How is in-hand salary calculated from CTC?

From CTC, subtract the employer's PF and gratuity to get gross salary, then subtract your own PF, professional tax and income tax to get take-home. This tool estimates each using the new tax regime for FY 2025-26.

Why is in-hand less than CTC?

CTC includes the employer's PF and gratuity contributions, which never reach your bank account, plus deductions for your own PF, professional tax and income tax.

Is there tax up to ₹12 lakh?

Under the new regime for FY 2025-26, a Section 87A rebate makes taxable income up to ₹12 lakh tax-free, and with the ₹75,000 standard deduction a salary up to about ₹12.75 lakh can be nil-tax.

Salary Calculator (India) — CTC to In-Hand Take-Home Pay

Salary Calculator — CTC to In-Hand

Turn a CTC offer into monthly take-home. The tool estimates employer and employee PF, gratuity, professional tax and income tax under the new regime (FY 2025-26) to show what actually reaches your account.

How it's calculated

Basic pay is a share of CTC. The employer's PF (12% of basic) and gratuity (4.81% of basic) are part of CTC but not paid to you, so removing them gives gross salary. From gross, your own PF (12% of basic), professional tax, and income tax are deducted. Tax uses the new regime for FY 2025-26 — ₹75,000 standard deduction, the slab rates, and the Section 87A rebate that zeroes tax up to ₹12 lakh — with a 4% cess.

This is an estimate assuming the new regime and no HRA or 80C deductions. Actual pay depends on your exact salary structure, allowances and state professional tax.

Frequently asked questions

Does it use the old regime?

No — it uses the default new regime. If you claim large deductions (HRA, 80C, home loan), the old regime may give more take-home; check both.

Why cap PF?

Many employers restrict PF to 12% of the ₹15,000 statutory wage (₹1,800/month). Tick the box if yours does; it raises in-hand.

Is variable pay included?

Treat the CTC here as fixed pay; bonuses and variable components are paid separately and taxed when received.

Salary Calculator — CTC to In-Hand

Your offer

How it's calculated

Frequently asked questions