Salary Take-Home Calculator
Break down your Cost to Company (CTC) into in-hand salary, PF contributions, and taxes. Customize each component explicitly for pixel-perfect estimates.
Quick Auto-Fill
Earnings
Components that make up your Gross Salary
Deductions
Employer
Part of CTC
Estimated Take-Home
Actual Total CTC
₹11,78,400
Monthly In-Hand
₹89,035
After tax & PF deductions
Yearly In-Hand
₹10,68,414
Optimal New Regime applied
Component Summary (Annual)
Calculations assume no tax proofs are submitted for HRA/LTA (standard baseline projection). To optimize taxes with declarations (like rent), use our full Income Tax Calculator.
Understanding Your Salary Breakdown
Decoding your payslip and offer letter can be confusing. Here is exactly what each component means and how it affects your take-home pay and taxes.
Cost to Company (CTC)
CTC is the total amount an employer spends on you in a year. It includes your gross salary, plus the employer's contribution to your Provident Fund (PF) and Gratuity. You never actually take home your full CTC.
Basic Salary
The core of your salary, typically 40% to 50% of your CTC. It is fully taxable. Most other components like PF, HRA, and Gratuity are calculated as a percentage of your Basic Salary.
House Rent Allowance (HRA)
An allowance to help pay for rented accommodation. Under the Old Tax Regime, you can claim tax exemptions on HRA by providing valid rent receipts. Under the New Regime, it is fully taxable.
Provident Fund (EPF)
A retirement savings scheme. Both you and your employer contribute 12% of your Basic Salary. Your contribution is deducted from your gross pay, while your employer's is usually deducted from your CTC.
Special Allowance
The balancing figure in your salary structure. Whatever is left of your CTC after allocating Basic, HRA, and PF is dumped into Special Allowance. It is completely taxable.
Professional Tax (PT)
A small state-level tax levied on salaried employees, typically around ₹200 per month (₹2,400 annually). It is deducted directly from your gross salary.
Want to maximize your Take-Home Salary?
By declaring investments under Section 80C, health insurance under 80D, and submitting rent receipts, you can significantly reduce your tax burden and increase your monthly in-hand pay under the Old Regime.
Frequently Asked Questions
Why is my In-Hand salary so much lower than my CTC?
Your CTC includes the employer's contribution to your PF and gratuity, which are never paid out to you directly. Additionally, your gross salary is subjected to Employee PF deductions, Professional Tax, and Income Tax (TDS), leaving your final in-hand pay significantly lower.
Is the New Tax Regime or Old Tax Regime better for my salary?
For most salaried individuals earning under ₹15 Lakhs without heavy home loan interest or large 80C investments, the New Tax Regime often results in a higher take-home salary. However, if you claim HRA, LTA, and Section 80C, the Old Regime might save you more. Our calculator automatically runs both and applies the optimal one.
Can I change my Basic Salary percentage?
Typically, Basic Salary is fixed by your employer's HR policies (usually 40% or 50% of CTC) to comply with labor laws. However, when negotiating an offer, you can sometimes request a restructuring if you want to optimize your PF contributions or HRA limits.