In-hand Salary Calculator
Calculate your monthly take-home pay after EPF, Professional Tax, and TDS deductions based on Indian labor laws.
Deductions
Salary Components
- Basic Pay: Usually 40-50% of CTC.
- EPF: 12% of Basic is the standard employee contribution.
- PT: Varies by state, capped at ₹2500/year.
Understanding Your Take-Home Salary in India
Your "Cost to Company" (CTC) is never what you actually see in your bank account at the end of the month. In India, several statutory deductions and taxes are applied before the final payment is disbursed.
1. Gross Salary vs Net Salary
Gross Salary is the sum of all your earnings (Basic + HRA + Allowances) before any deductions. Net Salary, or "In-hand Salary," is what remains after subtracting EPF, Professional Tax, and Income Tax (TDS).
2. Employee Provident Fund (EPF)
Under the EPF Act, an employee contributes 12% of their Basic Salary (plus DA if applicable) towards their retirement fund. The employer matches this contribution. For many, this is capped at ₹1,800 per month if the basic pay is above ₹15,000, but many private companies allow 12% on the full basic pay.
3. Professional Tax (PT)
Professional Tax is a state-level tax collected by state governments in India. It is usually a small amount, ranging from ₹150 to ₹200 per month, depending on the state and your salary slab.
4. Income Tax (TDS)
If your annual taxable income exceeds the exemption limit (under either the Old or New Tax Regime), your employer will deduct Tax Deducted at Source (TDS) every month. This is the largest deduction for high-income earners.