Sukanya Samriddhi Yojana Calculating Maturity Value after 21 Years

1 of 3

http://www.onemint.com/2015/03/09/sukanya-samriddhi-yojana-calculati...

This post is written by Shiv Kukreja, who is a Certified Financial Planner and runs
a financial planning firm, Ojas Capital in Delhi/NCR. He can be reached at
skukreja@investitude.co.in
Sukanya Samriddhi Yojana has received a great initial response from the general
public. As the scheme offers 9.1% tax-free rate of interest, investors are finding this
scheme to be extremely attractive and want to invest in it as soon as possible. They
also need handholding to invest in this scheme. But, due to lack of required
information with the post offices and authorised bank branches, people are finding it
difficult to do so.
I have posted two articles about this scheme and both have received over hundred
comments from the visitors. I have been getting many queries regarding the maturity
value of this scheme. People want to know the value of their investment as the
scheme gets matured after 21 years.
Though it is almost impossible to calculate a precise maturity value of this scheme as there are many variables on which its maturity value
will depend, I have tried to make a couple of tables in which the maturity value has been calculated keeping those variables to be constant
and yearly & monthly contribution to be the only variable.
Certain assumptions have been made for calculating these maturity values and those assumptions are:
* Rate of Interest has been assumed to be 9.1% for all these 21 years.
* Yearly contributions have been assumed to be made on April 1 every year i.e. the beginning of the financial year.
* Monthly contributions have been assumed to be made on 1st day of every month.
* Although it is not mandatory, a fixed amount of yearly/monthly contribution has been assumed.
* It is also assumed that no withdrawal is made throughout these 21 years.
Here you have the tables:
Yearly Contribution Table

3/31/2015 9:31 PM

Sukanya Samriddhi Yojana Calculating Maturity Value after 21 Years

2 of 3

http://www.onemint.com/2015/03/09/sukanya-samriddhi-yojana-calculati...

Monthly Contribution Table

3/31/2015 9:31 PM

Sukanya Samriddhi Yojana Calculating Maturity Value after 21 Years

3 of 3

http://www.onemint.com/2015/03/09/sukanya-samriddhi-yojana-calculati...

I hope these two tables help people in deciding how much amount they would like to contribute to this scheme in order to achieve their
girl childs marriage and/or higher education goals.
Before you go ahead and plan to get an account opened, I would like to again highlight the main features of this scheme:
Who can open this account? - Parents or a legal guardian of a girl child up to the age of 10 years, can open this account in the name of
the girl child. Up to December 1, 2015, one year grace period has been provided to allow this account to get opened for a girl child who is
born on or after December 2, 2003.
9.1% Tax-Free Rate of Interest - This scheme offers 9.1% rate of interest, which has also been exempted from tax in this years budget.
But, this rate is not fixed at 9.1% for the whole tenure and is subject to a revision every financial year.
Scheme Matures in 21 years or on Girls Marriage, whichever is earlier - The scheme gets matured on completion of 21 years from
the date of opening of the account or as the girl child gets married, whichever is earlier. Please note that the girl attaining the age of 21
years has no relevance to maturity of this scheme.
Deposit for 14 years only - You need to deposit a minimum of Rs. 1,000 and a maximum of Rs. 1,50,000 only for the first 14 years, after
which you are not required to deposit any amount. Your account will keep earning the applicable interest rate for the remaining 7 years or
till it gets matured on your daughters marriage.
Documents Required - You need birth certificate of the girl child, along with the identity proof and residence proof of the guardian, to
open an account under this scheme. You can approach any post office or authorised branches of some of the commercial banks to get this
account opened.
You can check the rest of the features of this scheme from this post Sukanya Samriddhi Yojana Tax-Free Small Savings Scheme for a
Girl Child
You can also download the application form to open an account from this post Sukanya Samriddhi Yojana Application Form & List of
Banks to Open an Account. If you still have any query or something related to discuss, please share it here.

3/31/2015 9:31 PM