In-Hand Salary Calculator (CTC to Take-Home)
Calculate actual monthly bank credit salary from annual CTC after EPF, Professional Tax, and Income Tax deductions.
Annual Package Details
Statutory Deductions
₹ 78,450 / mo
Complete Guide to CTC, Gross Salary & In-Hand Take-Home Calculation
When an employer offers an annual CTC (Cost to Company) of ₹12 Lakhs or ₹18 Lakhs, your actual monthly bank deposit is significantly lower. Understanding the difference between Cost to Company (CTC), Gross Salary, Statutory EPF, Gratuity, Professional Tax, and Income Tax TDS ensures you make informed career transitions.
1. CTC (Cost to Company)
The total expenditure an employer spends on you in a year. Includes Fixed Gross Salary + Employer EPF (12%) + Gratuity + Group Health Insurance + Annual Performance Bonus.
2. Gross Salary
CTC minus employer-side contributions (Employer EPF, Gratuity, Insurance, Variable Bonus). Includes Basic Pay + HRA + Special Allowance + Conveyance + Food Coupons.
3. Net In-Hand Salary
The actual money deposited into your bank account on payday. Formula: Gross Salary minus Employee EPF (12%) minus Professional Tax (PT) minus Monthly Income Tax (TDS).
Frequently Asked Questions (FAQs)
What is the standard deduction in the New Tax Regime?
Under the latest Union Budget, the standard deduction for all salaried individuals has been increased to ₹75,000 per financial year (up from ₹50,000). Salaried employees earning up to ₹7.75 Lakhs pay zero income tax under Section 87A rebate.
How is EPF deducted from monthly salary?
As per EPFO guidelines, 12% of your Basic Salary + DA is deducted from your gross pay as Employee Contribution. Your employer matches an equal 12% (3.67% to EPF + 8.33% to EPS Pension). Both contributions accumulate interest (currently ~8.25% p.a.) tax-free.
What is Professional Tax (PT) and who pays it?
Professional Tax is a state-level statutory levy on salaried individuals. It is capped at a maximum of ₹2,500 per year (typically ₹200/month) in states like Maharashtra, Karnataka, Telangana, Tamil Nadu, and West Bengal.