Take-Home Salary Calculator
Work out your real monthly in-hand pay after income tax, PF and professional tax — new or old regime, updated for tax year 2026-27.
How to use this take-home salary calculator
- Enter your annual gross salary (CTC minus the employer's PF and gratuity).
- Pick your basic pay %, whether to deduct PF, and your tax regime.
- See your estimated monthly in-hand pay and the yearly deductions.
CTC vs gross vs in-hand salary
These three are not the same, and confusing them is the most common salary mistake:
| Term | What it means |
|---|---|
| CTC | Total cost to the company, including employer PF, gratuity and benefits |
| Gross | Your salary before your own deductions (roughly CTC minus employer contributions) |
| In-hand | What reaches your bank after tax, your PF and professional tax |
What gets deducted from your salary
- Income tax (TDS) — deducted by your employer under Section 392 (formerly 192), based on your slab and regime.
- Employee PF — usually 12% of basic pay.
- Professional tax — a small state levy, often around ₹200 a month.
Worked example
On a ₹12 lakh gross salary (new regime, 50% basic, PF on): income tax is ₹0 (the Section 156 (formerly 87A) rebate covers income up to ₹12 lakh), PF about ₹21,600 a year and professional tax ₹2,400 — giving roughly ₹98,000 a month in hand.
Frequently asked questions
How is take-home salary calculated?
Take-home pay is gross salary minus income tax deducted at source (TDS) under Section 392 (formerly 192), your own provident fund contribution (usually 12% of basic pay) and professional tax. This tool estimates each and shows your monthly in-hand figure.
What is the difference between CTC and in-hand salary?
CTC includes amounts you never receive as cash — the employer's PF contribution, gratuity provisioning and benefits. In-hand salary is what lands in your bank after tax and your own deductions, so it is always lower than CTC.
How do I calculate in-hand salary from CTC?
Start with gross (CTC minus the employer's contributions), then subtract income tax, your 12% PF and professional tax. This calculator does it for you — enter your gross and adjust the options.
Is professional tax the same in every state?
No. Professional tax is a state levy and varies; the Constitution caps it at ₹2,500 a year and some states (such as Delhi, UP, Haryana and Rajasthan) don't charge it. Pick your state in the calculator — the default is ₹2,400 a year, a common figure.
How much PF is deducted from salary?
Your own EPF contribution is usually 12% of basic pay. Many employers apply the ₹15,000-a-month wage ceiling, capping it at ₹1,800 a month. The employer contributes separately.
Which regime gives higher take-home?
Usually the new regime under Section 202 (formerly 115BAC), because of its lower rates and the Section 156 (formerly 87A) rebate up to ₹12 lakh — unless you have large deductions such as Section 123 (formerly 80C) or Section 126 (formerly 80D). Toggle the regime in the calculator to compare.
Why is my actual salary different from this estimate?
Your exact structure — HRA, special allowance, bonus, NPS, insurance — changes the numbers. This is a quick estimate for the common case, not a payslip.
Does this include employer PF and gratuity?
No. Those are part of CTC but not your take-home. Enter gross salary (CTC minus the employer's contributions) for the most accurate in-hand figure.
How it works: the Income-tax Act 2025 replaced the Income-tax Act 1961 from 1 April 2026. The slab rates, rebate, standard deduction (Section 19, formerly 16(ia)) and cess used here are unchanged; only provision numbers were renumbered. The EPF wage ceiling is still ₹15,000 a month. In the old regime the tool also deducts your own PF under Section 123 (formerly 80C, capped at ₹1.5 lakh) and professional tax; the new regime allows neither.