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Last Updated: June 2026

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1Utility › Salary / Hike › In-Hand Salary

💵 In-Hand Salary Calculator

The CTC number in your offer letter is never what lands in your bank account. This breaks down basic, HRA, PF, and tax under either regime to show your real monthly take-home.

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CTC bundles together basic pay, HRA, allowances, and the employer's PF contribution — money you never actually receive as cash. Your real take-home is gross monthly pay minus your own PF contribution and minus income tax, which is why it's typically 65-80% of CTC÷12 depending on your tax slab and PF setup.

Frequently Asked Questions

Why is my in-hand salary so much lower than CTC ÷ 12?
CTC includes the employer's PF contribution, which you never receive as cash, plus your own PF deduction and income tax — none of which show up in your bank account.
Which tax regime gives a higher in-hand salary?
It depends on how many deductions (80C, HRA exemption, etc.) you actually claim. The new regime has lower rates but fewer deductions; the old regime allows more deductions but at higher slab rates — compute both for your specific numbers.
Does this include professional tax or other state-specific deductions?
No — this covers PF and income tax only. Professional tax (where applicable) and other state-specific or company-specific deductions would reduce in-hand pay slightly further.
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