In-Hand Salary Calculator

About the In-Hand Salary Calculator

Your in-hand salary is your CTC minus the employer's PF and gratuity, then minus your own PF, professional tax and income tax. On a ₹12 lakh CTC with a 50% basic, take-home pay is about ₹85,395 a month under the new regime. On ₹20 lakh it is about ₹1,29,339.

How it is calculated

In-hand = CTC − employer PF − gratuity − employee PF − professional tax − income tax

• Basic salary is a percentage of CTC. Under the labour codes, wages must be at least half of total pay, so 50% is a common basic.
• EPF: employer and employee each contribute 12% of basic. Some employers cap it at 12% of ₹15,000 a month (₹1,800).
• Gratuity provision in CTC is usually 4.81% of basic (15/26 of a month for each year ÷ 12 months).
• Income tax is worked out on the gross salary using the regime you pick.

Worked example

Inputs: ₹12,00,000 CTC, 50% basic, PF on full basic, gratuity in CTC, ₹2,400 professional tax, new regime.

Result: Gross salary ₹10,99,140, PF ₹72,000, income tax ₹0, in-hand ₹85,395 a month.

Open this example in the calculator

Rules and assumptions

• Professional tax is set by each state, up to ₹2,500 a year. Some states, such as Delhi, do not levy it. It is deductible only in the old regime.
• In the old regime, your PF counts toward the ₹1.5 lakh Section 80C limit; the calculator adds it for you.
• Bonuses, variable pay, meal cards and reimbursements are not modelled. Treat them as part of CTC only if they are paid every month.
• New regime slabs: up to ₹4 lakh nil; ₹4–8 lakh 5%; ₹8–12 lakh 10%; ₹12–16 lakh 15%; ₹16–20 lakh 20%; ₹20–24 lakh 25%; above ₹24 lakh 30%.

Frequently asked questions