India
Salary Calculator
Gross → Net · CTC Breakup · Tax · Hike · Country Compare
21% deduction rate · ₹1,025/hr
Net Annual
₹21,32,862After all deductionsTotal Deductions
₹5,79,13821% effective rateAfter Hike
₹28,32,000+18% incrementRetirement Corpus
₹1CrIn 25 yrsFind this useful? Share it with your team.
About the Salary Calculator
Understanding your take-home pay requires more than just knowing your gross salary. Deductions for provident fund, professional tax, income tax (TDS), health insurance, and other components can significantly reduce the amount that lands in your bank account. This salary calculator provides a complete CTC-to-in-hand breakdown for Indian employees, covering PF, ESI, professional tax, HRA exemption, standard deduction, and both the old and new tax regimes under the Income Tax Act.
The calculator also includes a global salary comparison across multiple countries, allowing you to understand purchasing power parity and post-tax income in different currency environments. All calculations are estimates based on standard formulas and should be verified with your HR department or a chartered accountant for precision.
Key Salary Components
💼 CTC
Cost to Company is the total annual expense an employer incurs for an employee including salary, PF contributions, gratuity, insurance, and other benefits.
💰 Gross Salary
Total salary before deductions — typically CTC minus employer's PF contribution and gratuity. This is what shows on your offer letter as monthly salary.
🏠 HRA
House Rent Allowance — exempt from tax up to the minimum of: actual HRA received, 50%/40% of basic (metro/non-metro), or actual rent paid minus 10% of basic.
🏛 EPF
Employee Provident Fund — 12% of basic salary contributed by the employee (deducted from salary) and matched by the employer (part of CTC).
📊 Income Tax / TDS
Tax Deducted at Source based on your annual income tax liability. Choose between the old regime (with exemptions) and new regime (lower slab rates, no exemptions).
🧾 Professional Tax
State-level tax deducted monthly by the employer. Rates vary by state — most states cap it at ₹2,500 per year. Some states like Rajasthan and Delhi do not levy it.
Frequently Asked Questions
What is the difference between CTC and in-hand salary?
CTC (Cost to Company) is the total annual cost your employer incurs for you, including your salary, employer's PF contribution (12% of basic), gratuity (4.81% of basic), health insurance premium, and any other benefits. In-hand or take-home salary is what you receive after deducting employee PF (12% of basic), professional tax, income tax (TDS), and any voluntary deductions. For most employees, in-hand salary is 65–80% of CTC.
Should I choose the old tax regime or the new tax regime?
The new tax regime (FY2024-25) offers lower slab rates (5% up to ₹7L effectively nil, 10%, 15%, 20%, 30%) but disallows most exemptions and deductions like HRA, 80C, 80D, NPS 80CCD. The old regime allows exemptions and deductions that can significantly reduce taxable income. The new regime benefits those who do not have large deductions, while the old regime benefits those with high HRA, home loan interest, and 80C investments. Use this calculator to compare both.
How is HRA exemption calculated?
HRA exemption is the minimum of three amounts: (1) actual HRA received from employer, (2) 50% of basic salary for metro cities (Delhi, Mumbai, Kolkata, Chennai) or 40% for non-metro cities, and (3) actual rent paid minus 10% of basic salary. Only the minimum of these three is exempt from income tax. HRA exemption is only available under the old tax regime.
What is the standard deduction for salaried employees?
Salaried employees get a flat standard deduction of ₹75,000 per year (increased from ₹50,000 in Budget 2024) under both the old and new tax regimes. This deduction is automatically applied to your gross salary before calculating taxable income — no bills or proofs are needed.
How is gratuity calculated?
Gratuity is payable after 5 years of continuous service. Formula: (Last drawn basic salary × 15 days × years of service) / 26. For example, with a basic of ₹50,000 and 10 years of service: (50,000 × 15 × 10) / 26 = ₹2,88,461. Gratuity received on retirement or resignation after 5 years is fully exempt from tax up to ₹20 lakh.