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Salary Calculator

CTC and take-home are two different promises. Cost to company bundles in employer PF and other expenses that never touch your bank account, while the salary that does arrive is what survives employee PF, professional tax and income tax. This calculator walks an annual CTC through a realistic Indian payroll so you can judge an offer on the money you actually spend, not on the number printed at the top of the letter.

Enter values

Cost to company for the year — it already includes employer PF

Offer letters commonly set basic at 40–50% of CTC

PF is 12% of ₹15,000 unless your offer states PF on actual basic

New-regime slabs for AY 2026-27, including 4% cess

₹200 is the common slab; enter 0 for states that levy none

Results update as you type.

Results

Net monthly take-home
₹1,34,007.73
Gross monthly salary
₹1,48,200.00
Income tax (monthly, new regime)
₹12,192.27
Annual take-home
₹16,08,092.80
Total deductions (annual)
₹1,70,307.20

How is the Salary calculated?

Enter the annual CTC and the basic percentage your offer uses — 40% is the common starting point. Pick whether PF follows the statutory ₹15,000 wage ceiling or runs on your full basic, switch income tax off if you only want gross figures, and set the monthly professional tax your state charges (₹200 is typical, ₹0 where none applies). You get gross monthly salary, PF, income tax, annual take-home and total deductions at once.

Formula

Basic = CTC × basic% ÷ 12. PF wages = min(basic, ₹15,000) unless higher PF is opted for, so employee PF = employer PF = 12% × PF wages. Gross = CTC − employer PF — the employer's share sits inside CTC. Tax = AY 2026-27 new-regime slabs on gross − ₹75,000, plus 4% cess. Net monthly = (Gross − employee PF − professional tax − tax) ÷ 12.

Example

Take a ₹18,00,000 CTC with basic at 40%: basic is ₹60,000 a month, but PF wages stop at ₹15,000, so each side pays ₹1,800 a month. Employer PF of ₹21,600 a year comes out of the CTC, leaving gross salary of ₹17,78,400 — ₹1,48,200 a month. Tax on ₹17,03,400 taxable income is ₹1,46,307.20 after cess. Subtract employee PF ₹21,600, professional tax ₹2,400 and tax to get ₹16,08,092.80, or ₹1,34,007.73 in hand each month.

Things to remember

Before you accept, check the basic percentage: a low basic shrinks PF and gratuity, while a high basic pushes both up even at the same CTC. The defaults match most private-sector offers, but PF on full basic and state professional-tax slabs vary — match the inputs to your letter, then compare on the reverse calculator.

Frequently Asked Questions

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

CTC is the total annual cost of employing you: gross salary plus employer PF and other benefits. In-hand is what is paid into your bank after employee PF, professional tax and income tax are deducted — typically 75–85% of CTC when PF is capped at ₹15,000.

How is monthly in-hand salary calculated from CTC?

Subtract the employer's 12% PF from CTC to get gross, then deduct employee PF (12% of wages capped at ₹15,000), professional tax and new-regime income tax. Divide the remainder by 12. On a ₹12,00,000 CTC at 40% basic, that lands around ₹96,200 a month with nil tax.

Is professional tax deducted in every state?

No. Maharashtra, Karnataka, West Bengal and a dozen other states charge professional tax, commonly ₹200 a month; the annual ceiling is ₹2,500 wherever it applies. Delhi, Uttar Pradesh and most of the north do not levy it, so enter ₹0 there and watch take-home rise accordingly.

Does this calculator use the new tax regime?

Yes — it applies the new-regime slabs for AY 2026-27 with the ₹75,000 standard deduction and 4% cess, and rebates tax entirely while taxable income stays at or below ₹12,00,000. Switch the income-tax select to see the figure before tax instead.

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