Career & HR
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CTC to In-Hand Salary Calculator
Break a CTC offer down to real monthly in-hand pay. Accurate, instant and free — for India.
What these mean:
What these mean:
What these mean:
New regime: ₹85,395/mo (₹10,24,740/yr) on CTC ₹12,00,000. Gross ₹10,99,140, EPF ₹72,000, PT ₹2,400, income tax ₹0. In-hand is 85.4% of CTC.
CTC components
Deductions from gross
Employer EPF (12% of basic) and gratuity (4.81% of basic) are part of CTC but never reach your bank account. EPF ceiling: ₹15,000/mo basis if “Capped” selected.
What goes into a CTC package?
is the total annual spend your employer incurs on you. It includes your in-hand components (basic, HRA, special allowance) as well as employer-side contributions that never reach your bank — employer and provisioning. Understanding this split is the first step to knowing what you actually take home.
CTC decomposition
Basic / HRA / allowances + employer costs
Typical structure: basic = 40–50% of CTC; HRA = 40% (non-metro) / 50% (metro) of basic; employer EPF = 12% of basic; gratuity = 4.81% of basic. Special allowance fills the remainder.
Gross salary
CTC minus employer-side costs
Example: ₹12L CTC with 50% basic (₹6L) → employer EPF ₹72,000 (12% × ₹6L) + gratuity ₹28,860 (4.81% × ₹6L) = gross ₹10,99,140.
From gross salary to in-hand
is gross minus your share of EPF, professional tax, and income-tax TDS. Three deductions, applied in sequence.
Employee EPF
12% of basic (₹15,000/mo ceiling optional)
Annual ceiling basis: ₹1,800/mo × 12 = ₹21,600/yr. On ₹12L CTC with 50% basic (₹6L/yr): EPF = ₹72,000 (actual basis).
In-hand formula
gross → EPF → PT → tax
Example: gross ₹10,99,140 − EPF ₹72,000 − PT ₹2,400 − income tax ₹0 (§87A) = in-hand ₹10,24,740 ≈ ₹85,395/mo.
New regime vs old regime
India offers two income-tax regimes. The default new regime has lower slab rates but removes most exemptions. The old regime lets you claim , 80C, 80D, and more — but at higher slab rates.
New regime (default)
Lower slabs + ₹75,000 std deduction + §87A
₹75,000 standard deduction before slabs. → zero tax up to ₹12,00,000 taxable. 4% on top.
Old regime + HRA exemption
Higher slabs, claim HRA / 80C / 80D
Metro (Mumbai/Delhi/Kolkata/Chennai) = 50%; non-metro = 40%. Old regime slabs: 5% (₹2.5L–5L), 20% (₹5L–10L), 30% (10L+). Claim 80C (₹1.5L), 80D (health ins.), NPS to reduce taxable income further.
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Frequently asked questions
CTC (Cost to Company) is everything your employer spends on you — basic, HRA, allowances, plus their EPF and gratuity contributions. Gross salary is CTC minus those employer contributions. In-hand (take-home) is gross minus your own EPF, professional tax, and income tax. In-hand is typically 80-90% of CTC at lower incomes, falling as income tax rises.
Subtract the employer EPF (12% of basic) and gratuity (4.81% of basic) from CTC to get gross salary; then subtract your own EPF (12% of basic), professional tax (up to ₹2,500/yr), and income-tax TDS. The calculator shows every line.
Because CTC includes money that never reaches your bank account: the employer's EPF and gratuity provisioning, plus the deductions taken from your salary (your EPF share, professional tax, and income tax). On a ₹12,00,000 CTC the in-hand is roughly ₹10,24,740 — about 85%.
For most salaried people without large 80C/HRA/home-loan deductions, yes — the new regime's lower slab rates and the §87A rebate (zero tax up to ₹12,00,000 taxable) usually win. The old regime can be better if you claim significant HRA or 80C/80D. The calculator compares both.
No. Professional tax is state-levied and capped at ₹2,500 per year. Several states — Delhi, UP, Haryana, Rajasthan, Punjab — charge none. The calculator lets you pick your state.
Method, assumptions & references
Methodology: CTC decomposed as basic (user-configurable %) + HRA (40%/50% of basic) + employer EPF (12% of basic) + gratuity (4.81% of basic) + special allowance (residual). Gross = CTC − employer EPF − gratuity. In-hand = gross − employee EPF (12% of basic, optional ₹15k/mo ceiling) − professional tax − income tax. New regime: ₹75,000 standard deduction + §87A rebate + 4% cess. Old regime: HRA lowest-of-three exemption + 80C/80D deductions. This calculator does not model NPS (80CCD(2)) employer contributions, leave encashment, or LTA.
Estimates based on standard assumptions
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