The central government provides many investment schemes for all communities. Small investments in these schemes can lead to excellent long-term returns.
The Sukanya Samriddhi Scheme is offered as part of this initiative for girls, and its high interest rates make it beneficial for events like baby marriages and weddings.
It’s essential to start saving and investing early to lead a comfortable life without financial issues in youth and retirement. Additionally, getting a girl child married in a middle-class family can be expensive.
The central government, led by Prime Minister Narendra Modi, has introduced the Sukanya Samriddhi Account to provide financial security for girl children and avoid such problems. It’s recommended that girls join this scheme before the age of 10.
The number of people joining this scheme has been increasing recently, as it offers higher returns than most other schemes with an interest rate of 8.20 percent.
Small investments can accumulate a large sum over the long term, which can be used for marriage or higher studies. The most significant advantage of this scheme is that the maturity amount is tax-free.
Under section 80C of the Income Tax Act-1961, up to Rs. 1.50 lakh tax can be reduced under the old tax system. An account can be opened at any recognized bank or post office.
Parents or guardians can open an account in the child’s name, and a maximum of two accounts can be opened in one family. If twins are born in the second birth, then three accounts can be opened.
To open a Sukanya Samriddhi account, the SSY account opening form, along with the child’s birth certificate, guardian’s or parents’ address proof, and ID proof, are required.
After filling out the opening form, attach the necessary documents and photographs and submit it to the bank or post office with the minimum contribution amount.
In a year, a minimum of Rs. 250 and a maximum of Rs. 1.50 lakh can be invested as a lump sum or in installments over 15 consecutive years. The account matures after 21 years of being opened, or it can be closed if the girl gets married after 18 years.”