Cost to company is what an employer spends on you; in-hand salary is what reaches your account, and the gap surprises people at every level. This calculator rebuilds a typical Indian salary structure from your CTC (basic, HRA, special allowance and the employer's PF contribution), then deducts the employee PF, professional tax and the income tax that will be withheld as TDS under the regime you choose. The result is a realistic monthly take-home figure and a line-by-line breakup you can compare with an offer letter or a payslip.
In-Hand Salary Calculator (CTC to Take-Home)
An offer letter quotes cost to company, and the figure that lands in your account each month is always smaller. The in-hand salary calculator rebuilds a typical Indian salary structure from the CTC: basic pay (commonly 40–50% of CTC), house rent allowance as a share of basic, the employer's provident fund contribution that most companies include inside the CTC, and a special allowance that absorbs the rest. It then deducts the employee's PF, professional tax and the income tax the employer withholds as TDS.
On a ₹12 lakh CTC with a 40% basic, PF on the ₹15,000 monthly wage ceiling and the new tax regime, the gross salary is about ₹11.78 lakh, PF takes ₹1,800 a month and professional tax ₹200, while income tax is nil in the new regime because taxable income stays under ₹12 lakh, leaving about ₹96,200 in hand each month. Change the PF basis to full basic and both the deduction and your retirement savings roughly triple; switch to the old regime only if your actual deductions (rent, home loan, insurance) are large enough to beat the new-regime rates, which the income tax calculator checks for you.
Structures differ between employers: some add gratuity, a fixed bonus or NPS to the CTC, some pay ESI for lower salaries, and professional tax rates vary by state (capped at ₹2,500 a year). Treat the result as a close estimate and ask HR for the exact salary breakup before signing.
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Frequently Asked Questions
Why is the in-hand salary so much lower than the CTC?
CTC includes the employer's PF contribution (which goes to your retirement account, not your bank), and the gross salary is further reduced by your own PF contribution, professional tax and income tax. On a ₹12 lakh CTC these together typically take 20–25%.
How is PF calculated?
12% of basic salary from you and 12% from the employer. Many companies limit the calculation to the statutory wage ceiling of ₹15,000 a month (₹1,800 each side); others contribute on full basic, which lowers take-home but builds a larger retirement corpus. Choose the basis your employer uses.
Which tax regime does the calculator use?
The new regime by default, with the ₹75,000 standard deduction. Switch to the old regime if you will claim deductions; the calculator then applies the ₹50,000 standard deduction and counts your PF under section 80C. Use the income tax calculator for a full comparison with HRA, home loan and insurance deductions.
