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FinCalc India

Salary Calculator (CTC to In-Hand)

Cost to Company (CTC) is what your employer spends on you in a year. Your in-hand salary is lower because it excludes employer retirals (PF, gratuity provision) and is reduced by your own PF, professional tax and income tax.

Enter your annual CTC and adjust the assumptions to estimate the monthly take-home.

Assumptions used
  • Basic is a percentage of CTC; HRA and special allowances are treated as fully taxable.
  • Professional tax is approximated at ₹2,500/year; no variable pay or perquisites modelled.

Enter your details

₹
1,00,00020,00,00,000
%
2560

Commonly 35–50% of CTC. Drives PF and gratuity.

₹
05,00,000

Only used when the old regime is selected.

Results

Monthly In-Hand (approx.)

₹88,268

Annual In-Hand
₹10,59,212
Gross Salary (CTC − retirals)
₹11,19,312
Income Tax (annual)
₹0
Your PF (annual)
₹57,600
Professional Tax (annual)
₹2,500
Total Deductions (annual)
₹60,100
  • Take-home₹10.59 L(88%)
  • Taxes & PF₹60.1 K(5%)
  • Employer retirals₹80.7 K(7%)

How the estimate is built

Gross salary = CTC − employer PF − gratuity provision

  • Employer PF = 12% of Basic
  • Gratuity provision ≈ 4.81% of Basic

Take-home = Gross salary − your PF − professional tax − income tax

  • Your PF = 12% of Basic
  • Professional tax ≈ ₹2,500 per year (varies by state)
  • Income tax per the regime you choose

Why in-hand is lower than CTC

  • Employer PF and the gratuity provision are part of CTC but never hit your bank account monthly.
  • Your own PF (12% of Basic) is deducted before salary is paid.
  • Income tax is deducted as monthly TDS across the year.
  • Variable pay, bonuses, insurance premia and NPS, if in your CTC, further change the monthly figure.

Income tax uses FY 2025-26 (AY 2026-27) slabs (Union Budget 2025 — Finance Act 2025). For resident individuals below 60. Senior-citizen basic-exemption limits under the old regime, and taxpayer-specific surcharge/marginal-relief edge cases, are simplified. This is an estimate, not tax advice — confirm with a professional or the Income Tax Department. This is an approximation; your payslip depends on your employer's exact salary structure.

New vs old regime for salary

The new regime has lower slab rates and a ₹75,000 standard deduction but disallows most exemptions (HRA, LTA, 80C, 80D). The old regime rewards those who claim large deductions. Try both here and compare the take-home.

Rates & rules: FY 2025-26 (AY 2026-27). Source: Union Budget 2025 — Finance Act 2025. For resident individuals below 60. Senior-citizen basic-exemption limits under the old regime, and taxpayer-specific surcharge/marginal-relief edge cases, are simplified. This is an estimate, not tax advice — confirm with a professional or the Income Tax Department.

This calculator is for education and illustration only. Results are estimates based on the inputs and assumptions shown and are not financial, investment, tax or legal advice. Verify figures with your bank, a registered adviser or the relevant government department before acting.

Frequently asked questions

What is the difference between CTC and in-hand salary?

CTC is the employer's total annual spend on you, including PF and gratuity provisions. In-hand salary is what reaches your bank each month after employer retirals are excluded and your PF, professional tax and income tax are deducted.

Why is my Basic salary important?

Basic drives your PF contribution, gratuity, and often HRA. A higher Basic means more forced retirement saving but a lower immediate take-home.

Does this calculator match my payslip exactly?

No. It is an estimate using standard assumptions. Actual payslips vary with special allowances, variable pay, insurance, NPS, food coupons and your state's professional tax.

Which tax regime gives a higher take-home?

It depends on your deductions. Without large 80C/80D/HRA claims, the new regime usually wins. With substantial deductions, the old regime can be better. Compare both using the regime toggle.

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