In shortSukanya Samriddhi is a tax-free savings account for girls under 10 years opened by parents at post offices or banks. Deposit Rs 250 to Rs 1,50,000 yearly for 15 years, earn 8.2% annual interest compounded annually, account matures at 21 years. Deposits qualify for Section 80C deduction.
Key facts
- Nodal ministry
- Department of Economic Affairs, Ministry of Finance, operated through India Post and authorised banks
- Level
- Central
- Launched
- 2015
- Last date
- Open all year
Sukanya Samriddhi is a long term savings account meant to build a fund for a daughter’s education and marriage. Any parent or guardian can open one at a post office or an authorised bank for a girl who is under 10 years old. You need only Rs 250 to start and you can put in up to Rs 1,50,000 a year.
The attraction is the return. The account currently pays 8.2 percent a year, well above what a bank fixed deposit offers, and the interest is compounded annually. Better still, the whole thing is tax free at every stage. Your deposits reduce taxable income under Section 80C, and neither the interest nor the maturity amount is taxed.
You deposit for 15 years and the account matures 21 years after opening. Half the balance can be withdrawn for higher education once the girl turns 18, and the account can be closed early if she marries after 18.
What you get
A savings account for a girl child that earns 8.2 percent interest a year, compounded annually and completely tax free. You may deposit as little as Rs 250 and as much as Rs 1,50,000 in a financial year for 15 years, the account matures 21 years after opening, and deposits qualify for deduction under Section 80C.
Who is eligible
- The account is opened by a parent or legal guardian in the name of a girl child
- The girl must be below 10 years of age on the date of opening
- Only one account is allowed in the name of one girl child
- A family may open accounts for a maximum of two girls, with relaxation for twins or triplets
- The girl child and the guardian must be resident Indian citizens
- Deposits must be made for 15 years from the date of opening and the account matures at 21 years
Documents you need
- Birth certificate of the girl child
- Aadhaar and PAN of the parent or legal guardian
- Address proof of the guardian
- Passport size photographs of the guardian and the girl child
- Completed Form 1 account opening application
How to apply
- Visit any post office or a branch of a public sector bank or an authorised private bank such as HDFC Bank, ICICI Bank, Axis Bank or IDBI Bank
- Fill Form 1 with the girl child's details and attach the birth certificate and guardian KYC papers
- Deposit a minimum of Rs 250 to open the account and collect the passbook
- Keep depositing at least Rs 250 each financial year for 15 years, by cash, cheque, demand draft or online transfer
- Withdraw up to 50 percent of the balance for higher education after the girl turns 18, or close the account on marriage after 18 or at maturity
Frequently asked questions
Who is eligible to open a Sukanya Samriddhi Account?
A parent or legal guardian can open the account for a girl child below 10 years old. The girl child and guardian must be resident Indian citizens. Only one account per girl child is allowed, maximum two per family.
How much can I deposit in Sukanya Samriddhi each year?
You can deposit minimum Rs 250 and maximum Rs 1,50,000 in a financial year. Deposits must be made for 15 consecutive years from the date of opening the account.
What is the interest rate on Sukanya Samriddhi Account?
The account earns 8.2 percent interest per annum, compounded annually. The entire interest is tax-free and the maturity amount is also not taxed.
When can I withdraw money from Sukanya Samriddhi Account?
You can withdraw up to 50 percent of the balance for the girl's higher education after she turns 18. The account matures 21 years after opening. The account can be closed early if the girl marries after turning 18.
Where can I open a Sukanya Samriddhi Account?
You can open the account at any post office or an authorised bank including public sector banks and private banks like HDFC Bank, ICICI Bank, Axis Bank and IDBI Bank.
What documents are needed to open Sukanya Samriddhi Account?
You need the girl child's birth certificate, guardian's Aadhaar and PAN, address proof of the guardian, passport size photos of both guardian and child, and completed Form 1 account opening application.
Before you apply: confirm every date, fee and eligibility rule on the official website linked on this page. Public and Policy is an independent portal, not a government body, and details change without notice.
