Sukanya Samriddhi Yojana is a small government deposit scheme exclusively dedicated to her child and launched as part of the Beti Bachao Beti Padhao campaign. The scheme aims to cover education and marriage expenses for the girl child.
The government has taken various measures in terms of education and financial freedom for the girl child. Sukanya Samriddhi Yojana is one of the government’s return plans to help parents save for education and marry the girl child from the very beginning.
Sukanya Samriddhi Yojana Account (SSY): Eligibility, Interest Rate, Interest
Sukanya Samriddhi Yojana is a small savings scheme, which can be opened in post offices and private and public banks in the form of savings account in the name of the child. The interest rate is announced every three months just like other post office schemes. The interest rate from January to March 1919 (fourth quarter of the fiscal year 2018-1919) was 8.5%.
If you plan to invest in the scheme, you can use the Sukanya Samriddhi Yojana calculator to calculate the amount of maturity at the end of the term. You can use the calculator to find out how much you can save with this scheme of higher education and / or daughter marriage.
Who can use the SSY calculator?
To use this calculator, a person must meet the eligibility requirements for the Sukanya Samriddhi scheme. According to the rules, the following persons may open a Sukanya Samriddhi account
- The child should not be more than 10 years old
- Must be a resident citizen of India
- The account cannot be opened for more than two children from the same family
How to use Sukanya Samriddhi calculator
If you meet the eligibility requirements, the calculator will ask you to determine your daughter’s age/strength and the amount you wish to invest in. The minimum amount you can invest is Rs 1000 and the maximum is Rs 1.5 lakh in one fiscal year. As of July 5, 2018, the government reduced the minimum investment amount to Rs 250.
Eligibility for Sukanya Samriddhi Yojana account
The following are the main eligibility criteria for opening a Sukanya Samriddhi Yojana account:
- Only parents or legal guardians of a child can open a Sukanya Samriddhi account on behalf of the girl.
- The child must be under 10 years of age at the time of account opening. The account can be operated until the girl reaches the age of 21 years.
- The initial investment can start from Rs. 250 and a maximum of Rs. 1,50,000 per year with more deposits in multiples of Rs. 100.
- One child can not have accounts Sukanya Samridhhi.
- You can take advantage of the higher interest rates offered by the company’s fixed deposits
- Only two Sukanya Samriddhi Yojana accounts are allowed per family, i.e. one per girl.
Learn more about Sukanya Samriddhi Yojana Account
- The penalty of Rs. 50 will be charged if the account is not added with the minimum amount.
- The guardian must deposit an amount for 14 years, and this is not required after the maturity.
- Withdrawing 50% of the accumulated amount (at the end of the previous fiscal year) is allowed after the child reaches the age of 18 years.
- The account can be closed after the completion of 21 years and funds can be withdrawn. If the amount is not withdrawn, it will continue to earn interest.
- According to Article 80C of the Income Tax Law, the investment of Rs. You will be exempted 1.5 per year including interest earned entirely from income tax.
The table below highlights the key differences between Bajaj Finance Child FD and SSY Scheme:
|Parameters||Bajaj Finance Child FD||Interest Rate (%)|
|Tenor||1-5 Years||21 Years|
|Gender/Age Restriction||Nil||Only for girl child below 10 years of age|
|Availability||Online||PS Banks (Offline)|
|Emergency Funds||Can avail Loan against FD||No|
|Online Account Management||Yes||No|
|Periodic Interest Payout||Yes||No|
Thus, Bajaj Finance Child FD has more benefits than the Sukanya Samriddhi Yojana, which makes it a better investment option than the latter. Start investing in a Bajaj Finance Fixed Deposit right away, to make your savings grow.
Investment in the Sukanya Samriddhi Yojana scheme is exempt from income tax under Section 80C. The scheme provides a tax benefit under the triple system. The principal, interest and external flow are all tax-free.
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