The Central Government is inspiring parents to open Sukanya Samriddhi Yojana accounts with the aim of brightening the future of their daughters. Under this scheme, an annual deposit of up to 10,000 rupees can be made, which will mature to 4.48 lakh rupees by the time of maturity.
Invest in Your Daughter’s Name with the Sukanya Samriddhi Yojana
The Sukanya Samriddhi Yojana allows parents to invest in their daughters’ names. Funds accumulated through investments made over 15 years can be used for their education or wedding. Any parent or legal guardian can open an account in their daughter’s name.
Interest on Sukanya Accounts
Investors in the Sukanya Samriddhi Yojana receive an 8% interest rate. To open an account under this scheme, the child should be under 10 years of age, and the investment continues for 15 consecutive years. This is a joint account, and funds can be withdrawn when the girl turns 21. Importantly, the scheme is entirely tax-free.
Maturity Amount on Depositing 1.50 Lakh Rupees
Suppose you have a daughter whose age is 5 years in 2023. You can open a Sukanya account and deposit 10,000 rupees annually. By doing so, you would have deposited a total of 1.5 lakh rupees, and the interest earned would be 2,98,969 rupees. Therefore, by 2044, you would receive a total of 4,48,969 rupees upon maturity.
Benefits and Features of the Sukanya Yojana
The Sukanya Yojana requires a minimum annual investment of 250 rupees, with a maximum limit of 1,50,000 rupees. The scheme has a tenure of 21 years. The interest calculation is based on the minimum balance between the fifth day of the calendar month and the end of the month. The amount received at maturity, including the principal and interest, is tax-free under Section 80C of the Income Tax Act. In India, accounts can be transferred from one post office or bank to another. Moreover, even after maturity, the account continues to earn interest if it is not closed.
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