Sukanya Samriddhi Yojana 2026: Interest Rate, Tax Benefits & Deposit Returns

Sukanya Samriddhi Yojana (SSY) is a government-backed savings scheme designed to secure the financial future of a girl child in India. Parents or legal guardians can open an SSY account in the name of their daughter and invest regularly for her education, marriage, and long-term financial needs.

Under this scheme, you can deposit a minimum of ₹250 and a maximum of ₹1.5 lakh per financial year. The investment also qualifies for tax deduction under Section 80C up to ₹1.5 lakh annually.

For January–March 2026 (Q4 of FY 2025–26), the interest rate is 8.2% per year, and both the interest earned and maturity amount are completely tax-free, making SSY one of the most attractive government savings schemes.

What is the Sukanya Samriddhi Yojana (SSY)?

Sukanya Samriddhi Yojana (SSY) is a government-backed savings scheme in India created to support the financial future of a girl child. It was launched under the Beti Bachao Beti Padhao Yojana initiative by the Government of India.

Parents or legal guardians can open an SSY account for a girl before she turns 10 years old and deposit money every year to build savings for her education and marriage.

Sukanya Samriddhi Yojana Interest Rate 2026

For the January–March 2026 quarter, the government has kept the SSY interest rate 2026 at 8.2% per annum, compounded yearly.

This rate is higher than many bank fixed deposits and other small savings schemes, which makes SSY a preferred option for parents looking for safe long-term investments.

How Interest is Calculated?

• Interest is calculated on the lowest balance between the 5th day and the last day of each month.
• It is credited once every financial year at the end of the year.
• You can use a Sukanya Samriddhi Yojana calculator to estimate how much money your investment can grow into by the time the account matures.

Sukanya Samriddhi Yojana Deposit Returns (Example Calculation)

An Sukanya Yojana calculator (SSY calculator) helps estimate the maturity amount based on the yearly deposit.

Example:

• Total Investment: ₹1,80,000
• Maturity Year: 2036
• Interest Earned: ₹3,94,570
• Total Maturity Amount: ₹5,74,570

This example shows how long-term compounding can significantly increase savings under the Sukanya Samriddhi Yojana scheme.

Note: Deposits in the account may be made by Cash/Cheque at the Post Office Counter or through online mode by fund transfer through NEFT/RTGS facility or the India Post Payment Bank App

Post Office Sukanya Samriddhi Yojana Details

1. Account Opening Rules & Age Limit

• The account must be opened before the girl turns 10 years old.
• Only resident Indian girl children are eligible.
• Parents or legal guardians can open the account.
• Maximum two accounts per family (one for each girl child).
• In case of twins or triplets, more than two accounts may be allowed.

2. Deposit Rules

• Minimum deposit: ₹250 per year
• Maximum deposit: ₹1.5 lakh per year
• Account maturity: 21 years from account opening
• Deposits can be made via cash, cheque, demand draft, or online transfer.

Until the girl turns 18 years, the account is managed by the guardian.

3. Beneficiary Rules

The girl child is the sole beneficiary of the account. After she reaches 18 years of age, she can operate the account herself.

4. Interest Rate

• Current interest rate: 8.2% per year
• Interest calculation: Based on the minimum monthly balance
• Tax status: Fully tax-free under Section 10 of the Income Tax Act

Sukanya Samriddhi Yojana Maturity Period

The SSY account matures 21 years after the account opening date.

However, the account can be closed earlier if funds are required for the girl’s marriage after she turns 18 years old.

On maturity, the full amount (principal + interest) is paid to the girl child after submitting identity and age verification documents.

Premature Closure of Sukanya Samriddhi Account

The Sukanya Samriddhi Yojana SSY account can be closed before maturity in certain situations:

Marriage

Closure is allowed 1 month before marriage or within 3 months after marriage, provided the girl is 18 years or older.

Death of the Account Holder

If the girl child passes away, the balance is transferred to the guardian after submitting the death certificate.

Medical Emergency

Closure may be allowed for life-threatening illnesses or the guardian’s death.

Other Reasons

If the account is closed for other reasons, the interest rate will be reduced to the post office savings account rate.

Pre-Maturity Withdrawal Rules of the SSY Scheme

Partial withdrawals are allowed for education or marriage expenses.

Key conditions:

1. The account holder can withdraw up to 50% of the balance available at the end of the financial year before the withdrawal request. This withdrawal must be requested through Form-3.
2. Withdrawal is permitted after the girl turns 18 years old or after she passes the 10th standard, whichever happens earlier.
3. The withdrawal request must include supporting documents, such as:

• A confirmed admission offer from an educational institution, or
• A fee slip issued by the institution showing the required payment.

4. The money can be withdrawn either as a lump sum or in installments. However:

• Only one withdrawal is allowed per year.
• Withdrawals can be made for a maximum of five years.

The withdrawal amount is limited to the actual education expenses, such as admission fees and other charges mentioned in the admission letter or fee slip from the educational institution

Default Rules For Sukanya Samriddhi Yojana Post Office

If the minimum deposit of ₹250 is not made in a financial year:

• The account becomes “Account under Default.”
• It can be reactivated within 15 years of account opening.
• A penalty of ₹50 per year along with the minimum deposit, must be paid.

Even if the account is in default, the deposited amount continues to earn interest.

Situations Where Interest Will Not Be Paid

Interest will not be credited in the following cases:

• After 21 years from account opening
• If the girl becomes a non-resident or non-citizen of India
• Deposits exceeding the yearly limit of ₹1.5 lakh

Any extra deposit will be refunded and will not earn interest.

Sukanya Samriddhi Yojana Tax Benefits

SSY offers the EEE (Exempt-Exempt-Exempt) tax advantage.

1. Tax Deduction on Investment

Deposits qualify for Section 80C deduction up to ₹1.5 lakh per year.

2. Tax-Free Interest

Interest earned annually is fully exempt from tax.

3. Tax-Free Maturity

The final maturity amount, including principal and interest, is completely tax-free.

Documents Required for SSY Account

To open an SSY account, you must submit:

• Birth certificate of the girl child
• Guardian’s identity proof
• Address proof
• Aadhaar card or voter ID
• Medical certificate for multiple births (twins/triplets) if applicable

Note: Application for account opening should be accompanied by the birth certificate of the girl child and the required documents of the guardian.

Additional documents may be requested by the bank or post office.

How to Open a Sukanya Samriddhi Yojana Account in a Post Office?

Follow these steps:

• Visit the nearest post office or participating bank.
• Fill the SSY application form (Form-1).
• Submit required documents.
• Make the first deposit between ₹250 and ₹1.5 lakh.
• After processing, the account will be opened and a passbook will be issued.

Opening the account early helps maximise long-term returns.

Sukanya Samriddhi Yojana Online Payment

Online deposits can be made through the India Post Payments Bank (IPPB) app.

Steps

1. Transfer money to your IPPB account.
2. Open DOP Services in the app.
3. Select Sukanya Samriddhi Yojana.
4. Enter the SSY account number and customer ID.
5. Choose the amount and schedule a payment.

The app will notify you after every successful transaction.

Transfer SSY Account from Post Office to Bank

To transfer your account:

1. Visit the post office where the account is maintained.
2. Fill the account transfer form.
3. Submit KYC documents.
4. Visit the new bank branch and submit documents.
5. The bank will issue a new SSY passbook.

Transfers across India are free if you provide proof of address change. Otherwise, a ₹100 fee may apply.

Benefits of Sukanya Samriddhi Yojana for Girl Children

• High Interest Rate: Offers attractive interest (around 8.2% per year), higher than many traditional savings schemes.
• Tax Benefits: Deposits qualify for Section 80C deduction up to ₹1.5 lakh, and both interest and maturity amount are tax-free.
• Government Security: Backed by the Government of India, making it a safe investment.
• Long-Term Savings: The scheme matures after 21 years, helping build a strong fund for the girl’s future.
• Flexible Investment: Parents can deposit between ₹250 and ₹1.5 lakh per year.
• Partial Withdrawal Option: Up to 50% withdrawal allowed after the girl turns 18 for education or marriage expenses.
• Encourages Financial Planning: Helps families save systematically for a girl child’s education and marriage.
• Easy Account Opening: The account can be opened at post offices or authorized banks across India.

FAQs