What is Sukanya Samriddhi Yojana (SSY)?
Sukanya Samriddhi Yojana is a government-backed small savings scheme launched in January 2015 under the “Beti Bachao, Beti Padhao” campaign, designed to help parents build a dedicated corpus for a girl child’s education and marriage.
The account can be opened at any post office or authorised bank in the name of a girl child below 10 years of age.
SSY currently offers 8.2% p.a., compounded annually, the highest interest rate among all government-backed small savings instruments, including PPF (7.1%) and the 5-year NSC (7.7%). Like PPF, it follows the EEE (Exempt-Exempt-Exempt) tax model, making it one of the most tax-efficient long-term savings options available for a daughter’s future.
How the SSY calculator works
Deposits into an SSY account are required for 15 years from the date it is opened. After that, no further deposits are needed, and the balance simply continues to compound until the account matures, 21 years after it was opened. This calculator splits the projection into those two phases.
A = P x [((1+r)^15 - 1) / r] x (1+r)
M = A x (1+r)^6
In the formula the letters represent the following:
| Variable | Meaning |
|---|---|
| P | The amount you deposit every year for the first 15 years |
| r | The annual SSY interest rate |
| A | The balance at the end of year 15, when deposits stop |
| M | The maturity value at the end of year 21 |
In practice, deposits can be made any time during the financial year and SSY interest is computed monthly on the lowest balance between the 5th and the last day of the month, then credited annually. The actual maturity amount may differ slightly from the figure shown here based on the timing of your deposits and any change in the SSY rate over the 21-year period. This calculator assumes the rate you select stays constant throughout.
Eligibility and account rules
How to open an SSY account
- Pick a branch: any post office, or an authorised bank such as SBI, ICICI, HDFC, or another that offers SSY accounts.
- Fill the SSY account opening form: available at the branch or on the bank's website, along with an initial deposit of at least ₹250.
- Submit documents: the girl's birth certificate, and identity and address proof (KYC) of the parent or guardian opening the account.
- Collect the passbook: the branch issues an SSY passbook recording the account number, opening deposit, and interest rate, used to track deposits going forward.
Some banks allow an existing customer to open an SSY account through net banking or their mobile app once KYC is already on file, but a first-time application at a post office still requires an in-person visit.
SSY vs other savings options
SSY vs PPF
SSY currently pays a higher rate than PPF (8.2% vs 7.1%) and is purpose-built for a girl child’s education and marriage, maturing 21 years after opening. The PPF calculator is open to anyone, has a 15-year lock-in, and can be extended indefinitely in 5-year blocks. Both are sovereign-guaranteed and follow the EEE tax model.
SSY vs Bank FD
Fixed deposit interest is fully taxable as per your income slab, while SSY interest and maturity proceeds are completely tax-free. Run the numbers on the FD calculator to compare: SSY pays a meaningfully higher rate than most FDs, but FDs can be broken any time with a penalty, while SSY funds are locked until the girl turns 18 except for specific purposes.
SSY vs Child Mutual Fund SIP
An equity SIP for a child’s goals carries market risk but has historically delivered higher long-term returns than fixed-income instruments. SSY offers a guaranteed, risk-free return with no market exposure. Many parents use both, treating SSY as the safe, guaranteed core of a daughter’s corpus and an SIP for additional growth.
Withdrawal and maturity rules
Partial withdrawal at 18
Once the account holder turns 18, up to 50% of the balance, as it stood at the end of the preceding financial year, can be withdrawn for higher education or to meet marriage expenses, on submission of proof such as an admission offer or marriage notice.
Premature closure
The account can be closed before maturity if the girl marries after turning 18 (the closure must be requested between one month before and three months after the marriage date), in the event of the death of the account holder, or on compassionate grounds such as a life-threatening medical condition, with the approval of the relevant authority.
At maturity
The account matures 21 years after it was opened. Unlike PPF, an SSY account does not earn further interest once it has matured and not been closed, so it is worth withdrawing and closing the account at maturity rather than leaving the balance untouched.
How to use this SSY calculator
The calculator needs three inputs:
- Yearly Investment: the amount you plan to deposit each year, between ₹250 and ₹1,50,000.
- Girl's Current Age: her age today, which sets how many years remain until the account matures.
- SSY Interest Rate: defaults to the current 8.2% rate, adjustable to see how a future rate change would affect the maturity value.
The calculator projects deposits for the first 15 years, then compounds the balance untouched until it matures 21 years after opening, and shows the maturity value, total invested, and interest earned above.
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