Pusaram Calculators

Salary calculator India: CTC to monthly in-hand salary

CTC is not what reaches your bank account. This calculator takes out employer provident fund and gratuity, your own provident fund, professional tax and an estimate of income tax to show the monthly in-hand figure.

How to use this calculator

  1. Enter your annual CTC and the basic salary as a share of it (your offer letter shows both).
  2. Choose how provident fund is calculated and whether gratuity is inside your CTC.
  3. Enter the professional tax your state deducts each month, and pick the tax regime.
  4. If you pick the old regime, enter your other deductions for the year. Read the monthly in-hand figure and compare it with the other regime.

Worked examples

Example 1

A ₹12,00,000 CTC, basic 40%, PF capped at the wage ceiling, new regime.

You enter

Annual CTC₹12,00,000
Basic salary as a share of CTC40%
Provident fund (employer and employee)12% of basic, capped at the ₹15,000 wage ceiling (₹1,800 a month each)
Employer gratuity inside CTCYes (4.81% of basic)
Professional tax per month₹200
Tax regimeNew regime
Other old-regime deductions for the year₹1,50,000

You get

Monthly in-hand salary₹94,276
Annual tax (new regime)₹0
Gross salary before deductions (CTC less employer PF and gratuity)₹11,55,312
Employee PF per month₹1,800
Professional tax per month₹200
In-hand under the other regime₹85,717 a month

Example 2

A ₹30,00,000 CTC with basic 50% and PF on the full basic, new regime.

You enter

Annual CTC₹30,00,000
Basic salary as a share of CTC50%
Provident fund (employer and employee)12% of the full basic
Employer gratuity inside CTCYes (4.81% of basic)
Professional tax per month₹200
Tax regimeNew regime
Other old-regime deductions for the year₹1,50,000

You get

Monthly in-hand salary₹1,80,693
Annual tax (new regime)₹3,97,129
Gross salary before deductions (CTC less employer PF and gratuity)₹27,47,850
Employee PF per month₹15,000
Professional tax per month₹200
In-hand under the other regime₹1,67,756 a month

How it works

CTC includes things you do not receive monthly: the employer's provident fund contribution and gratuity. Those come out first. From the rest, your own provident fund, professional tax and income tax are deducted, and the balance divided by 12 is your in-hand salary.

Tax uses the same rules as the income tax calculator. Variable pay, bonuses, insurance premiums, employer NPS and reimbursements are not modelled, and every company structures pay differently, so your payslip will differ. Use it for comparing offers and planning.

Rates used (FY 2026-27 (assessment year 2027-28))

New regime

Income sliceRate
₹0 to ₹4,00,0000%
₹4,00,000 to ₹8,00,0005%
₹8,00,000 to ₹12,00,00010%
₹12,00,000 to ₹16,00,00015%
₹16,00,000 to ₹20,00,00020%
₹20,00,000 to ₹24,00,00025%
above ₹24,00,00030%

Standard deduction ₹75,000 (salary or pension). Rebate under section 87A: up to ₹60,000 when taxable income is up to ₹12,00,000, with marginal relief just above. Cess 4%.

Old regime, age Below 60

Income sliceRate
₹0 to ₹2,50,0000%
₹2,50,000 to ₹5,00,0005%
₹5,00,000 to ₹10,00,00020%
above ₹10,00,00030%

Old regime, age 60 to 79

Income sliceRate
₹0 to ₹3,00,0000%
₹3,00,000 to ₹5,00,0005%
₹5,00,000 to ₹10,00,00020%
above ₹10,00,00030%

Old regime, age 80 or more

Income sliceRate
₹0 to ₹5,00,0000%
₹5,00,000 to ₹10,00,00020%
above ₹10,00,00030%

Standard deduction ₹50,000. Rebate: up to ₹12,500 when taxable income is up to ₹5,00,000. Limits applied: 80C ₹1,50,000, NPS extra ₹50,000, home loan interest ₹2,00,000. Cess 4%.

These figures were checked against published summaries after the 2026 Union Budget, which left the structure unchanged. They are not an official source: confirm on the Income Tax Department website before relying on them.

Formula

Gross salary = CTC - employer PF - employer gratuity. In-hand per month = (gross salary - employee PF - professional tax - income tax) / 12.

Common questions

Why is my in-hand lower than CTC divided by 12?

Because CTC includes employer contributions and your own deductions and tax come out too.

Which regime should I choose?

The result shows both; the income tax calculator shows the working.

Is gratuity paid monthly?

No, it is paid at exit after eligible service, so it is taken out of the monthly figure.

Learn more

Read the lesson Tax basics and good records on pusaram.com for the ideas behind this calculator.

Calculators give estimates for learning and planning. They are not financial, tax, legal or medical advice, and results depend entirely on the numbers you enter. Check rates, limits and rules with an official source or a qualified professional before acting.