A small deposit account for a girl child is called Sukanya Samriddhi Yojana (SSY) and it is backed by the Government of India. It can be opened anytime after the girl child is born until she reaches the age of 10. Post offices and commercial banks both offer SSY accounts. Your minimum initial deposit is just Rs 250. You can deposit a maximum of Rs 1.5 lakh per financial year in the SSY account. Girls can open SSY accounts in their names in order to provide them with a brighter future. Money from these accounts can be used for higher education or wedding expenses for girls. An SSY account is valid for 21 years, or until the girl child reaches the age of 18. You may withdraw up to 50% of the balance amount to cover higher education expenses for the girl child. SSY accounts currently offer 7.6% interest per year. Tax deductions are available under Section 80C of the Income Tax Act for deposits made in the SSY account in the July-September quarter of 2021. Interest earned on deposits and withdrawn at maturity are tax-free.
Sukanya Samriddhi Yojana (SSY) Calculator: What is it?
If you meet the eligibility requirements for the SSY account, you can use the calculator to determine the maturity value of your investment. The SSY Calculator calculates the interest earned as well as the maturity amount. In the SSY Calculator, you enter the amount of deposit, the age of the girl child up to the age of ten, and the year the investment was made. The calculator shows you the total interest and maturity amount.
What does the SSY Calculator do?
If you enter the amount of money you deposited, the age of the girl child, and the year you started the investment, the SSY calculator will show you interest earned on the investment and maturity. P = Initial Deposit r = Rate of Interest n = Number of Years the interest compounds t = Number of Years A = The Amount at maturity For example, you deposit Rs 1,50,000 a year into the SSY account for 15 years. Let us calculate the maturity amount after 21 years for the SSY account. (Note: The contribution period for the SSY account is 15 years, while the maturity period is 21 years). The table below shows the calculations. If you deposit Rs 1,50,000 each year for 15 years in the SSY account, you will get Rs 42.48 lakh after 15 years. You will continue with the SSY account until the end of the maturity period (21 years) without any further deposits. You will get Rs 65.93 lakh at maturity.
Sukanya Samriddhi Yojana Calculator: How to use it?
The SSY Calculator will show you your interest earned and maturity amount, as well as your maturity date. To use the SSY Calculator, follow these steps:
- An annual deposit of up to Rs 1.5 lakh must be entered.
- You can enter the age of the girl child up to 10 years old.
- You can select the year when you want to start investing using the slider.
- Afterward, you choose the investment’s duration.
- The SSY Calculator shows you the age of a girl at the maturity of the SSY account. You can also see the maturity year of the investment, interest earned, and maturity amount of the investment.
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