About SSY Scheme

Sukanya Samriddhi Yojana (SSY) is a small-deposit savings scheme launched in India to encourage investment plans for the future of a girl child. A part of the Beti Bachao Beti Padhao campaign, this scheme covers all future expenditures involved in the education and marriage of a minor girl.

Since the government backs it, an SSY scheme is a low-risk investment plan, offering secure and substantial returns. However, it is still advisable to evaluate profitability before investing in a scheme. For that, one can use a Sukanya Samriddhi Yojana calculator that helps to determine earnings in advance.

What is an SSY Calculator?

Sukanya Samriddhi Yojana, or SSY Calculator, is a financial tool that helps you determine the income you will receive by investing in this scheme. It considers several parameters like the yearly investment amount, the girl’s age and the starting period. Furthermore, it displays the maturity year, principal interest and total interest earned.

How Does Sukanya Samriddhi Yojana Calculator Work?

A Sukanya Samriddhi Yojana Calculator functions on the basis of variables set by an individual, such as an investment amount and age details of a child. An SSY calculator comes with a pre-adjusted interest rate that prevails in India and a limited maturity period. Using a mathematical formula, it calculates the interest amount and the maturity value of such an investment scheme accordingly.

However, this calculator displays results after considering a few predetermined aspects of an SSY scheme. Let's go through these aspects.

• A depositor has to invest the same principal amount every year till the end of his contribution period.
• An investor will not make any further deposits between the 15th and 21st year. This calculator will determine the interest income during this period based on previous deposits.
• A Sukanya calculator will compute the maturity value of all investments made in this quarter on a current prevailing interest rate of 7.6%.
• In the case of a yearly scheme, an investor will deposit all his contributions on 1st April every year till tenure. Likewise, monthly deposits should be made on the first day of every month in case you choose a monthly scheme.
• Investors can not withdraw their investment from an SSY account before the completion of 21 years.

Formula

Without using its mathematical formula, a Sukanya Samriddhi Yojana Calculator cannot determine the maturity value of your investment. Therefore, it is important to understand the formula used by this tool.

The formula used by the Sukanya Samriddhi calculator to determine the investment value is A = P (1 + r/n) ^ nt. Here,

• A = Compound interest or interest income you earn
• P = Principal amount or annual sum of money you deposit
• r = Applicable interest rate of an SSY scheme
• n = Number of times interest compounds in a financial year
• t = Number of years

Let’s understand this formula in a better way using an example.

Suppose you want to invest ₹1,50,000 every year in an SSY scheme, offering an 8% interest rate on a compounded basis for 15 years.

Although your contribution period will be considered as 15 years, a Sukanya Yojana calculator will determine the maturity value after 21 years.

If we put these values into the formula, we will get ₹43.98 lakh as the amount of interest accrued by the end of 15 years. However, the maturity value will continue to grow till the end of 21 years. Hence, you will receive ₹69.80 lakh as the total maturity amount.

This is how a Sukanya Samriddhi Yojana calculator works.

How to Use the Sukanya Samriddhi Yojana Calculator?

Here are the steps you can follow in order to use the Stable Money Sukanya Samriddhi Yojana calculator:

Step 1: Enter an amount you want to deposit yearly throughout the scheme tenure. You need to enter a minimum amount of ₹250 to compute the interest income.

Step 2: Now, enter the girl’s age. The maximum age limit is 10 years, so make sure you input the accurate details with respect to the set limit.

Step 3: Enter the starting year of the investment or the financial year when you intend to open the account. For instance, if you are starting the investment this year, enter 2023 as the current year.

The Sukanya Samriddhi Yojana calculator will automatically display the maturity value of your investment, along with the maturity year and the amount of interest earned.

Advantages of Using National SSY Calculator

An SSY calculator is beneficial for an investor/depositor in various ways. Here are some of the common advantages they can avail by using this tool:

1. Fast and Accurate Results

Manual calculation of interest earned from SSY investments can be tedious and time-consuming. However, you can get accurate results within a few seconds if you use a National Sukanya Samriddhi Yojana interest rate calculator.

2. Eliminates Human Errors

An SSY calculator can determine the exact maturity amount that will accrue when the scheme matures. It eliminates all human errors that might occur while doing manual calculations.

3. User-friendly

This financial tool has a user-friendly interface which is readily accessible online and can be conveniently used by an individual for his/her financial planning. Furthermore, you can use this calculator from any device for free as many times as you want in a day.

4. Helps with Financial Decision Making

Through an SSY calculator, an individual can decide how much deposit money has to be invested annually so that the total maturity value of their investment can align with their financial goals. It further helps them to plan an investment portfolio by giving them a fair idea about what to expect from such an investment.

5. Automated

A Sukanya Samriddhi Yojana scheme calculator is an automated tool that keeps account of all updates regarding changes in the variables of an SSY scheme. For instance, this tool automatically factors in the prevailing interest rate, which remains subject to change.

Conclusion

Since the interest rate of the SSY scheme changes every quarter, verify the prevailing rate with your nearest post office or bank before using this financial tool. With that, you are all set to plan your finances accordingly with the help of the Stable Money Sukanya Samriddhi Yojana calculator calculator.