SSY Vs SIP: With the birth of the child, parents start worrying about his/her future. For this reason, people start investing in various schemes with his/her birth so that they can collect a good amount by the time he/she grows up. If you are the father of a daughter, then the name Sukanya Samriddhi Yojana must be in your mind because this scheme has been started by the government, especially for daughters. In this scheme, interest is being given at the rate of 8.2 percent. If your daughter is less than 10 years old, you can invest in this scheme in her name.

SIP is also considered a very good option for making money quickly. Through this, you can invest in Mutual Fund in the name of your daughter. However, you should know that SSY is a scheme that gives guaranteed returns, but Mutual Fund is a market linked scheme, in which returns are not guaranteed. But experts consider this scheme to be very good for making money in the long term because its average return is also considered better than many schemes. Which is better to invest for your daughter, SIP or SSY? If you are confused thinking about this, then understand the returns of both the schemes here, this will make it very easy for you to take a decision.

SSY return on monthly deposit of Rs 5000

Investment is made in SSY for 15 years, after which the amount is kept locked. The scheme matures after 21 years i.e. you get the maturity amount after 21 years. In such a situation, if you invest Rs 5000 every month in Sukanya Samriddhi Yojana, then Rs 60,000 will be invested in a year and Rs 9,00,000 in 15 years. If calculated according to the current interest rate, then at the interest rate of 8.2 percent, a total interest of Rs 18,71,031 will be received in 21 years and the maturity amount after 21 years will be Rs 27,71,031.

How much return from a monthly SIP of Rs 5000

If you invest Rs 5000 every month in mutual funds through SIP, then in 15 years you will invest Rs 9,00,000 here as well. The average return on SIP is considered to be 12 percent. Sometimes it is even more than this. In such a situation, if we calculate at the rate of 12 percent, then in 15 years, an investment of Rs 9 lakh will give an interest of Rs 16,22,880. If you withdraw this amount in 15 years itself, then you will get Rs 25,22,880. This amount is close to the return received on Sukanya Samriddhi in 21 years.

If you continue this investment for one more year, i.e. invest for 16 years instead of 15, then you will get Rs 29,06,891 at the rate of 12 percent, which is much more than the return of Sukanya Samriddhi Yojana. If you continue this investment for 21 years continuously, then you can get up to Rs 56,93,371 at the rate of 12 percent return through SIP, while your total investment will be Rs 12,60,000. That is, you will get Rs 44,33,371 on the investment only as interest.

- One advantage of SSY is that you can avail tax benefits in three ways. This scheme comes under EEE category. In this, there is no tax on the amount deposited every year, apart from this, there is no tax on the interest earned every year and the entire amount received at the time of maturity is also tax free, that is, there is tax saving in investment, interest/return and maturity. But you do not get tax exemption in SIP.

- Apart from this, the return received in Sukanya Samriddhi is fixed, but there is no guaranteed return in SIP because it is market linked. However, experts consider it a better investment option in the long term. In SIP, the benefit of rupee cost averaging is available in the long term, in such a situation the risk is reduced considerably. The average return in SIP is considered to be 12 percent. This is much better than Sukanya. Sometimes you get more interest than this.

- You can invest in Sukanya Samriddhi Yojana only if your daughter is less than 10 years old. But age has nothing to do with SIP, you can also invest in the name of a girl child.

- You have to invest in SIP for 15 years, but after that your money remains locked for many years. In such a situation, you cannot use it. SIP is flexible. You can start it anytime and stop it anytime.

- A maximum of Rs 1.5 lakh can be deposited annually in SSY, but there is no such limit in SIP. You can invest any amount in it.