Sukanya Samriddhi Yojana (SSY) is a very popular and great savings scheme of the Government of India. It is a great option to create a big fund in the long term. This small savings scheme of the post office is getting interest at the rate of 8.2% per annum for the current quarter.
By investing ₹ 5,000 every month (about ₹ 167 per day) in this scheme, you can deposit an amount of about ₹ 28 lakh in 21 years. This account can be started for a daughter under 10 years of age. An account can be opened in any nearest post office branch under this scheme. This is a surefire way to make your daughter’s future financially strong.
What are the amazing benefits of this scheme
The maturity period in Sukanya Samriddhi Yojana is 21 years, but you have to invest in it for only 15 years. The account matures after waiting for 15 to 21 years, i.e., 6 more years. But during these 6 years, the interest fixed for this scheme on your deposit keeps getting added to your account. In this scheme, you also get the benefit of compounding. It is this compound interest that makes your investment grow rapidly.
Invest ₹5,000 every month, get a return of lakhs
If you invest ₹5,000 every month in Sukanya Samriddhi Yojana (SSY), then the total investment in 1 year will be ₹60,000. Similarly, the total investment in 15 years will be ₹9,00,000. You will get an interest of ₹18,73,059 at the rate of 8.2 percent per annum. According to this, you will get a total amount of ₹ 27,73,059 (approximately ₹ 28 lakhs) on maturity.
This calculation clearly shows how even a small monthly saving can become a huge financial safety net for your daughter.
Get ‘crores’ of profit on maximum investment
If you invest a maximum of ₹ 12,500 every month in Sukanya Samriddhi Yojana (SSY), then the total investment in 1 year will be ₹ 1,50,000. Similarly, the total investment in 15 years will be ₹ 22,50,000. You will get an interest of ₹ 46,77,578 at the rate of 8.2 percent per annum. According to this, you will get a total amount of ₹ 69,27,578 on maturity.
This shows how with maximum investment you can create a fund of around ₹ 70 lakhs for your daughter, so that she does not have to worry about any financial need in the future.
Sukanya Samriddhi Yojana is ‘completely’ tax-free
This scheme is completely tax-free just like PPF (Public Provident Fund). This scheme gets tax exemption at three different levels, i.e. EEE.
Exemption on investment: Under Section 80C of the Income Tax Act, investment up to Rs 1.50 lakh per annum is exempted.
Exemption on interest: There is no tax on the returns received from this.
Exemption on maturity amount: The amount received on maturity is completely tax-free.