Salary Calculator (Take-Home)
Convert your annual CTC into monthly take-home pay after PF, professional tax and income tax deductions.
India-specific calculator. It uses Indian rules, rates and rupee amounts, and the currency selector is switched off on this page.
This in-hand salary calculator turns your annual CTC into a monthly take-home estimate. It breaks the package into basic salary, HRA and special allowance, then subtracts employee PF, professional tax and income tax (TDS) to show what you can expect in your bank account every month.
How your salary is built
- Basic salary — usually 40–50% of CTC; most other components are a percentage of it.
- HRA — typically 50% of basic, and partly tax-exempt under the old regime.
- Employer PF — 12% of basic, part of your CTC but not paid to you monthly.
- Special allowance — the balancing figure: CTC minus basic, HRA and employer PF.
From gross salary, the calculator deducts employee PF, professional tax and income tax to arrive at your net take-home.
Take-home formula
Net take-home = Gross salary − Employee PF − Professional tax − Income tax
Taxable income is gross salary minus the standard deduction (₹75,000 new / ₹50,000 old) and any old-regime deductions such as 80C. Income tax is then computed using the slabs configured for FY 2025-26 (AY 2026-27).
Worked example
₹12,00,000 CTC, 40% basic, 12% PF, new regime
Basic = ₹4,80,000; HRA = ₹2,40,000; employer PF = ₹57,600; special allowance = ₹4,22,400.
Gross = ₹11,42,400. After employee PF ₹57,600, professional tax ₹2,400 and nil/low tax (within the ₹12 lakh rebate threshold), monthly take-home is roughly ₹90,000+.
Actual pay can differ because of variable pay, bonuses, insurance, meal benefits and employer-specific deductions.
Who should use this calculator
- Anyone comparing job offers, where one company quotes a higher CTC but a different salary structure.
- Employees budgeting monthly expenses and wanting the real in-hand figure rather than an estimate from a friend.
- People negotiating a raise or a restructure and wanting to know how a higher basic changes PF, HRA and TDS.
- New graduates accepting their first offer and wondering why the monthly credit looks smaller than CTC ÷ 12.
Common mistakes to avoid
- Comparing offers by CTC alone. Two offers with the same CTC can pay very differently each month depending on basic, variable pay and how much of your salary is reimbursements.
- Treating CTC as monthly cash. Employer PF, gratuity provision and insurance premiums sit inside CTC but never reach your bank account month to month.
- Forgetting that PF is deducted from you too. Your employer contributes 12% of basic, and your own 12% is deducted from your gross salary — the second number is what hits your take-home.
- Ignoring professional tax. It is small (often ₹200 a month) but it is state-level, varies by state and is not part of income tax.
- Not planning for variable pay. A large bonus component can make the annual CTC look strong while the monthly in-hand stays modest.
Why a raise does not always feel like one
When your CTC rises, your basic usually rises with it — and that increases your PF contribution, because PF is a percentage of basic. A higher basic can also push some of your income into a higher tax slab. The result is that a ₹1 lakh raise rarely adds ₹1 lakh to your bank account; part of it moves into PF (which is still your money, just not liquid) and part goes to tax.
That is not a reason to avoid a raise. It is a reason to look at the full picture: PF builds a retirement corpus, HRA can reduce tax under the old regime, and a higher basic can help in loan eligibility. Use the monthly breakdown on this page to see where each rupee goes before you compare two offers.
Salary terms explained
- CTC
- Cost to Company — what your employer spends on you in a year, including their PF contribution, insurance and any gratuity provision.
- Gross salary
- Everything you are paid before deductions: basic, HRA, allowances and any taxable reimbursements.
- Basic pay
- Usually 40–50% of CTC. PF, HRA and many other components are calculated as a percentage of it, which is why it matters so much.
- Special allowance
- The balancing figure that is left after basic, HRA and employer PF are set. It is fully taxable and carries no separate benefits.
- TDS
- Tax deducted at source each month by your employer, based on the salary and regime you declare.
Frequently asked questions
What is the difference between CTC and take-home salary?
CTC (Cost to Company) is the total amount your employer spends on you in a year. Take-home salary is what actually reaches your bank account after deducting employee PF, professional tax and income tax (TDS). The employer’s PF contribution and any gratuity provision are part of CTC but are never paid out monthly, so take-home is always lower than CTC.
How is basic salary decided and why does it matter?
Basic salary is usually 40–50% of CTC and is set in your employment contract. It matters because PF, HRA and several other components are calculated as a percentage of basic. A higher basic means a bigger PF contribution and a larger HRA, which can help with tax planning under the old regime.
Why is my in-hand salary different from this calculator?
This calculator gives a close estimate based on standard components. Your actual salary may also include variable pay, bonuses, employer NPS, gratuity, insurance premiums, meal cards or other deductions that vary by employer. Use the breakdown here as a planning guide, not an exact payslip.
How is professional tax calculated?
Professional tax is a state-level tax deducted from your salary. It varies by state — many states deduct ₹200 per month (₹2,400 a year), while some deduct more or exempt employees below a salary threshold. Enter the figure that your payslip shows.
Does switching regimes change my monthly take-home?
Yes, indirectly. Your monthly PF and professional tax stay the same, but income tax (TDS) depends on your regime and declared investments. A lower tax under one regime leaves more take-home pay each month. Compare both options in the calculator to plan your TDS declarations.