In-Hand Salary Calculator Tax Year 2026–27
Enter your CTC and find out what actually lands in your bank account each month, after PF, Professional Tax and income tax. Every assumption is visible, and you can change all of them.
Your estimated salary
Estimated monthly in-hand salary
₹1,10,810- Annual in-hand
- ₹13,29,722
- Of CTC
- 88.6%
- Monthly gross
- ₹1,20,194
- Take-home pay ₹13,29,722 · 88.6%
- Income tax and cess ₹88,503 · 5.9%
- Your PF and VPF ₹21,600 · 1.4%
- Professional Tax ₹2,500 · 0.2%
- Employer-side costs ₹57,675 · 3.8%
| Component | Annual | Monthly |
|---|---|---|
| Annual CTC | ₹15,00,000 | ₹1,25,000 |
| Employer's PF contributionGoes to your EPF and pension account, not your bank account. ₹15,000 a year of it funds the pension scheme rather than your PF balance. | −₹21,600 | −₹1,800 |
| Gratuity provisionAn accounting entry. You only receive it if you stay long enough to qualify. | −₹36,075 | −₹3,006 |
| Gross salaryWhat your offer letter’s salary table adds up to. | ₹14,42,325 | ₹1,20,194 |
| Your EPF contributionDeducted from salary, but it is still your money. | −₹21,600 | −₹1,800 |
| Professional TaxRs 200 a month, Rs 300 in February. Salaries up to Rs 25,000 a month pay nothing, after the threshold was raised from Rs 15,000 in April 2025. | −₹2,500 | −₹208 |
| Income tax and cessTaxable income ₹13,67,325 under the new regime. | −₹88,503 | −₹7,375 |
| Estimated take-home | ₹13,29,722 | ₹1,10,810 |
Show the tax calculation
What we subtracted before taxing
- Standard deduction, ₹75,000 Automatic for salaried employees.
Entered but not allowed under this regime
- Professional Tax paid: ₹2,500. The new regime does not allow the section 16(iii) deduction, so PT still leaves your bank account but does not reduce taxable income.
Taxable income: ₹13,67,325
| Slab | Income in slab | Tax |
|---|---|---|
| ₹0 to ₹4,00,000 at 0% | ₹4,00,000 | ₹0 |
| ₹4,00,000 to ₹8,00,000 at 5% | ₹4,00,000 | ₹20,000 |
| ₹8,00,000 to ₹12,00,000 at 10% | ₹4,00,000 | ₹40,000 |
| ₹12,00,000 to ₹16,00,000 at 15% | ₹1,67,325 | ₹25,099 |
| Tax before rebate | ₹85,099 | |
| Add: Health & Education Cess at 4% | ₹3,404 | |
| Total income tax | ₹88,503 |
Show the salary structure used
| Component | Annual | Monthly |
|---|---|---|
| Basic salary | ₹7,50,000 | ₹62,500 |
| House Rent Allowance | ₹3,00,000 | ₹25,000 |
| Special allowance and other payThe balancing figure, whatever is left of gross after Basic, DA and HRA. | ₹3,92,325 | ₹32,694 |
| Gross salary | ₹14,42,325 | ₹1,20,194 |
This estimate assumes
- Basic salary is 50% of CTC, ₹7,50,000 a year, ₹62,500 a month.
- No Dearness Allowance, which is normal in the private sector.
- Your PF is capped at the ₹15,000 statutory wage ceiling.
- The employer's PF contribution is counted inside your CTC.
- A gratuity provision of 4.8% of Basic + DA is included in CTC.
- Professional Tax: Rs 200 a month, Rs 300 in February. Salaries up to Rs 25,000 a month pay nothing, after the threshold was raised from Rs 15,000 in April 2025.
- No variable pay or annual bonus.
- Tax is calculated under the new regime for Tax Year 2026–27.
Change any of these in Advanced options. They are calculator assumptions, not rules your employer has to follow.
Estimates only. Your payslip is the authority. Disclaimer
New regime or old regime?
Same inputs, both regimes, side by side. Your employer deducts TDS on whichever one you declared to them, so this is a monthly difference rather than a filing-time one.
New regime
₹1,10,810
a month · ₹88,503 annual tax
Old regime
₹98,862
a month · ₹2,31,886 annual tax
Based on the information entered, the estimated tax is lower under the new regime, leaving about ₹11,949 more in hand each month.
This compares only the figures you entered. The old regime rewards rent, 80C investments, health insurance and home loan interest. If you have those and have not entered them, the comparison will understate it. Your employer also needs to know which regime you have chosen before they calculate TDS.
In-hand salary by package
Each of these is a worked example rather than a rule of thumb, the same engine, run with a stated set of assumptions you can adjust.
Other calculators
EPF Calculator
Employee, employer and pension contributions, plus a corpus projection.
VPF Calculator
See what voluntary PF costs you each month and builds over time.
HRA Calculator
Work out how much of your HRA is actually exempt.
Gratuity Calculator
The CTC line item and the amount you would actually receive.
Salary Hike Calculator
How much of a raise survives tax and reaches your bank account.
Reverse Salary Calculator
Start from the take-home you want and work back to a CTC.
How salary calculation works in India
What "in-hand salary" actually means
In-hand salary is the money that reaches your bank account on payday, after every deduction. It is the only number on your offer letter that you can actually spend, and it is usually the one nobody quotes you.
Recruiters talk in CTC. Payroll pays you net. The distance between the two is where most of the confusion in Indian compensation lives.
Why CTC is higher than your take-home pay
CTC stands for Cost to Company: everything your employer spends on employing you over a year. That includes money that never passes through your hands.
The employer's 12% PF contribution goes into your EPF and pension accounts. A gratuity provision, commonly 4.81% of Basic, is money set aside against a payment you only receive if you stay five years. Group insurance, meal cards and equipment allowances get counted too. On a typical structure, that is between 4% and 8% of CTC gone before you have paid a rupee of tax.
What gets subtracted, in order
- Employer-side components come out of CTC first. What remains is your gross salary, the figure your offer letter's salary table adds up to.
- Your own PF is 12% of Basic + DA. Many employers cap this at the ₹15,000 statutory wage, which makes it ₹1,800 a month; others charge it on your whole Basic, which on a ₹60,000 Basic is ₹7,200 a month.
- Professional Tax is a state levy, capped at ₹2,500 a year, and not charged everywhere.
- Income tax is deducted monthly as TDS, spread across twelve payslips.
What survives all four is your in-hand salary.
How PF changes your monthly salary
PF is the deduction people resent most and understand least. It is not a tax. Every rupee goes into your own EPF account, earns interest at the rate EPFO declares each year, 8.25% for FY 2025–26, and comes back to you.
What it does do is reduce this month's cash. If your employer charges PF on your full Basic rather than the statutory ceiling, you are forcibly saving several thousand rupees a month. That is a good thing for your retirement and an inconvenient thing for your rent, which is why the calculator makes it a switch rather than an assumption.
Why your actual payslip can still differ
A calculator can only work from the structure you give it. Real payslips diverge for ordinary reasons. Your employer's Basic percentage is not the one assumed here. TDS is front-loaded or back-loaded across the year. You joined mid-year, or have a notice-period recovery, or your declared investments have not been processed yet.
Treat this as a close estimate to check an offer against, and your payslip as the authority.
How this calculator is maintained
Tax rules are versioned rather than hard-coded. The slabs, rebate, surcharge bands, PF ceiling and state Professional Tax rules for Tax Year 2026–27 live in one data file, and both this page and every salary example page read from it. When the rules change, one file changes and the whole site follows.
The methodology page sets out exactly what is calculated and what is left out. The sources page lists where each rule comes from.
Common questions
Why is my in-hand salary so much lower than my CTC divided by 12?
Because CTC is what you cost your employer, not what they pay you. Before anything reaches your salary account, three things come out of that number: the employer's own PF contribution, a gratuity provision they set aside on paper, and any insurance or benefits they bundle in. None of that is cash in your hand.
What is left is your gross salary. Then your own PF, Professional Tax and income tax come out of that. On a ₹15 lakh CTC the gap between ₹1,25,000 a month and what actually arrives is usually somewhere around ₹15,000.
Is the employer’s PF contribution deducted from my salary?
No, but it is counted inside your CTC, which is why it feels like a deduction. Your employer pays 12% on top of your Basic into your EPF and pension account. You pay your own 12% separately, and that one really is deducted from your gross salary.
So a ₹15 lakh CTC with employer PF included is genuinely a smaller offer than a ₹15 lakh CTC without it. The calculator lets you switch that assumption to match your offer letter.
Does the tax regime change my monthly in-hand salary?
Yes, directly. Your employer deducts TDS every month based on whichever regime you declared to them, so choosing the wrong one shows up in your payslip rather than at filing time.
The new regime is the default. It has wider slabs and a ₹75,000 standard deduction but almost nothing else. The old regime taxes more heavily but lets you claim HRA exemption, 80C, health insurance and home loan interest. Which one leaves more in hand depends entirely on how much of that you actually have. Enter your figures above and the calculator compares both.
Is Professional Tax charged in every state?
No, and it is one of the most common things calculators get wrong. Delhi, Haryana, Uttar Pradesh, Rajasthan, Uttarakhand, Himachal Pradesh, Goa and Chandigarh do not charge it at all. Odisha stopped charging it from 1 April 2026.
Where it does apply, the amount varies: Karnataka and Maharashtra work out to ₹2,500 a year, Telangana and Gujarat to ₹2,400, and West Bengal runs a graduated scale from ₹110 to ₹200 a month. It is capped at ₹2,500 a year nationally, so it will never be the reason your salary looks wrong.
Is my annual bonus part of my monthly in-hand salary?
No. Variable pay and performance bonuses are paid separately, usually once or twice a year, and usually only if targets are met. If your CTC includes ₹2 lakh of variable pay, that is ₹2 lakh which is not in your monthly payslip.
Enter it under Advanced options and the calculator carves it out of the monthly figure while keeping the tax on it, which is how payroll actually handles it.
Why does my employer’s calculation differ from this one?
Almost always because of the salary structure rather than the tax. Employers differ on how much of CTC is Basic, whether they cap PF at the ₹15,000 statutory wage or charge it on your full Basic, whether gratuity is a CTC line item, and what benefits they bundle in.
Those choices move the monthly figure by thousands. Open Advanced options, put in the numbers from your offer letter, and the estimate will land much closer.
Does this calculator send my salary anywhere?
No. The calculation runs in your browser, in this tab. There is no account, no login, no salary submission and no backend to send it to. We do not need to know your name, your employer or your city to divide a number.
The one exception is deliberate: if you press "Copy calculation link", your inputs are put into the URL so you can share the result. That link contains your figures, so treat it the way you would treat a screenshot of your payslip.
How we keep this calculator accurate
- Tax rules are the ones in force for Tax Year 2026–27, under the Income-tax Act, 2025 (in force from 1 April 2026).
- EPF and pension figures follow EPFO’s published contribution rules.
- Professional Tax is included only for states where we have a rule we trust, and named as missing where we do not.
- Every assumption behind the estimate is shown on screen and can be changed.
- The calculator runs entirely in your browser. Your salary is never sent anywhere.
Understand the terms
What is CTC?
What your employer counts, and what you never see.
What is LPA?
Lakhs per annum, and why dividing by 12 misleads.
What is in-hand salary?
The number that reaches your account.
CTC vs in-hand salary
Side by side, with the gap explained.
CTC vs gross salary
The employer-side components in between.
Gross vs net salary
What payroll subtracts before paying you.