate of 7.6% will accumulate to Rs 65,93,071. Out of this amount, the deposit will be Rs 43,43,071 and Rs 22,50,000 will be the interest earned on investments.