# In-Hand Salary Calculator

> Monthly take-home pay from your CTC after PF, professional tax and income tax for Tax Year 2026-27.

Interactive calculator: https://www.cashiq.in/tools/in-hand-salary-calculator
Last updated: 2026-11-10

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 it: https://www.cashiq.in/tools/in-hand-salary-calculator?ctc=1200000&basic=50&pf=full&gratuity=yes&ptax=2400&regime=new&deductions=0

## Use it with your own numbers

Add query parameters to the calculator URL. The page renders the result, a one-sentence summary and a year-by-year table in its HTML.

| Parameter | Meaning | Allowed values |
| --- | --- | --- |
| `ctc` | Annual CTC | 1,00,000 to 1,00,00,00,000 |
| `basic` | Basic salary (% of CTC) | 20 to 80 |
| `pf` | Provident fund (EPF) | full | capped | none |
| `gratuity` | Gratuity included in CTC? | yes | no |
| `ptax` | Professional tax a year | 0 to 2,500 |
| `regime` | Tax regime | new | old |
| `deductions` | Other old-regime deductions (HRA, 80D, more 80C...) | 0 to 10,00,00,000 |

Example: https://www.cashiq.in/tools/in-hand-salary-calculator?ctc=1200000&basic=50&pf=full&gratuity=yes&ptax=2400&regime=new&deductions=0

JSON API: https://www.cashiq.in/api/v1/in-hand-salary-calculator?ctc=1200000&basic=50&pf=full&gratuity=yes&ptax=2400&regime=new&deductions=0

## 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

### How is in-hand salary calculated from CTC?

Subtract the parts of CTC not paid monthly (employer PF and gratuity) to get gross salary, then subtract your PF, professional tax and income tax.

### What is the in-hand salary for ₹12 lakh CTC?

About ₹85,395 a month under the new regime, with a 50% basic, PF on full basic and gratuity in CTC. It pays no income tax because gross salary stays under the ₹12.75 lakh limit.

### Why is my in-hand salary much lower than CTC ÷ 12?

CTC includes the employer’s PF and gratuity, which you do not receive monthly, and your own PF, professional tax and income tax are deducted from what remains.

### Does a higher basic reduce take-home pay?

Yes, slightly. PF and gratuity are a percentage of basic, so a higher basic moves more of your CTC into savings you receive later.

## Sources

- [Income Tax Department](https://www.incometax.gov.in/)
- [EPFO](https://www.epfindia.gov.in/)

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Results are estimates for planning, not investment, tax or legal advice. Returns are assumptions, not guarantees. Source: CashIQ, https://www.cashiq.in/tools/in-hand-salary-calculator