In my 7 years of working with salaried professionals, Sukanya Samriddhi Yojana is the one scheme I recommend without hesitation to every parent with a daughter below 10 years. The combination of a government-backed 8.2% interest rate, 21-year compounding, and complete EEE tax status makes it the most efficient long-term savings instrument available in India today. Use the calculator above to see exactly how much your SSY account will be worth at maturity.
What Is Sukanya Samriddhi Yojana?
Sukanya Samriddhi Yojana (SSY) is a government-backed small savings scheme launched in January 2015 under the Beti Bachao, Beti Padhao campaign. It is designed specifically for parents saving for a girl child's higher education or marriage expenses. The account is opened in the girl child's name by her parent or legal guardian.
The scheme offers one of the highest interest rates among all government savings instruments in India currently 8.2% per annum for FY 2025-26, compounded annually. The interest rate is reviewed by the government every quarter based on Government Security yields.
What Is a Sukanya Samriddhi Yojana Calculator?
An SSY calculator is an online tool that estimates the maturity amount of your Sukanya Samriddhi account based on your annual investment and your daughter's current age. It applies the 8.2% annual compounding formula across 15 deposit years and 21 total years to show you the exact corpus you will receive at maturity including total investment, interest earned, and maturity year.
How to Use the FinLecture SSY Calculator
- Enter your daughter's current age (must be below 10 years)
- Enter the investment start year (default: 2026)
- Enter your planned annual investment amount (minimum Rs. 250, maximum Rs. 1,50,000)
- Click Calculate - maturity value, investment value, maturity year, and interest earned appear instantly
SSY Interest Rate 2026
The current SSY interest rate is 8.2% per annum, compounded annually. This rate applies for all four quarters of FY 2025-26 and is the highest among all government small savings schemes including PPF (7.1%) and NSC (7.7%).
| Scheme | Interest Rate FY 2025-26 |
|---|---|
| Sukanya Samriddhi Yojana | 8.2% p.a. |
| PPF | 7.1% p.a. |
| NSC | 7.7% p.a. |
| Senior Citizen Savings Scheme | 8.2% p.a. |
| Post Office FD (5 year) | 7.5% p.a. |
SSY Maturity Amount: How Is It Calculated?
The SSY maturity calculation works as follows:
- You deposit money for the first 15 years from account opening
- The account continues to earn interest for 21 years from opening date
- No deposits are required in years 16 to 21 interest compounds automatically
- At the end of 21 years, the entire corpus (principal + interest) is paid to the girl child
Example 1: Annual Investment of Rs. 1,00,000
Neha opens an SSY account for her 3-year-old daughter in 2026 with an annual investment of Rs. 1,00,000.
| Amount | |
|---|---|
| Annual Investment | Rs. 1,00,000 |
| Total Deposits (15 years) | Rs. 15,00,000 |
| Maturity Year | 2047 |
| Interest Earned | Rs. 32,91,812 (approx) |
| Maturity Value | Rs. 47,91,812 (approx) |
Example 2: Maximum Investment of Rs. 1,50,000
Rohan opens an SSY account for his 5-year-old daughter in 2026 with the maximum annual investment of Rs. 1,50,000.
| Amount | |
|---|---|
| Annual Investment | Rs. 1,50,000 |
| Total Deposits (15 years) | Rs. 22,50,000 |
| Maturity Year | 2047 |
| Interest Earned | Rs. 49,37,718 (approx) |
| Maturity Value | Rs. 71,87,718 (approx) |
This shows why SSY is so powerful Rs. 1,50,000 per year for 15 years creates a tax-free corpus of over Rs. 70 lakh at maturity.
SSY Tax Benefits: EEE Status
SSY enjoys EEE (Exempt-Exempt-Exempt) tax status - the most favourable tax treatment available for any investment in India:
E1 - Investment is exempt: Annual deposits up to Rs. 1,50,000 qualify for deduction under Section 80C. This directly reduces your taxable income.
E2 - Interest is exempt: The 8.2% interest earned every year is completely tax-free. It is not added to your income at any point.
E3 - Maturity is exempt: The entire maturity amount - principal plus all accumulated interest is received by the girl child completely tax-free.
Important: The Section 80C deduction of Rs. 1,50,000 is available only under the Old Tax Regime. If you are on the New Tax Regime, you cannot claim the 80C deduction, though the interest and maturity remain tax-free. For more on which regime suits you better, read our guide on income tax slabs FY 2026-27.
SSY Eligibility Rules
To open a Sukanya Samriddhi Yojana account, the following conditions must be met:
- The girl child must be below 10 years of age at the time of account opening - including the day she turns 10
- The account is opened in the girl child's name by her parent or legal guardian
- Maximum one SSY account per girl child
- Maximum two SSY accounts per family (one for each daughter)
- Exception: If the second birth results in twin or triplet girls, a third account is permitted with documentary proof
- Only Indian residents can hold SSY accounts. If the account holder or guardian becomes an NRI or OCI after opening, the account must be closed
SSY Deposit Rules
| Parameter | Detail |
|---|---|
| Minimum deposit per year | Rs. 250 |
| Maximum deposit per year | Rs. 1,50,000 |
| Deposit period | 15 years from account opening |
| Deposit frequency | Any number of times in a financial year |
| Deposit modes | Cash, cheque, demand draft, online transfer |
If you miss a year: The account becomes inactive. To reactivate, pay a penalty of Rs. 50 per defaulted year plus the minimum deposit of Rs. 250 for each missed year. The account continues to earn interest even during the inactive period.
SSY Withdrawal Rules
Partial Withdrawal at Age 18
Once the girl child turns 18, up to 50% of the account balance as of the end of the previous financial year can be withdrawn for:
- Higher education fees (admission fees or other fees as per the fee slip)
- Marriage expenses (withdrawal allowed only after the girl turns 18)
This withdrawal is completely tax-free. The remaining balance continues to earn 8.2% interest until maturity.
Full Withdrawal at Maturity (Age 21)
The account matures 21 years from the date of opening. At maturity, the entire corpus - principal plus all accumulated interest is paid directly to the girl child. The full amount is tax-free.
Premature Closure
Premature closure before 21 years is permitted only in the following circumstances:
- Death of the account holder (girl child)
- Life-threatening illness of the account holder with documentary proof
- Death of the parent or guardian
In all other cases, the account must run until maturity.
Where to Open an SSY Account
SSY accounts can be opened at:
- Any post office in India
- Authorised commercial banks including SBI, Bank of Baroda, Punjab National Bank, Canara Bank, HDFC Bank, ICICI Bank, Axis Bank, and others
You will need the girl child's birth certificate, parent or guardian's identity proof, address proof, and a passport-size photograph. You can also open and manage the account online through your bank's net banking portal if the bank offers this facility.
For the official SSY account opening form and authorised bank list, visit the India Post website.
SSY vs Other Tax-Saving Options
Parents often compare SSY with other Section 80C options. Here is a quick comparison:
| Feature | SSY | PPF | ELSS Mutual Fund |
|---|---|---|---|
| Interest / Returns | 8.2% guaranteed | 7.1% guaranteed | Market-linked (12-15% historical) |
| Tax status | EEE | EEE | EEE (3-year lock-in) |
| Lock-in | 21 years | 15 years | 3 years |
| Risk | Zero (government-backed) | Zero (government-backed) | Market risk |
| Who can invest | Parents of girl child below 10 | Any individual | Any individual |
| Section 80C limit | Rs. 1,50,000 | Rs. 1,50,000 | Rs. 1,50,000 |
SSY wins on interest rate and safety. ELSS wins on liquidity and potential returns. PPF is the closest alternative with no gender restriction.
For a complete picture of all tax-saving options under Section 80C, read our article on Section 80C deductions.
SSY and the New Tax Regime
One critical point many parents miss in 2026: the Section 80C deduction for SSY deposits applies only under the Old Tax Regime. The New Tax Regime - which is the default from FY 2025-26 does not allow any Section 80C deductions.
However, even under the New Tax Regime:
- The interest earned on SSY remains tax-free
- The maturity amount remains fully tax-free
So SSY is still a worthwhile investment even if you are on the New Tax Regime - you simply lose the Rs. 1,50,000 annual deduction benefit. For parents who are on the Old Tax Regime primarily to claim 80C deductions including SSY, read our tax saving tips for salaried employees before deciding which regime works better for your situation.
Frequently Asked Questions
Can I open two SSY accounts for two daughters?
Yes. One account per girl child is allowed, and a family can have a maximum of two accounts - one for each daughter. A third account is permitted only if the second birth results in twins or triplets.
What happens if I deposit more than Rs. 1,50,000 in a year?
Any amount deposited above Rs. 1,50,000 in a financial year earns no interest and is returned without any benefit. The excess amount is neither eligible for 80C deduction nor for interest.
Can the account be transferred if we move cities?
Yes. SSY accounts can be transferred from one post office or bank to another anywhere in India, free of charge, by submitting a transfer request with proof of new address.
What is the last date to deposit in SSY every year?
Deposits can be made any time during the financial year (April 1 to March 31). To maximise interest, the ideal time to deposit is at the beginning of the financial year in April since interest is calculated on the lowest balance between the 5th and end of the month.
What happens to the SSY account if the girl child gets married before 21?
The account can be closed on the occasion of marriage after the girl turns 18. A declaration that the marriage is taking place must be submitted. The full balance is paid out tax-free.
Can NRIs open an SSY account?
No. SSY is available only for Indian resident individuals. If the account holder or guardian becomes an NRI or OCI after the account is opened, the account must be closed from the date of change in residential status.
Is the SSY interest rate fixed for the entire 21-year period?
No. The interest rate is reviewed by the government every quarter. The rate applicable to each quarter is applied to the balance during that period. As of FY 2025-26, the rate is 8.2% and has remained unchanged since January 2023.
Can a girl child operate her own SSY account?
The parent or guardian operates the account until the girl turns 18. After she turns 18, she takes over the account and operates it herself until maturity at 21.