Sukanya Samriddhi Yojana 2023: A Comprehensive Guide

Under the “Beti Bachao Beti Padhao” campaign initiated by the Indian government, several schemes are being implemented, and one of these is the Sukanya Samriddhi Yojana 2023. This scheme is designed to secure the future of girls by allowing parents or guardians to open a savings account in their name. The scheme is also popular by the name, “Sarkar degi ladkio ko 64 lakh”, which means that the Government will provide the girl child with Rs 64 lakhs. 

Here, we will provide you with a comprehensive overview of how the scheme works and how its benefits can be availed.

What is Sukanya Samriddhi Yojana (SSY)?

Sukanya Samriddhi Yojana (SSY) is a type of savings scheme introduced by the central government of India. It is aimed at encouraging parents or guardians to invest for the future of their daughters. This scheme is a part of the “Beti Bachao Beti Padhao” campaign. 

Under SSY, parents can open a savings account in the name of their girl child, which remains operational until the girl reaches either 21 years of age or gets married, whichever comes first. However, it’s mandatory to make contributions for at least 15 years. For the fiscal year 2022-23, the scheme offers an interest rate of 7.6%. Additionally, investments of up to Rs 1.5 lakhs per year are eligible for tax benefits under Section 80C of the Income Tax Act, 1961.

Benefits of Sukanya Samriddhi Yojana

  • Account Duration: A Sukanya Samriddhi Yojana account remains valid until the girl reaches 21 years of age or gets married, whichever is earlier. After this, the matured amount is given to the girl.
  • Premature Closure: If a girl gets married before turning 21, the account is closed automatically.
  • Contributions: Parents or guardians are required to deposit a minimum of INR 250 annually in the SSY account. Failure to deposit this minimum amount may lead to account closure, with a fee of INR 50 for reactivation.
  • Partial Withdrawal: Parents or guardians can withdraw up to 50% of the accumulated balance when the girl reaches 18 years of age, provided that the account has been active for at least 14 years. This withdrawal can be made for the girl’s higher education or in cases of medical emergencies.
  • Tax Benefits: Contributions made to Sukanya Samriddhi Yojana accounts are eligible for tax benefits under Section 80C of the Income Tax Act. The interest earned and the maturity amount are also tax-free.
  • Single or Twin Accounts: Parents or guardians can open only one account for a single girl child. However, if they have twin girls, two separate accounts can be opened for them.
  • Document Requirements: To open an SSY account, parents or legal guardians need to provide their Aadhar card, PAN card, identification proof, the girl child’s birth certificate, residence proof, and any other documents requested by the bank or post office.

How to Open a Sukanya Samriddhi Yojana Account?

To open an SSY account:

  • Parents or guardians need to obtain the Sukanya Samriddhi Yojana application form from their nearest post office or bank.
  • Fill out the application form with accurate details.
  • Attach all the necessary documents, including Aadhar card, PAN card, birth certificate of the girl child, residence proof, and any other documents as required.
  • Submit the completed form along with the documents to the same post office or bank from which you obtained the form.

By following these steps, you can successfully apply for a Sukanya Samriddhi Yojana account and secure your daughter’s future.

Understanding the Interest Rate

The Sukanya Samriddhi Yojana account offers an attractive interest rate to help grow your savings over time. The interest rate is announced by the government for each fiscal year. For the year 2022-23, the interest rate is set at 7.6%. This interest is compounded annually, which means that it is calculated on both the principal amount and the previously earned interest, helping your money grow faster.

How To Utilize Partial Withdrawals?

Sukanya Samriddhi Yojana allows for partial withdrawals, providing flexibility in managing funds for specific purposes. When the girl child reaches 18 years of age, you can make partial withdrawals for two major reasons:

  • Higher Education: You can withdraw up to 50% of the accumulated balance for the girl’s higher education expenses. This is particularly beneficial as it helps cover the costs of quality education, ensuring that your daughter receives the best possible education.
  • Medical Emergencies: In case of medical emergencies, you can also make partial withdrawals from the SSY account. This feature provides peace of mind, knowing that you have a financial safety net for unexpected healthcare expenses.

Document Requirements for Opening an SSY Account

To open a Sukanya Samriddhi Yojana account, you will need to provide certain documents. These documents are essential to establish the identity of the parents or guardians and the girl child. Here’s a list of documents typically required:

  • Aadhar Card
  • PAN Card
  • Identification Proof
  • Birth Certificate
  • Residence Proof
  • Passport-sized Photographs
  • Sukanya Samriddhi Yojana Application Form

It’s essential to check with the bank or post office where you plan to open the account for any additional documents they may require.

How to Make Contributions under the Scheme?

Contributions to the Sukanya Samriddhi Yojana account can be made in the form of cash, check, or demand draft. Some key points to keep in mind:

  • The minimum annual contribution is Rs 250.
  • The maximum contribution allowed in a fiscal year is Rs 1.5 lakhs.
  • Contributions can be made until the completion of 15 years from the date of opening the account.

It’s advisable to make regular contributions to ensure that the account remains active and continues to earn interest. You can make contributions at the bank or post office where the account is opened.

How to do the SSY Account Closure?

The Sukanya Samriddhi Yojana account closure is subject to certain conditions. Here’s how the closure process works:

  • Maturity: The account matures when the girl child reaches 21 years of age. At this point, the account is closed, and the entire maturity amount, including the principal and interest, is given to the girl.
  • Marriage: If the girl gets married before turning 21, the account is closed prematurely. In such cases, the maturity amount is provided to the girl at the time of marriage.
  • Unforeseen Circumstances: In the unfortunate event of the girl’s demise, the account is closed, and the accumulated amount is handed over to the legal guardian.
  • Account Inactivity: It’s important to maintain regular contributions to keep the account active. If the minimum annual contribution is not made, the account may become inactive. In such cases, a penalty of Rs 50 may be levied for reactivation.
  • Partial Withdrawals: When the girl child turns 18, partial withdrawals can be made for higher education or medical emergencies, provided that the account has been active for at least 14 years.
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Closure Conditions for Sukanya Samriddhi Yojana Account

  • The account is closed automatically when the girl child reaches 21 years of age, and the maturity amount is given to her.
  • In the unfortunate event of the girl’s sudden demise, the account is closed, and the accumulated amount is handed over to the relevant guardian.
  • If the girl gets married before reaching 21, the account is closed, and the matured amount is provided to her.
  • If parents or guardians are unable to make the minimum required annual contributions, they may receive a notice for account closure.
  • When the girl turns 18, she can make partial withdrawals for higher education or medical needs, provided the account has been active for at least 14 years.

Conclusion

The Sukanya Samriddhi Yojana or Sarkar degi ladkio ko 64 lakh scheme is a powerful tool for empowering the future of girls in India. It not only promotes financial discipline but also ensures that parents and guardians actively save and invest in their daughters’ education and well-being. With tax benefits, an attractive interest rate, and the flexibility of partial withdrawals, this scheme stands as a beacon of financial security and empowerment for young girls across the country.

By opening a Sukanya Samriddhi Yojana account and making regular contributions, you are not only securing your daughter’s future but also contributing to the overall progress and empowerment of women in India. It’s an investment in education, dreams, and a brighter future for the next generation of strong, independent women.

Take the first step today by exploring the nearest post office or bank branch to open a Sukanya Samriddhi Yojana account for your daughter. In doing so, you’re not just investing in her future; you’re investing in the future of our nation.