In-Hand Salary Calculator

CTC includes money that never reaches your bank account. Your employer’s provident fund contribution, gratuity accrual, employer NPS and any insurance premium are all counted inside CTC but are never paid to you as cash. Your own PF, professional tax, ESI and TDS then come out of what is left. The gap between CTC and cash is usually 20 to 30 per cent.

The new regime is the default and wins for most people because its slabs are wider and it gives a ₹75,000 standard deduction with no paperwork. The old regime only wins if you have substantial deductions — typically rent paid with HRA, a full ₹1.5 lakh under Section 80C, health insurance under 80D and home loan interest under Section 24(b). This calculator computes both on your actual numbers and tells you how much extra deduction the old regime would need to overtake the new one.

Under the new regime, taxable income up to ₹12,00,000 attracts a Section 87A rebate of ₹60,000, which reduces the tax to nil. With the ₹75,000 standard deduction that means a gross salary of about ₹12.75 lakh pays no tax. Just above ₹12 lakh, marginal relief applies so your tax can never exceed the income by which you crossed the threshold — at ₹12,10,000 of taxable income the tax is about ₹10,400, not the ₹63,960 that naive slab arithmetic produces.

HRA exemption under Section 10(13A) is the least of three figures: the HRA you actually received, the rent you paid minus 10 per cent of your basic salary, and 50 per cent of basic if you live in Delhi, Mumbai, Kolkata or Chennai (40 per cent everywhere else). If you pay no rent you get no exemption at all, whatever your HRA component says. Note that Bengaluru, Hyderabad, Pune and Gurugram are non-metro for this rule regardless of how expensive they are.

Your new employer must withhold tax on your total salary from both employers for the financial year, but only has the remaining months to collect it. If you did not declare your previous employer’s salary, your new employer applies the basic exemption and deductions a second time and under-deducts, leaving you with a large bill at filing. Enter your previous employer’s taxable salary and the TDS already deducted to see the real figure.

Enter the amounts from your salary slip into the payslip checker and this calculator will compare each line against what the rules produce for your salary structure. Differences usually come from a declaration your employer has not processed, a different assumption about your rent, or a tax regime your employer has on file that is not the one you intended.

The Code on Wages came into force on 21 November 2025. It says that where allowances such as HRA and conveyance exceed half of your total package, the excess is added back to “wages” for statutory purposes. Provident fund and gratuity are then computed on that higher base. Your gross pay does not change, but more of it is diverted into PF and gratuity, so take-home falls slightly while your retirement corpus grows.

Professional tax is a state levy, capped at ₹2,500 a year by Article 276(2) of the Constitution. States differ widely: Karnataka charges ₹200 a month above ₹25,000 salary, Maharashtra exempts women below ₹25,000 a month but men only below ₹7,500, Tamil Nadu and Kerala assess half-yearly, and Delhi, Haryana, Uttar Pradesh and Rajasthan do not levy it at all.

A vest is taxed as a salary perquisite in the month it happens, but it pays you shares, not cash. Your employer must deduct the tax from your salary, so your take-home falls even though your pay has not changed. Many employers offer sell-to-cover, which liquidates part of the vest to fund the tax instead.

Usually 6 to 8 per cent in hand rather than 10. Part of the increase goes into your own PF, part into the employer’s PF and gratuity accrual which stay inside CTC, and the remainder is taxed at your marginal rate. This calculator shows what the next ₹1,00,000 of CTC actually adds to your bank account.