Salary / CTC Calculator (India)
Convert monthly CTC to in-hand salary under the new tax regime, with PF and gratuity.
Last updated: August 2026
Monthly CTC (cost to company) including all components.
Monthly in-hand
₹88,277
Annual CTC
₹12,00,000
Annual tax
₹0
New regime + 4% cess
Salary breakdown
Estimate for FY 2026-27 under the new regime with ₹75,000 standard deduction and 87A rebate up to ₹12L. Assumes basic = 40% of CTC and PF on full basic. Professional tax varies by state. Check with your payroll.
How it works
Gross = CTC − employer PF (12% of basic) − gratuity (15/26 × basic). Tax on (gross − employee PF − ₹75,000) under new slabs with 87A rebate.
Example: ₹1L monthly CTC → ≈ ₹75,700 monthly in-hand.
Frequently Asked Questions
What is the difference between CTC and in-hand salary?
CTC (cost to company) includes every employer cost — basic, allowances, employer PF, gratuity and insurance. In-hand is what actually reaches your bank after employee PF, income tax and professional tax.
How is PF calculated on salary?
Both you and your employer contribute 12% of your basic salary (plus DA) to EPF. This calculator assumes basic = 40% of CTC, so adjust if your structure differs.
Why is my in-hand lower than my CTC divided by 12?
Because employer PF, gratuity, employee PF, income tax (new regime with 4% cess) and professional tax are all deducted from the monthly figure. These can total 20–30% of CTC.
Is the new tax regime always better?
Not always. The new regime has lower slab rates but no 80C, 80D or home loan deductions. If your annual deductions exceed roughly ₹3–4 lakh, the old regime can win — compare both on the income tax calculator.