How to calculate your in-hand salary
- Enter your annual CTC and the share of it that is basic salary.
- Add any variable pay or bonus included in the CTC.
- Choose your tax regime and how your employer calculates PF and gratuity.
- Read your monthly in-hand salary and where the rest of your CTC goes.
- For the old regime, add rent and investments to include HRA and 80C.
CTC to in-hand salary formula
| Step | Calculation |
|---|---|
| Gross salary | CTC − employer PF − gratuity |
| In-hand salary | Gross salary − your PF − professional tax − income tax |
| Monthly in-hand | In-hand salary ÷ 12 (bonus paid separately) |
Example: ₹12 lakh CTC
With basic at 50% of CTC, PF on the ₹15,000 ceiling, gratuity in the CTC and the new regime:
- Basic salary: ₹6,00,000 a year
- Employer PF: ₹21,600 · Gratuity: ₹28,860
- Gross salary: ₹11,49,540
- Your PF: ₹21,600 · Professional tax: ₹2,500
- Income tax: ₹0 (covered by the ₹12 lakh rebate)
- In-hand salary: ₹93,787 a month
In-hand salary for common CTCs
New regime, basic at 50% of CTC, PF on ₹15,000, gratuity included, ₹2,500 professional tax, no bonus:
| CTC | Monthly in-hand | Monthly tax | Monthly PF |
|---|---|---|---|
| ₹6 L | ₹44,989 | ₹0 | ₹1,800 |
| ₹10 L | ₹77,521 | ₹0 | ₹1,800 |
| ₹12 L | ₹93,787 | ₹0 | ₹1,800 |
| ₹15 L | ₹1,10,810 | ₹7,375 | ₹1,800 |
| ₹20 L | ₹1,44,025 | ₹14,825 | ₹1,800 |
| ₹30 L | ₹2,02,967 | ₹37,213 | ₹1,800 |
| ₹50 L | ₹3,14,876 | ₹87,962 | ₹1,800 |
In-hand salary by CTC
- ₹3 lakh CTC
- ₹4 lakh CTC
- ₹5 lakh CTC
- ₹6 lakh CTC
- ₹7 lakh CTC
- ₹8 lakh CTC
- ₹9 lakh CTC
- ₹10 lakh CTC
- ₹11 lakh CTC
- ₹12 lakh CTC
- ₹13 lakh CTC
- ₹14 lakh CTC
- ₹15 lakh CTC
- ₹16 lakh CTC
- ₹17 lakh CTC
- ₹18 lakh CTC
- ₹19 lakh CTC
- ₹20 lakh CTC
- ₹22 lakh CTC
- ₹24 lakh CTC
- ₹25 lakh CTC
- ₹28 lakh CTC
- ₹30 lakh CTC
- ₹35 lakh CTC
- ₹40 lakh CTC
- ₹45 lakh CTC
- ₹50 lakh CTC
- ₹60 lakh CTC
- ₹75 lakh CTC
- ₹1 crore CTC
Ways to take home more
- Ask for employer NPS contributions; they are tax-free in both regimes up to a limit.
- In the old regime, claim HRA, 80C and health insurance.
- Compare regimes every year on the income tax calculator.
- Where your employer allows it, PF on the ₹15,000 ceiling raises in-hand pay but lowers retirement savings.
Frequently asked questions
How do I calculate in-hand salary from CTC?
Start with your CTC and remove the employer's PF contribution and gratuity to get gross salary. Then subtract your own PF contribution, professional tax and income tax. What remains, divided by 12, is your monthly in-hand salary.
What is the difference between CTC, gross and net salary?
CTC is everything your employer spends on you, including employer PF, gratuity and bonuses. Gross salary is CTC minus employer PF and gratuity. Net or in-hand salary is gross salary minus your PF, professional tax and income tax.
How much PF is deducted from salary?
Employees contribute 12% of basic salary (plus DA) to the EPF, and the employer adds another 12%. Many employers calculate PF on the statutory wage ceiling of ₹15,000 a month, which caps each side at ₹1,800 a month; others use the full basic.
What is professional tax?
A state tax on employment, deducted by your employer. It is at most ₹2,500 a year and varies by state; some states, such as Delhi and Haryana, do not levy it. It is deductible only in the old tax regime.
Is gratuity part of my monthly salary?
No. Gratuity is shown in many CTCs at about 4.81% of basic, but it is paid only when you leave after at least five years of continuous service. That is why it is excluded from in-hand salary.
How much salary is tax-free in the new regime?
For FY 2026-27, a salaried person with no other income pays no tax up to ₹12.75 lakh of taxable salary: the ₹75,000 standard deduction plus the rebate covering taxable income up to ₹12 lakh.
Why is my actual in-hand slightly different?
Employers differ in how they split basic, HRA and allowances, whether PF is capped, which benefits such as meal cards or insurance they include, and how they spread tax over the year. Use your payslip figures for the closest match.