What is a salary calculator?
A salary calculator (also called an in-hand or CTC to take-home calculator) estimates the money that reaches your bank after the employer's cost is stripped of statutory cuts. In India that usually means employer provident fund, employee provident fund, professional tax, optional extras such as insurance, and income tax.
CTC is not monthly cash. Two people with the same ₹15 LPA offer can take home different amounts if one has a 10% bonus inside CTC, uncapped PF, or a different tax regime. This free tool is built for that Indian payslip, including FY 2026–27 new tax regime slabs — something many CTC-only calculators skip.
How this in-hand salary calculator works
- Start with annual CTC. If bonus is included, we separate the recurring package from the bonus so monthly take-home is not inflated.
- Remove employer PF from the cash you can receive. It is a company cost inside CTC, not a credit to your account.
- Subtract employee PF, professional tax, and any extra monthly line you add (insurance, meals, recovery).
- Estimate income tax on the remaining package after the salaried standard deduction. New regime uses the Budget 2025 slabs that continue for FY 2026–27, plus Section 87A rebate and 4% cess. Old regime can include 80C and 80D.
In short: take-home ≈ CTC − employer PF − employee PF − professional tax − extras − income tax, with bonus handled so it does not pretend to be monthly salary.
CTC to in-hand examples (India, 2026)
These snapshots use ₹1,800 employee PF, ₹1,800 employer PF, ₹200 professional tax, no bonus, and the new tax regime. They are planning figures — plug your own numbers above for a tighter estimate.
| Annual CTC | Monthly in-hand | Annual in-hand | Note |
|---|---|---|---|
| ₹10 LPA | ≈ ₹79,500 | ≈ ₹9.54 L | Tax usually nil after 87A |
| ₹12 LPA | ≈ ₹96,200 | ≈ ₹11.54 L | Still typically nil tax |
| ₹15 LPA | ≈ ₹1.13 L | ≈ ₹13.61 L | New-regime tax starts here |
| ₹20 LPA | ≈ ₹1.47 L | ≈ ₹17.66 L | Tax is the largest cut |
Components of an Indian salary structure
Offer letters bundle several lines into one CTC number. Knowing what each line does is how you compare two jobs fairly — and how you explain a hike that looks large on paper but small in-hand.
Basic salary
The fixed core of the package, usually 40–50% of recurring CTC. PF is calculated on basic. A higher basic raises PF and can lower monthly cash even when CTC is unchanged.
House rent allowance (HRA)
Paid to employees who rent. Part of HRA can be exempt under Section 10(13A) if you pay rent and claim it. If you live in your own house, HRA is generally taxable. This tool does not auto-exempt HRA — use your rent proofs with a CA if you are on the old regime.
Leave travel allowance (LTA)
A travel allowance that can be claimed with proof. It is not the same as monthly take-home. Treat it as a claimable allowance, not guaranteed cash every month.
Special allowance
The balancing figure that makes CTC add up. It is fully taxable and is often the largest cash line after basic and HRA.
Bonus
A performance or statutory bonus. If it is inside CTC, monthly in-hand should be modelled on CTC minus that bonus. If it is over and above CTC, add it only to the annual picture.
Provident fund (EPF)
Employee and employer typically each contribute 12% of basic. Many companies cap the wage at ₹15,000, so both sides show ₹1,800. Employer PF is a CTC cost; employee PF is a payslip deduction. A slice of the employer share may go to the pension scheme.
Professional tax
A state employment tax. The annual cap is ₹2,500. Enter the monthly amount from your payslip rather than guessing a national average.
Income tax and cess
The piece most simple CTC calculators skip. Under the new regime, salaried people get a ₹75,000 standard deduction. Section 87A can wipe tax if taxable income is up to ₹12 lakh. A 4% health and education cess applies on the tax that remains.
New tax regime slabs for FY 2026–27
The new regime is the default. Slabs below are applied after the ₹75,000 standard deduction. If taxable income is up to ₹12 lakh, Section 87A can bring tax to zero. Just above that line, marginal relief stops a small raise from costing more than it adds.
| Taxable income | Rate |
|---|---|
| ₹0 – ₹4 lakh | Nil |
| ₹4 – ₹8 lakh | 5% |
| ₹8 – ₹12 lakh | 10% |
| ₹12 – ₹16 lakh | 15% |
| ₹16 – ₹20 lakh | 20% |
| ₹20 – ₹24 lakh | 25% |
| Above ₹24 lakh | 30% |
Worked example: ₹12 LPA CTC
Suppose annual CTC is ₹12,00,000, bonus is nil, employee PF and employer PF are ₹1,800 each, and professional tax is ₹200 a month.
- Recurring monthly CTC = ₹1,00,000
- Employer PF + employee PF + professional tax = ₹3,800
- Taxable income after employer PF and the ₹75,000 standard deduction stays under the 87A limit, so income tax is ₹0
- Monthly take-home ≈ ₹96,200 · annual take-home ≈ ₹11,54,400
Add a 10% bonus inside CTC and the monthly figure drops because that ₹1.2 lakh is not paid every month, even though it is still part of the yearly package.
Why use this salary calculator
- Built for Indian CTC — employer PF, employee PF, and professional tax are separate inputs, the way a payslip is written.
- Includes income tax, not only PF. That is the gap most people notice when they compare a forum post to their first salary credit.
- Live results, so you can test a hike, a bonus percentage, or a switch to the old regime in seconds.
- After you know in-hand, check whether the CTC itself is on market with a percentile report, or read current salary trends.
This is a planning estimate. Surcharge, HRA exemption claims, NPS, and company-specific recoveries can move the final credit. Confirm with your payroll team or a chartered accountant before you file.
Salary calculator FAQs
What is an in-hand salary calculator?
An in-hand salary calculator converts annual CTC into the cash you actually receive each month. It subtracts employer PF (part of CTC, not paid to you), employee PF, professional tax, optional extras, and income tax under the new or old regime.
How much in-hand salary do I get from 10 LPA CTC in India?
On a ₹10 Lakh CTC with statutory PF of ₹1,800 each for employee and employer, ₹200 professional tax, and no bonus, monthly take-home is typically around ₹79,500 under the FY 2026–27 new regime because income tax is fully rebated below ₹12 lakh of taxable income. Your offer letter may differ if PF is uncapped or bonus sits inside CTC.
How much in-hand salary do I get from 15 LPA CTC?
A ₹15 Lakh CTC with standard PF and professional tax usually lands near ₹1.13 lakh a month after new-regime tax and cess. Use the calculator above and add your exact PF, bonus percentage, and extras to match your payslip.
How much in-hand salary do I get from 20 LPA CTC?
A ₹20 Lakh CTC with standard PF and professional tax is often around ₹1.47 lakh a month under the FY 2026–27 new tax regime. Higher basic (uncapped PF) or a large bonus inside CTC will pull that number down.
Is bonus included in CTC?
Often yes. If the bonus is part of CTC, turn the toggle on and enter the percentage or rupee amount. Monthly take-home then uses the recurring CTC after removing that bonus. Annual take-home still counts the bonus when it is paid.
What is the difference between employee PF and employer PF?
Both are usually 12% of basic, often capped on a ₹15,000 wage ceiling (₹1,800 a month). Employer PF is the company's share and sits inside CTC but never reaches your bank. Employee PF is cut from the salary you would otherwise take home. Both reduce in-hand.
Does this salary calculator include income tax?
Yes. Many CTC calculators only subtract PF and professional tax. This one also applies FY 2026–27 new-regime slabs, the ₹75,000 standard deduction, the Section 87A rebate up to ₹12 lakh of taxable income, 4% cess, and an old-regime option with 80C and 80D.
Is professional tax the same in every state?
No. It is a state levy with a legal ceiling of ₹2,500 in a financial year. Maharashtra commonly uses ₹200 a month; Karnataka is often ₹200–₹208. Enter the line from your own payslip.