Salary Details
About this calculator
The CTC Salary Calculator converts your annual cost to company into a monthly in-hand figure after provident fund, professional tax and income tax under the new regime for FY 2026-27. It lets you set the basic percentage and choose how provident fund is calculated, which is the single biggest reason two people with the same CTC take home different amounts.
Employers either calculate PF as 12% of your full basic salary or limit it to 12% of the ₹15,000 wage ceiling (₹1,800 a month). The first builds a bigger retirement corpus and lowers take-home pay. The second does the opposite. This tool shows both so that you can judge an offer on what you will actually receive.
How to use it
- Enter your Annual CTC.
- Set Basic salary % of CTC. 40 to 50% is typical.
- Choose the Provident fund basis: full basic or the ₹15,000 ceiling.
- Enter Professional tax per month for your state.
- Read the monthly in-hand salary and the annual breakdown.
Calculation
Employer PF = 12% × Basic (or 12% × ₹15,000). Gross salary = CTC − Employer PF. Taxable income = Gross − ₹75,000, taxed under the new regime with rebate, surcharge and 4% cess. In-hand = Gross − Employee PF − Professional tax − Income tax. HRA and special allowance are shown to split the gross but do not change the tax in the new regime.
Worked example
CTC ₹12,00,000, 40% basic, PF on full basic, ₹200 a month professional tax
| Basic salary | ₹4,80,000 |
| Employer PF | ₹57,600 |
| Gross salary | ₹11,42,400 |
| Employee PF | ₹57,600 |
| Professional tax | ₹2,400 |
| Income tax | ₹0 |
| Annual in-hand | ₹10,82,400 |
| Monthly in-hand | ₹90,200 |
Switch to the ₹15,000 ceiling and monthly in-hand rises to about ₹96,200, a difference of ₹6,000 a month that is paid into your PF account instead.
Tips and common mistakes
- Compare offers on in-hand pay and PF treatment, not just CTC.
- A bigger PF contribution is forced saving at 8.25% tax-free interest, so the lower take-home is not a loss.
- The employer's share of PF is part of CTC. It is deducted before gross pay in this calculator.
- At CTC above about ₹13 lakh the new-regime tax starts to appear and grows quickly through the 25% and 30% slabs.
- Ask for the salary break-up (basic, HRA, special, variable, PF, gratuity) in writing before accepting.
Frequently asked questions
What is CTC?
Cost to company is the total amount your employer spends on you in a year: salary, employer PF, gratuity, insurance and other benefits.
How do I convert CTC to monthly in-hand salary?
Subtract the employer PF and other non-cash items, then your PF, professional tax and income tax, and divide by twelve.
Why does PF basis matter?
PF on full basic is larger, so it lowers your take-home pay. PF on the ₹15,000 ceiling is smaller and leaves more in hand.
Is the tax shown final?
It is an estimate under the new regime. Your employer's TDS can differ if you chose the old regime or have other income.
Does it include gratuity?
No. Gratuity is usually a separate line in CTC and reduces gross pay further. See the salary calculator for a breakdown that includes it.
What is the in-hand salary for a ₹18 lakh CTC?
About ₹1,34,008 a month with PF on the ceiling, after ₹1,46,307 of annual income tax in the new regime.