Sukanya Samriddhi Yojana Explained
Who can open a Sukanya Samriddhi account, the deposit limits and tenure, how the interest rate is set, and its tax treatment.
Sukanya Samriddhi Yojana (SSY) is a government small-savings scheme for the future education and marriage expenses of a girl child. It usually offers one of the higher rates among small-savings schemes, and the rate is reset by the government every quarter.
Key rules
- Who can open: a parent or legal guardian, for a girl below 10 years of age. Rules limit the number of accounts per family, with exceptions such as twins.
- Minimum deposit: a small yearly amount, currently ₹250.
- Maximum deposit: ₹1.5 lakh per financial year.
- Deposit period: 15 years from opening.
- Maturity: 21 years from opening. Partial withdrawal is allowed after the girl turns 18, for education or marriage, subject to conditions.
Interest
The rate is announced each quarter and applies to the whole balance, compounded yearly. Because it can change, do not assume today's rate for 21 years. Use the PPF calculator as a rough guide to how yearly-compounding deposits grow, using the current SSY rate.
Tax treatment
Deposits qualify under Section 80C in the old regime, and the interest and maturity amount are tax-free. In the new regime there is no deduction on deposit, but the interest remains tax-free under current rules.
Is it right for you?
It suits a safe, long-term, goal-linked saving for a daughter. It does not give equity-like growth. Many parents combine it with an equity SIP for higher potential growth; see the SIP calculator.
Rates and rules change. Confirm with India Post or your bank before opening an account.
Frequently asked questions
Can both parents open accounts?
No. Accounts are opened in the girl's name, with one account per girl and a family limit, so check the current rules.
What if I miss a yearly deposit?
The account becomes inactive, and you must pay a small penalty plus the minimum amount for each missed year to revive it.
More guides
Calculators
Last reviewed: October 2026. General education, not financial advice.