Your offer letter says one number, but what actually lands in your bank account is another. Enter your CTC to see your estimated monthly in-hand salary after PF, professional tax and income tax.
Formula
Gross Salary = CTC − Employer PF − Gratuity (approx 4.81% of basic)
In-Hand = Gross − Employee PF − Professional Tax − Income Tax
Example: ₹12 lakh CTC with standard 12% PF and new tax regime typically results in a monthly in-hand salary of roughly ₹85,000-92,000, depending on the exact salary structure.
CTC vs In-Hand Salary — Quick Reference
| Annual CTC | Approx Monthly In-Hand (New Regime) |
|---|
| ₹6 lakh | ₹46,000 - ₹48,000 |
| ₹10 lakh | ₹73,000 - ₹77,000 |
| ₹15 lakh | ₹1,05,000 - ₹1,10,000 |
| ₹20 lakh | ₹1,35,000 - ₹1,42,000 |
| ₹30 lakh | ₹1,95,000 - ₹2,05,000 |
Actual figures vary based on your specific salary structure (basic vs allowances split), city, and declared deductions.
Frequently Asked Questions
Why is my take-home salary less than my CTC?
CTC includes employer PF contribution, gratuity provision, insurance and other benefits that never reach your bank account, plus employee-side deductions like PF, professional tax and income tax.
What is the difference between CTC and in-hand salary?
CTC (Cost to Company) is the total amount your employer spends on you annually, including all benefits and employer contributions. In-hand salary is what actually gets credited to your bank account after all deductions.
What is professional tax?
A small state-level tax on salaried professionals, typically ₹200/month or less, deducted directly by the employer. Rates and applicability vary by state — some states don't levy it at all.
Can I opt out of PF contribution?
If your basic salary exceeds ₹15,000/month and you're a new EPF member with no prior PF account, you may have a one-time option to opt out. Once enrolled, PF contribution is generally mandatory.
Does bonus get taxed the same as salary?
Yes, bonuses are added to your taxable salary income and taxed at your applicable slab rate in the year they're paid — there's no separate lower tax rate for bonuses in India.
What is the difference between gross salary and CTC?
Gross salary is your CTC minus employer-side contributions (PF, gratuity) that don't form part of your payslip. Gross salary is what appears at the top of your payslip before deductions.
Why does my in-hand salary change even without a CTC change?
This can happen due to tax slab changes in a new financial year, changes in your declared deductions (80C, HRA), or if variable pay/bonus components fluctuate month to month.
Is gratuity part of my monthly salary?
No. Gratuity is provisioned in your CTC but paid as a lump sum only when you leave the company after 5+ years of continuous service — it never appears in your monthly payslip.
How accurate is this calculator?
It provides a reasonable estimate based on standard assumptions. Your actual in-hand salary depends on your exact salary structure (basic/HRA/allowance split), which varies by company — check your official payslip for exact figures.
Should I choose higher basic or higher allowances?
Higher basic increases PF (forced long-term savings, good for retirement) but reduces immediate take-home. Higher allowances increase immediate cash flow but reduce PF corpus growth — the right choice depends on your financial priorities.
This calculator provides an estimate based on standard assumptions. Actual take-home salary depends on your specific salary structure — verify with your HR/payroll team or official payslip.