In Hand Salary Calculator
Enter your yearly CTC. You get the salary that reaches your bank account every month in FY 2026-27, after PF, gratuity, professional tax and income tax, and which tax regime leaves you more.
By Hardik Vegad, founder of WealthGamma · Last updated
Your in-hand salary
₹85,396/ month
₹10,24,754 a year from a CTC of ₹12,00,000. That's 85% of your CTC.
Income tax a year
₹0
Your PF a year
₹72,000
Taxable income
₹10,24,154
In hand, old regime
₹77,436
| Salary slip | A month | A year |
|---|---|---|
| Cost to company (CTC) | ₹1,00,000 | ₹12,00,000 |
| Employer's PF | −₹6,000 | −₹72,000 |
| Gratuity set aside | −₹2,404 | −₹28,846 |
| Gross salary | ₹91,596 | ₹10,99,154 |
| Your PF | −₹6,000 | −₹72,000 |
| Professional tax | −₹200 | −₹2,400 |
| Income tax | ₹0 | ₹0 |
| In hand | ₹85,396 | ₹10,24,754 |
How is in-hand salary calculated from CTC?
In-hand salary is your CTC minus everything that never reaches your bank account. First the parts of CTC your employer pays elsewhere come off, then your own deductions:
Gross salary = CTC − Employer's PF − Gratuity
In-hand salary = Gross salary − Your PF − Professional tax − Income tax
Worked through for a CTC of ₹12,00,000 with basic pay at 50%, under the new regime:
- Basic pay = 50% of ₹12,00,000 = ₹6,00,000
- Employer's PF = 12% of basic = ₹72,000; gratuity = 4.81% of basic = ₹28,846
- Gross salary = ₹12,00,000 − ₹72,000 − ₹28,846 = ₹10,99,154
- Your PF = ₹72,000; professional tax = ₹2,400; income tax = ₹0
- In hand = ₹10,24,754 a year, or ₹85,396 a month
What is the in-hand salary for your CTC?
With basic pay at 50% of CTC, a 6 LPA package gives about ₹42,598 a month and a 12 LPA package about ₹85,396. Income tax is zero up to a CTC of about 13.9 LPA under the new regime.
| CTC | In hand a month, new regime | Income tax a year | In hand a month, old regime |
|---|---|---|---|
| 3 LPA | ₹21,199 | ₹0 | ₹21,199 |
| 5 LPA | ₹35,465 | ₹0 | ₹35,465 |
| 6 LPA | ₹42,598 | ₹0 | ₹42,598 |
| 8 LPA | ₹56,864 | ₹0 | ₹55,254 |
| 10 LPA | ₹71,130 | ₹0 | ₹66,345 |
| 12 LPA | ₹85,396 | ₹0 | ₹77,436 |
| 15 LPA | ₹1,00,309 | ₹77,835 | ₹92,585 |
| 20 LPA | ₹1,29,340 | ₹1,57,440 | ₹1,16,343 |
| 25 LPA | ₹1,56,136 | ₹2,63,875 | ₹1,40,100 |
| 30 LPA | ₹1,80,695 | ₹3,97,140 | ₹1,63,858 |
| 50 LPA | ₹2,75,726 | ₹9,68,700 | ₹2,58,888 |
Basic pay 50% of CTC, PF on full basic, professional tax ₹2,400 a year. Old regime with ₹1,50,000 of deductions. LPA means lakh per annum.
What is the difference between CTC, gross salary and in-hand salary?
CTC is what you cost your employer, gross salary is what your payslip starts from, and in-hand salary is what reaches your bank account.
| What it is | On 12 LPA | |
|---|---|---|
| CTC | Everything your employer spends on you in a year | ₹12,00,000 |
| Gross salary | CTC without employer's PF and gratuity | ₹10,99,154 |
| In-hand salary | Gross without your PF, professional tax and income tax | ₹10,24,754 |
What are the income tax slabs for FY 2026-27?
Budget 2026 kept the slabs of the year before. Under the new regime no tax is due if your taxable income is up to ₹12L, which is a gross salary of ₹12,75,000 after the ₹75,000 standard deduction.
| Taxable income | Rate |
|---|---|
| Up to ₹4L | Nil |
| ₹4L to ₹8L | 5% |
| ₹8L to ₹12L | 10% |
| ₹12L to ₹16L | 15% |
| ₹16L to ₹20L | 20% |
| ₹20L to ₹24L | 25% |
| Above ₹24L | 30% |
| Taxable income | Rate |
|---|---|
| Up to ₹2.5L | Nil |
| ₹2.5L to ₹5L | 5% |
| ₹5L to ₹10L | 20% |
| Above ₹10L | 30% |
Plus 4% cess on the tax. Standard deduction: ₹75,000 in the new regime, ₹50,000 in the old. Old regime: no tax up to ₹5L of taxable income.
New or old tax regime: which gives more in-hand salary?
The new regime, for most salaried people. On a 12 LPA CTC it leaves ₹85,396 a month, against ₹77,436 under the old regime with ₹1,50,000 of deductions.
The old regime only wins when your deductions are large: HRA exemption on high rent, home loan interest, 80C and 80D together. Pick "Old regime" in the calculator and enter your total deductions to compare. The fourth tile always shows the other regime's figure.
What changed for take-home pay in 2026?
Two rule changes moved in-hand salaries without changing CTC:
- Basic pay at 50% of CTC. Under the new labour codes, basic pay plus DA should be at least half of total pay. A higher basic means more PF and gratuity, so less in hand. On 12 LPA, moving basic from 40% to 50% takes in-hand pay from ₹88,277 to ₹85,396 a month.
- PF wage ceiling at ₹25,000. It was raised on 17 September 2026. If your employer deducts PF only on the ceiling, in-hand pay on 12 LPA is ₹91,396 a month, not ₹85,396.
The money isn't lost. It moves into your PF and gratuity. The EPF calculator and the gratuity calculator show what it grows to.
What does this salary calculator leave out?
It gives a close estimate from CTC alone. Your payslip can differ because of:
- Variable pay and bonus. If part of your CTC is a yearly bonus, your monthly credit is lower and the bonus month is higher.
- Other CTC items. Group insurance, meal cards, employer NPS and similar benefits your company counts in CTC.
- The exact HRA exemption. In the old regime it depends on your rent, city and basic pay. Enter it within "Deductions you claim".
- ESI. Deducted for employees earning up to ₹21,000 a month.
- Surcharge relief. Marginal relief on surcharge, which matters only just above ₹50 lakh of taxable income.
- State rules. Professional tax varies by state.
This is an estimate, not tax advice. Check your offer letter and payslip for the exact split.
Frequently asked questions
How is in-hand salary calculated from CTC?
In-hand salary = CTC − employer's PF − gratuity − your PF − professional tax − income tax. On a ₹12 lakh CTC with 50% basic, that leaves ₹85,396 a month under the new tax regime.
What is the in-hand salary for 6 LPA?
About ₹42,598 a month, with basic pay at 50% of CTC and PF on the full basic. No income tax is due at this level under either regime.
What is the in-hand salary for 12 LPA?
About ₹85,396 a month under the new regime, with basic pay at 50% of CTC. Income tax is zero, because taxable income stays within ₹12 lakh.
Why is in-hand salary lower than CTC?
CTC includes money you never see in your account: your employer's PF contribution (12% of basic) and the gratuity set aside (4.81% of basic). Your own PF, professional tax and income tax are then deducted from what's left.
Is the new tax regime better for salaried employees?
For most people, yes. Under the new regime no tax is due on taxable income up to ₹12 lakh, and the standard deduction is ₹75,000. The old regime wins only if your deductions are large, such as a big home loan interest plus HRA and 80C.
How much PF is deducted from salary?
12% of basic pay plus DA from you, and the same from your employer. Some employers deduct it only on ₹25,000 a month, the wage ceiling, which raises your in-hand salary.
What is professional tax?
A small state tax on employment, deducted by your employer. It is capped at ₹2,500 a year and is often ₹200 a month. Some states, such as Delhi and Haryana, don't charge it.