Planning for a daughter’s education, marriage, and long-term financial security is one of the biggest priorities for Indian parents. Rising education costs and inflation make it essential to start investing early in a safe yet rewarding scheme. One government-backed option that continues to attract parents’ attention is the Sukanya Samriddhi Yojana (SSY). In 2025, this small savings scheme remains one of the most reliable tools for building a substantial corpus for a girl child.
If you are wondering how much wealth can be created by investing ₹5,000 every month under Sukanya Samriddhi Yojana, here is a detailed and easy-to-understand explanation.
Sukanya Samriddhi Yojana is a savings scheme launched by the Government of India specifically for the financial security of the girl child. It allows parents or legal guardians to invest small amounts regularly and earn attractive, risk-free returns over a long period.
As of 2025, SSY offers an annual interest rate of 8.20%, which is higher than most fixed-income investment options. Since the scheme is backed by the government, the capital is fully secure and not affected by market volatility.
Interest rate: 8.20% per annum (compounded yearly)
Account tenure: 21 years from the date of opening
Investment period: First 15 years only
Minimum investment: ₹250 per year
Maximum investment: ₹1.5 lakh per year
Tax benefits: Eligible under Section 80C, with tax-free maturity
One of the biggest advantages of SSY is that even after you stop investing at the end of 15 years, the amount continues to earn interest for the remaining 6 years.
The SSY account remains active for 21 years, but contributions are required only for the first 15 years. This structure helps parents build a strong corpus even with disciplined, modest investments.
During the final 6 years, no additional deposits are required. The accumulated amount continues to grow through compound interest, significantly boosting the final maturity value.
Let us understand the numbers with a simple example:
Monthly investment: ₹5,000
Annual investment: ₹60,000
Investment duration: 15 years
Total investment: ₹9,00,000
With an annual interest rate of 8.20%, this amount continues to compound for the full 21-year tenure. At maturity, the total value is estimated to be around ₹25 lakh.
This means that an investment of just ₹5,000 per month can grow into a sizable fund that can support higher education, professional courses, or wedding expenses.
Here is a quick comparison of different monthly contributions and their potential maturity values after 21 years:
₹1,000 per month:
Total investment (15 years): ₹1.8 lakh
Estimated maturity value: ₹5 lakh
₹3,000 per month:
Total investment: ₹5.4 lakh
Estimated maturity value: ₹15 lakh
₹5,000 per month:
Total investment: ₹9 lakh
Estimated maturity value: ₹25 lakh
₹12,000 per month:
Total investment: ₹21.6 lakh
Estimated maturity value: ₹66 lakh
These figures highlight the power of long-term compounding in a high-interest, government-backed scheme.
SSY is especially suitable for parents who prefer zero-risk investments and want guaranteed returns. Unlike equity-linked schemes, SSY does not fluctuate with market conditions. The tax-free maturity and disciplined savings structure make it a strong foundation for long-term planning.
Another major benefit is psychological comfort. Parents know that the investment is safe, predictable, and aligned with their child’s future milestones.
Sukanya Samriddhi Yojana 2025 remains one of the best savings schemes for securing a daughter’s financial future. Investing ₹5,000 per month may seem modest today, but over 21 years, it can grow into a corpus of nearly ₹25 lakh, without exposing your money to market risks.
Starting early is the key. Small, consistent savings today can ensure that your daughter’s dreams are supported by a strong and secure financial foundation tomorrow.
