In-Hand Salary Calculator - Free Online Tool

Who Uses In-Hand Salary Calculator

Use it when: comparing two job offers, negotiating a salary, checking what a hike changes each month, understanding your first payslip, or deciding which tax regime to declare to your employer.

In-Hand Salary Calculator Features

• CTC to monthly take-home — From the CTC on your offer letter to the amount that actually reaches your bank account each month
• PF on the new ₹25,000 ceiling — Uses the EPFO wage ceiling raised from ₹15,000 on 17 September 2026, or PF on your full basic
• New vs old regime — Income tax under both regimes for FY 2026-27, with marginal relief, HRA exemption and 80C
• State professional tax — Professional tax for your state, from the same rates as the Professional Tax Calculator

How to Use In-Hand Salary Calculator

CTC in, monthly take-home out, under both tax regimes

1. Enter your CTC — The annual cost-to-company figure from your offer letter
2. Match your structure — Adjust basic %, PF, gratuity and your state, or keep the common defaults
3. Read your take-home — Monthly in-hand pay under both tax regimes, and where every rupee of the CTC goes

Frequently Asked Questions

From CTC to in-hand: what comes out and why

CTC, or cost to company, is everything an employer spends on you in a year, not what you are paid. Part of it never reaches your bank account. The employer's PF contribution goes to your provident fund account, and gratuity, often included at about 4.81% of basic, is paid only when you leave after the qualifying period. Take those out of CTC and you have your gross salary: basic, HRA and special allowance.

Three deductions then come out of the gross. Your own PF contribution, usually 12% of basic or of basic up to the wage ceiling. Professional tax, charged by most states at up to ₹2,500 a year. And income tax, deducted every month by your employer as TDS based on the regime you choose. What is left is your in-hand salary.

With common assumptions, a ₹12 lakh CTC works out to about ₹91,400 a month, roughly 91% of CTC, because income tax is zero under the new regime at that level. At ₹20 lakh it is about ₹1.42 lakh a month, about 85% of CTC, because income tax starts to bite.

What changed in 2025 and 2026

Two changes affect salaries this year. The new labour codes came into force on 21 November 2025. Among other things, they count at least half of total pay as wages for benefits, which has pushed many employers to restructure salaries so basic pay is around 50% of the total. A higher basic means higher PF and gratuity, and slightly lower monthly take-home.

Then, from 17 September 2026, EPFO raised the statutory PF wage ceiling from ₹15,000 to ₹25,000 a month. Where PF is calculated on basic capped at the ceiling, the contribution on each side rises from ₹1,800 to up to ₹3,000 a month. That money is not lost, since it builds your retirement savings, but it does reduce what you take home each month.

Income tax for FY 2026-27 is unchanged from last year: Budget 2026 left the new regime slabs, the ₹75,000 standard deduction and the ₹12 lakh rebate as they were. The calculator also applies marginal relief, which stops your tax jumping sharply just above ₹12 lakh of taxable income.

Getting the most accurate figure

The defaults reflect a common salary structure, but yours may differ. Check your offer letter for the basic salary, whether PF is calculated on the full basic or capped, and whether gratuity is included in the CTC, then set the calculator to match. Choose your state for the right professional tax, and metro or non-metro for HRA.

If you are weighing the old regime, enter the rent you pay, your 80C investments besides PF, and other deductions such as health insurance or home loan interest. Your PF already counts toward the ₹1.5 lakh 80C limit. The calculator then shows which regime leaves more each month.

Remember that variable pay, bonuses, employer NPS and perks are not included, and income above ₹50 lakh also attracts surcharge, which is not modelled here. For the exact figure, your employer's payroll team or payslip is the final word; this gives you a reliable estimate before you get there.