It's Daughter's Day today and the best gift that you can possibly gift your girl child is a financial security plan to make her present and future secure. The Sukanya Samriddhi Yojana is a savings scheme run by the government for girl children. The government this week increased interest rates offered on the Sukanya Samriddhi Scheme to 8.5 per cent per annum from 8.1 per cent. Earlier, the government had also reduced the minimum deposit on Sukanya Samriddhi accounts to Rs 250 from Rs 1,000.
So, this is the best gift that you can give your daughter today because it prepares her to face the challenges of life later when she turns into an adult.
Where to open a Sukanya Samriddhi account
Sukanya Samriddhi accounts can be opened in leading banks and post offices across the country.
How to open Sukanya Samriddhi accounts:
The Sukanya Samriddhi account can be opened by a natural or legal guardian in the name of a girl child. The period during which the Sukanya Samriddhi account can be opened is from the birth of the girl child until the age of 10 years.
You can open and operate only one account in the name of a girl child. The natural or legal guardian of a girl child can be allowed to open the account for a maximum of two girl children only. A third account in the name of a girl child can be opened in the event of birth of twin girls, as second birth or if the first birth itself results in three girl children.
Deposits in Sukanya Samriddhi accounts:
The deposits in the account may be made until the completion of fourteen years, from the date of opening of the account. However, the account can be closed after completion of 21 years.
Minimum and maximum balance in Sukanya Samriddhi Yojana accounts
You need to deposit a minimum of Rs 250 and a maximum of Rs 1,50,000 in a financial year. The subsequent deposits in the account can be made in multiples of Rs 100. Deposits can be made in lump-sum. There is no limit on the number of deposits either in a month or in a financial year.
Partial withdrawal from Sukanya Samriddhi Yojana accounts
Partial withdrawals, subject to up to 50 per cent of the balance standing at the end of the preceding financial year, can be withdrawn after the account holder attains 18 years of age.
Closure of Sukanya Samriddhi Yojana accounts
A normal premature closure is allowed after completion of 18 years only if the girl is married.
Interest rate on Sukanya Samriddhi Yojana accounts
Interest rates on small savings schemes like Sukanya Samriddhi Yojana change every quarter. The interest rate on Sukanya Samriddhi Scheme for the quarter ending December 2018 is fixed at 8.5 per cent.
Income tax benefit on Sukanya Samriddhi Scheme accounts:
The deposits made to the account, and also the proceeds and maturity amount are fully exempt from tax under section 80C of the Income Tax (I-T) Act.