India Salary Calculator

Your CTC (cost to company) is everything your employer spends on you in a year, not what you get paid. Part of it never reaches your bank account: your employer’s PF, gratuity set aside for when you leave, insurance and, if you have one, a variable bonus paid once a year. What is left is your gross salary, split into basic, HRA and a special allowance. From that your own PF, professional tax and income tax are taken off each month. The rest is your in-hand (take-home) pay.

The formula

basic = CTC × basic %
employer PF = 12% × basic (or 12% × ₹15,000 a month)
gratuity = 4.81% × basic
gross salary = CTC − variable pay − employer PF − gratuity − employer NPS − employer ESI − insurance
HRA = basic × HRA %; special allowance = gross − basic − HRA
in hand a year = gross + variable pay − your PF − professional tax − ESI − other deductions − income tax
in hand a month = (gross − your PF − professional tax − ESI − other deductions − tax on the fixed pay) ÷ 12

Income tax is worked out with the site’s India income tax calculator rules for tax year 2026-27: in the new regime, taxable income = gross + variable pay − ₹75,000 standard deduction (employer NPS is added and taken off again under 80CCD(2)); in the old regime, HRA exemption, ₹50,000 standard deduction, professional tax, 80C (your PF counts) and other deductions come off first.

Worked example

A CTC of ₹15,00,000 a year, basic 50%, HRA 50% of basic, PF on the full basic, gratuity in the CTC, no variable pay, working in Karnataka.

Basic = ₹7,50,000 (₹62,500 a month). Employer PF = 12% × ₹7,50,000 = ₹90,000. Gratuity = 4.81% × ₹7,50,000 = ₹36,075. Gross salary = ₹15,00,000 − ₹90,000 − ₹36,075 = ₹13,73,925: basic ₹7,50,000, HRA ₹3,75,000 and special allowance ₹2,48,925.

Your PF is also ₹90,000 (₹7,500 a month) and Karnataka professional tax is ₹2,500 a year.

New regime: taxable income = ₹13,73,925 − ₹75,000 = ₹12,98,925. Tax = 5% of ₹4 lakh (₹20,000) + 10% of ₹4 lakh (₹40,000) + 15% of ₹98,925 (₹14,838.75) = ₹74,838.75, plus 4% cess of ₹2,993.55 = ₹77,832 a year (₹6,486 a month).

Old regime: ₹13,73,925 − ₹50,000 − ₹2,500 − ₹90,000 (PF under 80C) = ₹12,31,425 taxable. Tax = ₹12,500 + ₹1,00,000 + 30% of ₹2,31,425 (₹69,427.50) = ₹1,81,927.50, plus cess ₹7,277.10 = ₹1,89,205. The new regime is cheaper by ₹1,11,373.

In hand = ₹13,73,925 − ₹90,000 − ₹2,500 − ₹77,832 = ₹12,03,593 a year, or ₹1,00,299 a month. That is 80% of the CTC.

Variable pay and bonus

Variable pay is usually paid once a year (or each quarter), so it isn’t in your monthly pay. The calculator works out the tax on your fixed pay alone for the monthly figure, and the extra tax the bonus adds is taken from the bonus itself. Many employers spread the TDS over the year instead, which lowers each month a little and leaves more of the bonus; the yearly total is the same.

PF, gratuity and ESI

• PF: you and your employer each pay 12% of basic + DA. Employers may pay only on the first ₹15,000 a month (₹1,800). Your employer’s share is not taxed, and yours counts under 80C in the old regime. Employer PF, NPS and superannuation above ₹7.5 lakh a year in total are taxed (check).
• Gratuity: 15 days’ pay ÷ 26 working days = 4.81% of basic a year. It is paid when you leave, usually after 5 years, so it is part of the CTC but never in your monthly pay.
• ESI: if your gross pay is ₹21,000 a month or less, you pay 0.75% and your employer pays 3.25% for health cover under the ESI scheme (check).
• New labour codes: wages (basic + DA) should be at least 50% of your total pay, or the extra allowances count as wages for PF and gratuity. Employers are changing salary structures to match, which can mean a higher basic, more PF and less in hand (check).

Professional tax by state

Professional tax depends on your monthly salary; lower pay pays less or nothing. No state can charge more than ₹2,500 a year. Some states, such as Maharashtra, set different limits for women. These state slabs have not yet been checked on each state’s official site, so please check yours.

This is an estimate. Your payslip can differ: employers split CTC in different ways, some add PF admin and insurance charges, and TDS is adjusted through the year. Income tax rules as of 9 October 2026. Professional tax, ESI, gratuity and labour-code figures are not yet confirmed on the official pages, so please check them.