Calculator · TY 2026-27
Salary In-Hand Calculator: CTC to Monthly Take-Home
Enter your CTC and pay structure, and see the full path from the offer-letter number to what lands in your bank every month: employer PF, your PF, professional tax and income tax, each on its own line.
40% of CTC is the common default; your offer letter has the exact figure.
Under the new regime for TY 2026-27, your estimated monthly in-hand is
₹90,200
₹90,200/month
₹0 tax a year
₹79,608/month
₹1,27,109 tax a year
The new regime leaves ₹1,27,109 more in your pocket this year with these inputs.
From CTC to gross salary
| Cost to company (CTC) | ₹12,00,000 |
| Employer PF (12% of basic) | − ₹57,600 |
| Gross salary | ₹11,42,400 |
Income tax on that salary (new regime)
| Gross salary | ₹11,42,400 |
| Standard deduction | − ₹75,000 |
| Taxable income | ₹10,67,400 |
| Income tax (after rebate, with cess) | ₹0 |
Your month
| Gross salary per month | ₹95,200 |
| Your PF contribution (12%) | − ₹4,800 |
| Professional tax † (annual ₹2,400 averaged; states collect it unevenly) | − ₹200 |
| Income tax (monthly TDS estimate) | − ₹0 |
| Monthly in-hand | ₹90,200 |
Treats the whole CTC as fixed pay delivered evenly through the year: bonuses and variable pay are assumed paid in full, and ESOPs, RSUs, meal cards and other perks aren't modelled. † Professional tax pending CA verification against the state notification; top-slab amount applied. See every assumption. Want the tax side alone? Use the income tax calculator.
How the CTC-to-in-hand math works
Step 1: CTC to gross salary.CTC is what the company spends, not what you're paid. If the employer's 12% PF match (and any gratuity provision, typically 4.81% of basic) sits inside the CTC, it comes off first. What's left is your gross salary, the number your payslip calls “total earnings”.
Step 2: gross to taxable.Income tax isn't charged on the full gross. The standard deduction (₹75,000 new regime, ₹50,000 old) comes off for every salaried person. Under the old regime, your own PF counts toward the ₹1.5 lakh 80C basket, professional tax is deductible under the old Section 16(iii), and any other deductions you claim come off too. Under the new regime, the standard deduction is essentially the only subtraction.
Step 3: tax via the slab engine. The taxable figure goes through the same TY 2026-27 slab engine as every calculator on this site, with the rebate, surcharge, marginal relief and 4% cess all applied. Nothing is approximated with a flat rate.
Step 4: the monthly picture.From the monthly gross, subtract your PF (12% of basic, or of the ₹15,000 ceiling if your employer caps it), professional tax and one-twelfth of the annual tax. That's the in-hand figure.
Worked example: CTC ₹12,00,000, basic 40% (₹4,80,000), employer PF inside CTC on full basic, Karnataka, new regime. Employer PF is 12% × ₹4,80,000 = ₹57,600, so gross salary is ₹11,42,400. Taxable income is ₹11,42,400 − ₹75,000 = ₹10,67,400; slab tax on that is ₹46,740, and the 87A-successor rebate wipes it to zero. The month: ₹95,200 gross − ₹4,800 PF − ₹200 professional tax − ₹0 TDS = ₹90,200 in hand. Feed the same inputs into the calculator above and you'll get the same lines.
This calculator assumes:
- The whole CTC is fixed pay delivered evenly across 12 months. Bonuses and variable pay are treated as earned in full; ESOPs, RSUs and one-time joining bonuses aren't modelled.
- Employer PF equals employee PF at 12% of the PF wage. The internal EPF/EPS split of the employer share doesn't change take-home, so it isn't shown; EPF admin charges are borne by the employer.
- Professional tax uses the top slab of the selected state, averaged monthly. States collect unevenly (Maharashtra charges ₹300 in February) and lower salaries may owe less or nothing. Every state figure is pending CA verification (†).
- Old-regime figures use the below-60 slab set, and your EPF is auto-counted toward 80C; enter other deductions excluding EPF to avoid double counting.
- Tax is computed on the TY 2026-27 slab sets under the Income-tax Act 2025, with rebate, surcharge, marginal relief and cess.
Salary in-hand FAQs
Why is my in-hand salary so much lower than CTC divided by 12?
Because CTC counts money you never see in the month. The employer's 12% PF match (and sometimes a gratuity provision) is carved out before your gross salary is even set. From the gross, your own 12% PF, professional tax and monthly TDS are deducted. On a ₹12 lakh CTC with a 40% basic, that's roughly ₹57,600 of employer PF gone before the year starts, then ₹4,800 of PF a month from your side. The calculator shows every one of these lines so nothing is a mystery on your first payslip.
Is the employer's PF contribution part of my CTC?
In most offer letters, yes: CTC is defined as everything the company spends on you, including its PF match and often a gratuity provision. Some employers quote a 'gross salary' figure instead, with PF on top. Check whether your offer says CTC or gross, and set the toggle accordingly; on a ₹12 lakh package the difference is worth about ₹4,800 a month of take-home.
Does choosing the new regime change my in-hand salary?
Only through tax. PF and professional tax are identical under both regimes; what changes is the monthly TDS your employer withholds. The new regime taxes nothing until well past ₹12 lakh of salary income (the rebate plus the ₹75,000 standard deduction), while the old regime starts higher but rewards deductions. The calculator's regime cards show both take-homes side by side; tell your employer your pick via the annual declaration, and you can still switch when filing.
Why does the PF on my payslip differ from the calculator's figure?
Three usual reasons. Your employer may cap PF at the statutory ₹15,000-a-month wage ceiling (12% of ₹15,000 = ₹1,800 a month) rather than paying on full basic; tick the ceiling toggle if so. Your basic may not be 40% of CTC; use the exact figure from your salary structure. Or you may have opted for VPF, a voluntary top-up beyond 12%, which this calculator doesn't model.
Is professional tax the same in every state?
No. It's a state levy with its own slabs: around ₹2,500 a year in Maharashtra and Tamil Nadu, ₹2,400 in Karnataka, Telangana and West Bengal, and nothing at all in Delhi, Uttar Pradesh, Haryana or Rajasthan. Collection patterns differ too; Maharashtra takes ₹200 a month but ₹300 in February. The calculator applies the top slab of the state you pick, and every state figure is flagged pending CA verification against the state's own notification.
How should I treat variable pay and bonuses here?
This calculator assumes the whole CTC is fixed pay delivered evenly, which overstates take-home if a slice of your package is a target-linked bonus you may not fully earn. A practical approach: run the calculator once with the full CTC and once with the fixed pay only, and treat the two monthly figures as your best case and your floor. ESOPs and RSUs have their own tax rules at vesting and sale and aren't modelled at all.