Salary Calculator
Calculate in-hand salary from CTC. Includes EPF, gratuity, HRA, bonus, and tax deductions for both old and new tax regimes.
Salary Details
Optional if basic salary exceeds ₹15,000
Allows 80C, HRA, etc.
Enter your CTC to calculate in-hand salary
Understanding CTC Components
What is CTC?
CTC (Cost to Company) is the total amount your employer spends on you annually, including salary, benefits, and statutory contributions. Your in-hand salary is typically 65-80% of CTC.
CTC Components
- Basic Salary: 40-50% of CTC (foundation for all calculations)
- HRA (House Rent Allowance): 40-50% of Basic (partially tax-exempt)
- Special Allowance: Remaining amount to reach Gross (fully taxable)
- Bonus / Variable Pay: Performance-based (5-30% of CTC)
- EPF (Employer): 12% of Basic (not in your account, but counted in CTC)
- Gratuity: 4.81% of Basic (paid on leaving after 5 years)
Deductions from Gross Salary
- EPF (Employee): 12% of Basic (locked till retirement/job change)
- Professional Tax: ₹200/month (₹2,400/year) in most states
- Income Tax (TDS): Based on tax regime and total income
EPF Calculation
- Employee Contribution: 12% of Basic (deducted from salary)
- Employer Contribution: 12% of Basic split as:
- 3.67% → EPF Account (retirement corpus)
- 8.33% → EPS (Employee Pension Scheme)
- Opt-Out: Allowed if Basic > ₹15,000 (uncommon, loses retirement benefit)
HRA Tax Exemption
- Least of: (a) Actual HRA received, (b) 50% of Basic (metros) / 40% (non-metros), (c) Rent paid - 10% of Basic
- Only if you're paying rent (owner-occupied = no exemption)
- Rent receipts needed if rent > ₹1L/year
Gratuity
- Paid on leaving the company after 5 years of service
- Formula: (Basic × Years of Service × 15) ÷ 26
- Max: ₹20 lakh (tax-free)
- Included in CTC but received only on exit
Old vs New Tax Regime
| Feature | Old Regime | New Regime |
|---|---|---|
| Deductions (80C, HRA) | ✓ Allowed | ✗ Not Allowed |
| Tax Rates | Higher | Lower |
| Standard Deduction | ₹50,000 | ₹50,000 |
| Best For | Tax planning | Simple filing |
Sample CTC Breakdown
CTC: ₹12,00,000/year
| Basic Salary (40%) | ₹4,80,000 |
| HRA (50% of Basic) | ₹2,40,000 |
| Special Allowance | ₹3,36,400 |
| Bonus (10%) | ₹1,20,000 |
| EPF Employer (3.67%) | ₹17,616 |
| Gratuity (4.81%) | ₹23,088 |
| Total CTC | ₹12,00,000 |
Deductions: EPF ₹57,600 + Tax ~₹1,20,000 + PT ₹2,400 = ~₹1,80,000
In-Hand: ~₹8,40,000/year (₹70,000/month) = 70% of CTC
Why In-Hand > CTC?
- EPF Employer + Gratuity: 8-10% (not liquid, retirement/exit benefit)
- EPF Employee: 12% of Basic (~5% of CTC)
- Income Tax: 10-30% depending on salary
- Professional Tax: ~₹2,400/year
- Total Difference: 20-35% of CTC
Tips to Maximize In-Hand
- Choose new tax regime if no investments (saves 5-10%)
- Claim HRA exemption (if paying rent)
- Maximize 80C deductions (EPF, PPF, ELSS, insurance)
- Submit investment declarations on time
- Keep rent receipts (if HRA claimed)
Salary Calculator for Indian users
The Salary Calculator helps you turn a financial question into a clear number before you apply for a product, invest money, file taxes or compare alternatives. Instead of relying on rough mental math, enter your actual values and review the result, cost, return or tax impact in a structured way.
This page is designed as a practical SEO and user landing page: the calculator comes first, followed by the formula, a worked example, comparison context, frequently asked questions and links to related MONEX MINT tools. That structure helps users finish the calculation and gives search engines enough context to understand the page beyond the widget.
For best results, run at least two scenarios. Use a conservative rate for planning, a realistic market or lender rate for comparison, and a stress case to see what happens if interest rates, returns, salary, taxes or inflation move against you.
How it's calculated
Taxable Amount = Gross Amount - Eligible Deductions Net Amount = Gross Amount - Tax - Other Deductions
- Gross Amount — Salary, income, HRA or benefit before deductions
- Eligible Deductions — Allowed exemptions and deductions based on Indian rules
- Net Amount — Final usable amount after tax or statutory deductions
Worked example for Salary Calculator
- Enter the main amount, such as loan amount, deposit, investment, income or transaction value.
- Add the rate, tenure, slab, contribution or withdrawal value used by the calculator.
- Review the calculated result and compare it with at least one alternate scenario.
- Use the related calculators below to test adjacent decisions before finalizing.
Result: The final result should be used as a decision-support estimate, then verified against the lender, fund house, tax rule, scheme document or official statement before action.
Salary Calculator planning checklist
| Step | What to check | Why it matters |
|---|---|---|
| Inputs | Use realistic values, not rounded guesses | Small input changes can materially alter the final result |
| Rate | Confirm whether the rate is annual, monthly, flat, reducing or scheme-specific | Wrong rate type is the most common source of bad estimates |
| Tenure | Compare short and long periods | Longer horizons can reduce cash flow but increase total cost or uncertainty |
| Tax/fees | Include taxes, fees, charges or inflation where relevant | The net result matters more than the headline number |
| Next action | Save the result and compare with related calculators | A single number is useful; a comparison is decision-ready |
Tips and best practices
- Use current official rates or lender quotes where possible.
- Compare best case, base case and conservative case before acting.
- Do not judge a financial product only by EMI, maturity value or tax saved; look at total cost and risk.
- Recalculate whenever rates, salary, tax slabs or scheme rules change.
- Use the sitemap and calculator hub to move between related tools quickly.
Frequently asked questions
What is the Salary Calculator?
How accurate is the Salary Calculator?
Can I use this calculator for Indian financial planning?
What details should I enter?
Does this replace professional financial advice?
Which related calculators should I use next?
Related calculators
MONEX MINT calculators are educational planning tools. Results are estimates and may differ from final figures issued by banks, tax departments, AMCs, employers, registrars or government scheme providers.