Sukanya Samriddhi Yojana — Rate, Rules and Maturity Value

• Who: a parent or legal guardian can open one account per girl child, before she turns 10, for up to two daughters (more in the case of twins or triplets).
• Where: post offices and authorised banks; accounts can be transferred anywhere in India.
• Deposits: minimum ₹250, maximum ₹1.5 lakh per financial year, in any number of instalments.
• Deposit period: 15 years from opening. From year 16 to 21, no deposits are needed but interest keeps accruing.
• Maturity: 21 years from the date of opening — not from the girl's 21st birthday.
• Missed deposits: an account without the minimum deposit becomes irregular and can be revived with a small penalty for each year missed.

Interest rate and how it compounds

The rate is notified each quarter. According to the National Savings Institute, SSY has paid 8.2% since January 2024, after 7.6% for most of 2020–2023 and higher rates in its early years. Interest is compounded yearly and credited at the end of the financial year. Because it is calculated on the lowest balance between the 5th and the end of each month, depositing before the 5th — ideally early in April — earns a little more.

These assume the rate stays at 8.2% for all 21 years and deposits are made at the start of each year. The real rate will change, so treat them as illustrations.

• ₹1.5 lakh a year: total deposited ₹22.5 lakh · maturity about ₹71.8 lakh · interest about ₹49.3 lakh
• ₹50,000 a year: total deposited ₹7.5 lakh · maturity about ₹23.9 lakh
• ₹12,000 a year (₹1,000 a month): total deposited ₹1.8 lakh · maturity about ₹5.7 lakh

The six years with no deposits do a lot of the work: the balance keeps growing at the full rate on a large base. Change the deposit and rate in the Sukanya Samriddhi calculator.

SSY is "exempt-exempt-exempt": deposits are deductible, interest is tax-free and the maturity amount is tax-free. The deduction, though, is under 80C, which is available only in the old regime. In the new regime you still get tax-free interest and maturity — the core benefit — but no deduction for deposits. Compare the regimes in the old vs new regime tool, and see where SSY fits in the 80C deductions list.

• Documents: the girl's birth certificate, the parent or guardian's identity and address proof (KYC such as Aadhaar and PAN), and photographs, along with the account-opening form at the post office or bank.
• Deposits: by cash, cheque or online transfer where the bank or post office supports it; many people set up a standing instruction early in the financial year.
• Operation: the guardian operates the account until the girl turns 18, after which she can operate it herself with her own KYC.
• Transfer: if the family moves, the account can be shifted between post offices and banks without breaking it.

• Education: up to 50% of the balance at the end of the previous financial year can be withdrawn once the girl turns 18 or passes class 10, for higher education expenses.
• Marriage: the account can be closed early for marriage after she turns 18.
• Other early closure: allowed in limited cases such as the account holder's death or extreme compassionate grounds; otherwise money stays locked until maturity.

SSY currently pays more than PPF (7.1%), both are tax-free and government-backed, and SSY's lock-in is tied to the girl's age, which suits education and marriage goals. PPF is open to anyone and runs 15 years with extensions — see the PPF calculator. Equity mutual funds may earn more over 15–20 years but are subject to market risk and returns are not guaranteed. Many families combine a guaranteed base such as SSY with some equity exposure for longer goals. Also factor in education inflation: a course costing ₹20 lakh today could cost about ₹63 lakh in 15 years at 8% a year, as our inflation guide shows.

See year-by-year growth for your deposit in the Sukanya Samriddhi calculator.