PM Sukanya Samriddhi Yojana: Savings For Girl Child, Introduced as part of the Beti Bachao Beti Padhao campaign, the scheme encourages parents to build a financial corpus that supports their daughter’s future needs, such as education and marriage. The scheme offers an attractive interest rate, tax benefits, and long-term financial security, making it one of the most popular investment options for families with girl children.
With an emphasis on promoting gender equality and empowering girls through financial independence, the Sukanya Samriddhi Yojana has become a crucial part of India’s mission to improve the socio-economic status of women.
Objectives of Sukanya Samriddhi Yojana
The Sukanya Samriddhi Yojana has several key objectives. The primary goal is to provide a financial safety net for the girl child by encouraging parents to save for her future. Ensuring that girls have access to funds for education and marriage is another important objective. The scheme promotes long-term savings, allowing families to build a significant financial corpus over time.
The scheme also aims to reduce the financial burden on families by offering tax benefits under Section 80C of the Income Tax Act. The interest earned on deposits and the maturity amount are both tax-free, making it a tax-efficient investment option.
Sukanya Samriddhi Yojana focuses on improving the gender ratio in India by encouraging families to invest in the education and well-being of their daughters. The scheme supports the broader objective of empowering women by providing them with a financial foundation that enables them to pursue higher education and personal development.
Key Features of PM Sukanya Samriddhi Yojana
The scheme offers several unique features that make it a popular choice for parents looking to secure their daughter’s future.
Eligibility
Parents or legal guardians can open a Sukanya Samriddhi Account in the name of a girl child. A maximum of two accounts can be opened for two girl children in a family. However, if a family has twins as the second birth, a third account can be opened.
Deposit Limits
The minimum deposit required to open a Sukanya Samriddhi Account is ₹250, making it accessible to families from various income groups. However, the account can be revived by paying a penalty of ₹50 along with the minimum deposit for that year.
Interest Rates
The Sukanya Samriddhi Yojana offers one of the highest interest rates among small savings schemes backed by the government. The interest rate is revised quarterly, but it has consistently remained above the interest rates offered by fixed deposits and other traditional savings schemes. As of the latest update, the interest rate is approximately 7.6% per annum, compounded annually. This high-interest rate ensures that the savings grow substantially over the long term.
Tenure and Maturity
The account has a maturity period of 21 years from the date of openingThis makes the scheme a long-term investment plan, allowing families to build a significant financial corpus over two decades. The scheme ensures that the funds are available when the girl reaches adulthood.
Partial Withdrawal
This feature ensures that the girl has access to funds for higher education, making it easier for families to support her academic pursuits without financial strain. The partial withdrawal option is a significant benefit, as it allows families to use the funds at a crucial stage in the girl’s life.
Premature Closure
The account can only be closed prematurely under exceptional circumstances. The government has ensured that the funds are safeguarded and only used for the girl’s future needs.
Transferability
The account is fully transferable across India, making it convenient for families that relocate. This ensures that the account remains active and continues to benefit the girl, regardless of the family’s geographical location.
Tax Benefits
The scheme offers significant tax benefits under Section 80C of the Income Tax Act. Deposits made under the Sukanya Samriddhi Yojana are eligible for tax deductions up to ₹1.5 lakh per financial year. Additionally, the interest earned and the maturity amount are fully tax-free. This exempt-exempt-exempt (EEE) status makes the scheme one of the most tax-efficient savings options available in India.
Benefits of Sukanya Samriddhi Yojana
The Sukanya Samriddhi Yojana offers several important benefits, making it an ideal choice for parents who want to secure their daughter’s future.
Financial Security for Girls
The primary benefit of the scheme is that it provides financial security for the girl child. The scheme promotes the idea of self-reliance and independence for girls by ensuring that they have access to funds when needed.
High Interest Rates
The high-interest rate offered by the Sukanya Samriddhi Yojana makes it an attractive investment option. The interest rate is generally higher than other small savings schemes, allowing the savings to grow faster over time. Compounded annually, the interest ensures that the total corpus accumulates significantly by the time of maturity, providing families with substantial financial resources.
Tax Savings
The scheme offers triple tax benefits under the exempt-exempt-exempt (EEE) category. This means that the deposits, interest earned, and the final maturity amount are all tax-free. These tax benefits make the scheme a cost-effective investment for parents, allowing them to save for their daughter’s future while reducing their tax liability. Tax savings play a crucial role in increasing the overall returns from the investment.
Encouragement for Education
The scheme encourages families to prioritize education for the girl child. This feature reduces the financial burden on families, making it easier for them to invest in their daughter’s education without resorting to loans or other financial assistance.
Gender Equality
The Sukanya Samriddhi Yojana promotes gender equality by ensuring that families save for their daughter’s future. The scheme challenges traditional gender norms by emphasizing the importance of investing in girls and their well-being. By providing a structured savings plan, the scheme encourages parents to view their daughters as assets rather than liabilities, contributing to a positive shift in social attitudes toward girls.
Accessible and Easy to Manage
The Sukanya Samriddhi Account is easy to open and manage. Parents can open the account at any post office or authorized bank across India. The minimum deposit of ₹250 makes the scheme accessible to families from all income groups.
Long-Term Impact of Sukanya Samriddhi Yojana
The Sukanya Samriddhi Yojana has a significant long-term impact on the financial well-being of girls and their families. The scheme ensures that girls have access to financial resources when they need them most, particularly for education and marriage. By promoting long-term savings, the scheme helps families build a secure financial foundation for their daughters.
The scheme also contributes to the broader goal of women’s empowerment. By encouraging families to invest in their daughter’s future, the Sukanya Samriddhi Yojana helps reduce the financial disparities between boys and girls. This empowerment leads to greater independence for women, as they have access to the funds needed for their personal and professional development.
The Sukanya Samriddhi Yojana plays a crucial role in addressing the gender gap in India. By promoting financial inclusion for girls, the scheme helps create a more equitable society.PM Sukanya Samriddhi Yojana: Savings For Girl Child, Introduced as part of the Beti Bachao Beti Padhao campaign, the scheme encourages parents to build a financial
Conclusion
The Pradhan Mantri Sukanya Samriddhi Yojana is a powerful tool for empowering the girl child through financial security and education. The scheme offers high-interest rates, tax benefits, and long-term financial growth, making it an attractive investment option for parents. With its focus on gender equality and women’s empowerment, the scheme plays a crucial role in shaping a brighter future for girls across India. The Sukanya Samriddhi Yojana encourages families to invest in their daughter’s future, providing them with the financial foundation needed to achieve their goals and aspirations.PM Sukanya Samriddhi Yojana: Savings For Girl Child
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