Sukanya Samriddhi Calculator — How Much Will Your Daughter Get?

The Sukanya Samriddhi Yojana (SSY) is one of the most powerful financial instruments available to Indian parents for securing their daughter's future. Launched in January 2015 as part of the Beti Bachao Beti Padhao initiative, SSY combines the highest interest rate among government small savings schemes with complete tax exemption — a combination no other instrument in India offers.

Despite its advantages, many parents remain confused about the nuances of the scheme: when exactly does the account mature, what happens if you miss a deposit, how does the partial withdrawal work, and how does SSY compare with other options like PPF or equity mutual funds for long-term education planning?

This guide covers every aspect of the SSY scheme with current 2026 figures and rules. Use the calculator below to project your daughter's maturity amount based on your planned annual deposits and her current age. Then read the detailed sections to understand the deposit rules, interest calculation, withdrawal provisions, and how to combine SSY with other investments for comprehensive education planning.

What Is the Sukanya Samriddhi Yojana?

Who is eligible to open an SSY account?

The Sukanya Samriddhi Yojana (SSY) was launched on 22 January 2015 by Prime Minister Narendra Modi as part of the Beti Bachao Beti Padhao (Save the Girl Child, Educate the Girl Child) campaign. The scheme is administered by the Department of Posts and participating scheduled commercial banks under the supervision of the Ministry of Finance.

SSY accounts can be opened only for a girl child below the age of 10 years. A grace period of one year after the girl turns 10 is available for account opening. The account is opened by the natural or legal guardian of the girl child. A guardian can open a maximum of two SSY accounts for two different daughters. An exception allows a third account in the case of twins or triplets, with birth certificates as proof.

The account can be opened at any India Post office or at participating banks including State Bank of India, Bank of Baroda, Punjab National Bank, ICICI Bank, HDFC Bank, Axis Bank, and approximately 20 other scheduled banks. The initial deposit can be as low as ₹250, making the scheme accessible to all income levels. The girl child herself can operate the account after turning 18.

SSY Deposit Rules — Minimum, Maximum, and Duration

Understanding the deposit rules is critical to maximising your SSY returns. The scheme has specific rules about how much and for how long you need to deposit.

Deposit Amounts

The minimum annual deposit is ₹250 (reduced from the original ₹1,000 in 2019 to make the scheme more inclusive). The maximum annual deposit is ₹1.5 lakh. You can make the deposit in one lump sum or in multiple instalments during the financial year, as long as the total does not exceed ₹1.5 lakh. There is no restriction on the number of deposits in a year.

Deposit Duration

Deposits are required for the first 15 years from the date of account opening. After 15 years, no further deposits are required or accepted, but the account continues to earn interest at the prevailing SSY rate until maturity. The account matures 21 years from the date of opening (not 21 years from the girl's birth).

This distinction is important. If you open the account when your daughter is 5 years old, you deposit for 15 years (until she is 20), and the account matures when she is 26 (21 years from opening). If you open at age 1, you deposit until she is 16, and the account matures at age 22. Opening early maximises the compounding period.

Missed Deposit Penalty

If you fail to make the minimum ₹250 deposit in any financial year, the account is classified as “irregular” (defaulted). It is not closed or frozen. To regularize a defaulted account, you must pay: the minimum deposit of ₹250 for each year of default, plus a penalty of ₹50 for each year of default. The account continues to earn interest even during the default period, though at a potentially reduced rate until regularized. Regularization must be done before the 15-year deposit period ends.

SSY Interest Rate — Historical Trend and Current Rate

What is the current SSY interest rate and how has it changed?

The SSY interest rate is reviewed and announced quarterly by the Ministry of Finance as part of the small savings schemes rate revision. The current rate for Q4 FY 2025-26 (January to March 2026) is 8.2%. Here is the historical progression:

The rate dropped to 7.6% during the COVID period (2020-2023) when the government reduced small savings rates in line with the overall interest rate environment. It has since recovered to 8.2%, and given the current macroeconomic conditions, is expected to remain in the 8.0-8.5% range for the near term.

Interest calculation methodology: interest is calculated on the lowest balance between the 5th and the end of each month. This means if you deposit money after the 5th of a month, the interest for that month will be calculated on the previous month's balance. To maximise interest, always make your deposits before the 5th of the month. Interest is compounded annually and credited to the account at the end of each financial year.

Tax Benefits — Full EEE Status

Sukanya Samriddhi Yojana enjoys the coveted EEE (Exempt-Exempt-Exempt) tax status under the Income Tax Act, making it one of the most tax-efficient savings instruments available in India. Here is what each “E” means:

Exempt at Investment (Section 80C)

Your annual deposits in SSY qualify for deduction under Section 80C of the Income Tax Act, up to the maximum limit of ₹1.5 lakh per financial year. Since the SSY maximum deposit is also ₹1.5 lakh, you can claim the full SSY deposit as a 80C deduction. In the 30% tax bracket (old regime), this translates to a tax saving of up to ₹46,800 per year (₹1.5 lakh × 31.2% including cess).

Exempt During Accumulation

The interest earned on SSY deposits is completely tax-free. Unlike fixed deposits where interest is added to your taxable income annually, SSY interest accrues silently without any tax liability. Over 21 years, this makes an enormous difference. On maximum annual deposits of ₹1.5 lakh for 15 years (total investment ₹22.5 lakh), the interest component at maturity is approximately ₹46.8 lakh — all tax-free.

Exempt at Maturity

The entire maturity amount — your deposits plus all accumulated interest — is fully exempt from income tax under Section 10. There is no TDS, no capital gains tax, and no need to report the maturity proceeds as income. The full ₹69.3 lakh (at 8.2% for maximum deposits) goes directly to your daughter without any tax deduction.

This triple exemption makes SSY superior to fixed deposits on a post-tax basis. To understand whether the old or new tax regime is better for claiming your 80C deduction, use the Tax Regime Comparator. A bank FD at 7.5% in the 30% tax bracket gives an effective post-tax return of only 5.25%, while SSY at 8.2% gives the full 8.2% since no tax is applicable at any stage. The difference of nearly 3 percentage points, compounded over 21 years, results in a dramatically higher maturity value.

Partial Withdrawal at Age 18 for Higher Education

One of the most useful features of SSY is the provision for partial withdrawal to fund the girl child's higher education. The rules for this withdrawal are clearly defined:

Eligibility

The girl child must have attained 18 years of age OR passed her Class 10 examination, whichever condition is met later. In most cases, girls turn 18 around the time they complete Class 12 and are entering college, which is the intended use case.

Withdrawal Limit

Up to 50% of the balance standing at the end of the preceding financial year can be withdrawn. For example, if the account balance as of March 31, 2026 is ₹30 lakh, a maximum of ₹15 lakh can be withdrawn for education in FY 2026-27.

Withdrawal Mode

The withdrawal can be made as a single lump sum or in up to 5 annual instalments, not exceeding 50% of the previous year-end balance in aggregate. The instalment option is useful for funding multi-year degree programmes where fees are paid annually.

Required Documentation

An admission letter or offer letter from a recognised educational institution (university, college, or professional institution) is required. Fee receipts or a fee demand notice must be submitted. The institution must be recognised by the relevant regulatory body (UGC, AICTE, etc.). The withdrawal is specifically for education-related expenses.

This partial withdrawal provision makes SSY an excellent education planning tool. A parent who invests ₹1.5 lakh per year from the daughter's birth can accumulate approximately ₹50-55 lakh by the time she turns 18. A 50% withdrawal of ₹25-27 lakh is sufficient to cover most undergraduate education costs in India, while the remaining balance continues earning 8.2% until the account matures at age 21.

Premature Closure — When You Can Close the Account Early

While SSY is designed as a 21-year savings instrument, premature closure is permitted under specific circumstances. It is important to note that premature closure does not result in a penalty on the interest rate — the account earns the full SSY rate for the period it was active.

Marriage After Age 18

The account can be closed prematurely if the girl child is getting married, provided she has attained 18 years of age. A withdrawal request can be submitted up to 1 month before the marriage or up to 3 months after the marriage date. The full balance (deposits + interest) is paid out.

Death of the Account Holder

In the unfortunate event of the girl child's death, the account is closed immediately and the full balance is paid to the guardian or nominee. The balance earns the SSY interest rate up to the date of death.

Guardian's Death or Extreme Hardship

If the guardian (parent) dies or suffers from a life-threatening medical condition, the account can be closed after 5 years from opening. This provision ensures that the family is not forced to continue deposits during a period of severe financial distress. The balance earns the SSY rate for the period it was active.

In all cases of premature closure, the balance is paid to the guardian (if the girl is a minor) or to the girl herself (if she is 18 or older). No penalty is levied on the interest rate, which distinguishes SSY from many other government schemes that reduce the interest rate on premature withdrawal.

SSY vs PPF — Which Is Better for Your Daughter?

How does SSY compare with PPF on returns and flexibility?

Since both SSY and PPF are government-backed, EEE-status schemes, many parents wonder which one to choose for their daughter's savings. The comparison is straightforward:

SSY wins on interest rate (8.2% vs 7.1%) and is specifically designed for a girl child's education and marriage expenses. PPF wins on flexibility — it allows partial withdrawals from year 7, can be extended indefinitely in 5-year blocks, and offers a loan facility. PPF is also available to anyone, not just parents of girl children.

The optimal strategy is to use both instruments for maximum benefit. Invest ₹1.5 lakh per year in SSY for your daughter (higher interest, education-focused). Additionally, open a PPF account (in your own name) for the broader tax-saving and retirement planning benefit of ₹1.5 lakh. Together, this deploys ₹3 lakh per year into tax-efficient, government-guaranteed schemes at a weighted average rate of 7.65%.

SSY vs Mutual Funds for Education Planning

The most common debate among financially savvy parents is whether to use SSY (guaranteed but rigid) or equity mutual fund SIPs (higher potential but volatile) for their daughter's education fund. The answer, as with most financial decisions, is not either/or — it is both.

The Case for SSY as the Base

SSY provides a guaranteed 8.2% return with zero volatility and complete tax exemption. Over 21 years, ₹1.5 lakh per year grows to approximately ₹69.3 lakh. This guaranteed corpus ensures that regardless of what happens in the equity markets, your daughter has a substantial, tax-free sum available for education or marriage. This is your “safety net” — the base that you can count on with certainty.

The Case for Equity SIP as the Growth Component

Equity mutual fund SIPs have historically delivered 12-15% CAGR over 15-20 year periods in India. A monthly SIP of ₹5,000 (₹60,000/year) at 12% for 18 years grows to approximately ₹40 lakh. At 15%, it grows to ₹56 lakh. However, equity returns are volatile — there will be years of negative returns, and the actual outcome could be significantly higher or lower than the historical average.

The Hybrid Strategy

Invest ₹1.5 lakh per year in SSY for the guaranteed base. Additionally, start an equity SIP of ₹5,000-10,000 per month in a diversified equity fund (flexi cap or large-and-mid cap) for the growth component. Total annual outlay: ₹2.1-2.7 lakh. By the time your daughter is 18, the combined corpus could be ₹80 lakh to ₹1.2 crore, sufficient for even international education. Use our Education Cost Planner to estimate future education costs after inflation and determine the right monthly investment amount.

The equity SIP provides the upside potential that SSY lacks, while SSY provides the guaranteed floor that equity cannot offer. Three years before the education milestone, start gradually moving the equity SIP corpus into debt funds or fixed deposits to protect against a market crash right when you need the money. The SSY corpus remains untouched and continues earning 8.2% until you withdraw at 18 or at maturity.