Sukanya Samriddhi Yojana Interest Rate History: Updated 2019-20

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The latest Sukanya Samriddhi Yojana Interest Rate is 8.4%. This is for the Financial Year 2019-2020 (for January to March quarter 2020).

So if you were looking for SSY Interest Rate 2020 or SSA interest Rate 2020, then now you know that SSY rate of interest is 8.4% at present.

For the parents of daughters, the girl child-focused Sukanya Samriddhi Yojana Interest Rate is important as SSY account can be used to save money for daughter’s higher education and marriage expenses.

So for the parents who want to know more details about Sukanya Yojana, then the very first thing to note is that the current Sukanya Samriddhi Interest Rate is 8.4% (SSY Interest Rate). It has been at this rate since July 2019.

And do you want to know the Sukanya interest rate history in India during the last several years?

So let’s see the historical Sukanya Yojana interest rates

Sukanya Samriddhi Yojana Interest Rate History (Updated 2020)

The Sukanya Samriddhi interest rates for this scheme and other government-backed small saving schemes are notified quarterly now.

Here is the full history of Sukanya Account Interest Rates in India (since launch in the year 2015):

  • Sukanya Samriddhi Yojana Interest Rate 2018-19 (January – March 2020): 8.4%
  • Sukanya Samriddhi Yojana Interest Rate 2019-20 (October – December 2019): 8.4%
  • Sukanya Samriddhi Yojana Interest Rate 2019-20 (July – September 2019): 8.4%
  • Sukanya Samriddhi Yojana Interest Rate 2019-20 (April – June 2019): 8.5%
  • Sukanya Samriddhi Yojana Interest Rate 2018-19 (January – March 2019): 8.5%
  • Sukanya Samriddhi Yojana Interest Rate 2018-19 (October – December 2018): 8.5%
  • Sukanya Samriddhi Yojana Interest Rate 2018-19 (July – September 2018): 8.1%
  • Sukanya Samriddhi Yojana Interest Rate 2018-19 (April – June 2018): 8.1%
  • Sukanya Samriddhi Yojana Interest Rate 2017-18 (January – March 2018): 8.1%
  • Sukanya Samriddhi Yojana Interest Rate 2017-18 (October – December 2017): 8.3%
  • Sukanya Samriddhi Yojana Interest Rate 2017-18 (July – September 2017): 8.3%
  • Sukanya Samriddhi Yojana Interest Rate 2017-18 (April – June 2017): 8.4%
  • Sukanya Samriddhi Yojana Interest Rate 2016-17 (January – March 2017): 8.5%
  • Sukanya Samriddhi Yojana Interest Rate 2016-17 (October – December 2016): 8.5%
  • Sukanya Samriddhi Yojana Interest Rate 2016-17 (July – September 2016): 8.6%
  • Sukanya Samriddhi Yojana Interest Rate 2016-17 (April – June 2016): 8.6%
  • Sukanya Samriddhi Yojana Interest Rate 2015-16: 9.2%
  • Sukanya Samriddhi Yojana Interest Rate 2014-15: 9.1%

That is some history of SSY interest rates since their launch in the year 2015 (at the time of launch of Sukanya Samriddhi Yojana or Account, it was made very clear that this Small Savings Scheme was designed especially for girl’s higher education and marriage needs. You may like to go through this RBI notification if you want.

As you can see, the Sukanya interest rate started at 9.1% initially and then went up to 9.2% in the next financial year. After that, came a period where the interest rates are revised quarterly now. So during that period, the rates gradually went lower from 8.6% to 8.1%. before once again rising and settling to the current 8.4%

So if you wanted to know about the latest Sukanya Samriddhi Account interest rates and wanted to see how the rates have changed in previous years via the history of Sukanya Yojana interest rates (SSY Interest Rates), then I hope you got your information above.

How to Calculate Interest on Sukanya Samriddhi Account Balance?

The interest calculation for SSY Account is calculated monthly but added back to the SSA account at the end of the financial year. And even while calculation of monthly interest, it is to be noted that the interest amount on SSY account balance is calculated on the lowest balance in the Account between the 10th (tenth) day and the end of the month. 

Let me share some sample calculations for SSA Account here which will help you visualize how to calculate Sukanya Samriddhi Yojana maturity amount.

We will use a small example and then create a Sukanya Samriddhi Yojana Chart or depending on the year you are reading this, then Sukanya Samriddhi Yojana Chart 2020.

The below table illustrates sample calculations for SSA, where a monthly amount of Rs 5000 is deposited. The account is opened when the girl child reaches the age of 6 years.

Have a look at this Sukanya Samriddhi Yojana calculator chart below:

As you can see in the calculation chart of Sukanya Samriddhi Yojana above, the contribution of Rs 5000 monthly is only made up to the 15th year of account opening. But the overall corpus grows to almost Rs 28.42 lacs at the maturity in 21st year.

Also when the girl child reaches 18 years of age, an amount equal to 50% of preceding year’s balance can be withdrawn. In the above example, this amount equals 50% of Rs 12.19 Lacs, i.e. about Rs 6.10 Lacs.

I have made a small excel based Sukanya Samriddhi Account calculator for the parents and investors who plan to invest in Sukanya Samriddhi Account. This Sukanya Samriddhi Calculator can be used to easily estimate how much money they will receive at the time of maturity of SSY account.

Use the link below to download it for free and to understand how to use it correctly:

Sukanya Samriddhi Yojana Calculator

 

This excel calculator can be a good starting point for you to better understand this small savings scheme focused on the girl child which has Sukanya Interest rate of 8.4% currently.

I have also written a super Detailed Guide on Sukanya Samriddhi Yojana (2020) for those who want to understand the Sukanya Yojana Details before investing in the scheme for their daughters.

But just as a small reminder, here are few important details about Sukanya Scheme:

  • The minimum amount to be deposited in Sukanya Samriddhi Yojana or Sukanya Samriddhi Yojana minimum amount is Rs 250 per financial year.
  • The maximum limit of the amount that can be deposited in Sukanya Samriddhi Yojana is Rs 1.5 lac and it comes under the overall limit of Rs 1.5 lac limit of Section 80C.
  • The scheme matures on completion of 21 years from the date of account opening or as the girl child gets married, whichever is earlier (girl attaining the age of 21 years has no relevance to the maturity period of this scheme). But even though the scheme duration is 21 years, you are only allowed to make deposit contributions for the first 15 years. After the 15th year, you cannot make any further contributions, but the account continues to earn interest at the notified rates on balance amount for the remaining 6 years (up to 21st year after account opening).
  • It is allowed to withdraw up to a maximum of 50% of the SSA account at the end of the financial year preceding the year of application for withdrawal, for the purpose of higher education of the girl child. But such withdrawal for higher education will only be allowed if the girl has attained the age of 18 years or has passed 10th standard, whichever is earlier.
  • SSA matures after 21 years of account opening. But money can also be withdrawn for marriage before this 21-year period. But for that, parents have to give an affidavit confirming that the girl is an adult (18+ years).
  • As for the Tax Benefits for Sukanya Samriddhi Scheme, the Budget 2015 put SSA in the EEE (Exempt-Exempt-Exempt) category. This means that contributions to SSA can be claimed as deductions under Section 80C. The yearly interest income (which is anyways added back to the amount in account) is also tax-free. And finally, the total amount at maturity or withdrawal (for education) is also tax-free.

So that completes our analysis of the Historical Sukanya Samriddhi Yojana Interest Rates in India (Updated 2020). The latest Sukanya interest rate is 8.4% (the Financial year 2019-20)

After reading about the Sukanya Samriddhi interest rate, you will have some idea about (using Sukanya Yojana Calculation Chart and Sukanya Yojana Calculation Table) how much money can be accumulated using SSA account and how to calculate Sukanya Samriddhi Yojana interest at 8.4% and final maturity amount using the Sukanya Maturity Calculator. But we must not forget one thing – that generally, education inflation is much higher than just 8-9% (which Sukanya account offers as of now).

For someone who is adamant on not taking any risk at all, i.e. for a conservative risk-averse investor, the Sukanya Samriddhi Scheme makes a lot of sense as it offers SSY Interest rate of 8.4% which is practically risk-free and tax-free.

But if you can bear with volatilities of equity investing and can stay on course for 15-20 years, then you should invest in good equity funds using SIP. That will give you better inflation-beating returns and are a lot less restrictive when it comes to liquidity and withdrawal rules.

If you are saving for many financial goals (among which saving for daughter’s education and marriage is also one of the goals), then you should first plan your finances properly after undergoing a comprehensive investment planning exercise:

Stable Investor Financial Goal Planning Service

 

It will help create a proper financial plan which will guide you how to invest for all your financial goals and not just worry about using Sukanya Samriddhi Yojana’s historical interest rates or the latest Sukanya Samriddhi Yojana Interest Rate, which is Sukanya interest rate is 8.4% (for the Financial year 2019-20) or you can say that SSY interest rate 2019 is 8.4%

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