Salary Decoder

Cost to Company (CTC) vs. Net In-Hand Salary.

Enter the full amount from your offer letter.

Salary Components

Usually 40% to 50% of CTC. This is the base for PF and Gratuity calculations.
House Rent Allowance. Typically 40% (Non-Metro) or 50% (Metro) of Basic Salary.
The 'Balancing Figure'. Includes allowances like LTA, Medical, Internet, etc. Fully Taxable.
Performance Bonus paid Annually or Quarterly. This is not part of your monthly fixed pay.

Deductions

Deducted from CTC (Invisible)

12% of Basic Salary. Companies deduct their mandatory contribution from your CTC.
~4.81% of Basic Salary. This is accrued and paid only after 5 years of service.
Any other components removed from CTC (e.g. Employer NPS, Group Insurance).
Your share of PF (12% of Basic). This is deducted from your Gross salary.
State Government Tax. Usually ₹200/month in most states.
New
Old

Estimated Monthly In-Hand

₹0

Post Deductions & Taxes

Annual CTC
₹0
(-) Employer PF, Gratuity, Others
0
Gross Salary (Yearly)
₹0
Monthly Gross
₹0
(-) Employee PF & PT
0
(-) Income Tax (Est)
0
Detailed Tax Calculation →

Understanding Your Salary

1. The "CTC" Trap

CTC includes "Invisible Money" like Employer PF & Gratuity. You technically earn it, but it goes straight to your long-term savings and never touches your bank account monthly.

2. Why is the Tax lower here?

This tool calculates tax on your Real Gross (CTC minus Employer PF/Gratuity). The standalone Tax Calculator assumes the input is fully taxable. Since your taxable base is lower here, the tax is lower.

Note: This calculator provides estimates based on current tax laws (FY 2025-26). Actual take-home pay may vary due to company-specific policies, exact HRA exemptions, and investment declarations.