CTC to In-Hand Salary Calculator India (2026)
Calculate your exact monthly take-home salary from your CTC package. Compare Old vs New Tax Regimes instantly with detailed deductions.
Salary Details
Typically companies set Basic salary to 40%–50% of the annual CTC.
📊 Detailed CTC to In-Hand Salary Breakdown
| Salary Component | Monthly (Rs.) | Annual (Rs.) |
|---|---|---|
| Cost to Company (CTC) | ₹1,25,000 | ₹15,00,000 |
| Basic Salary (Base pay) | ₹62,500 | ₹7,50,000 |
| Employer PF Contribution | -₹1,800 | -₹21,600 |
| Gratuity Provision (4.81% of Basic) | -₹3,006 | -₹36,075 |
| Gross Salary (Before Tax & Employee PF) | ₹1,20,194 | ₹14,42,325 |
| Employee PF Contribution | -₹1,800 | -₹21,600 |
| Professional Tax (PT) | -₹200 | -₹2,400 |
| Income Tax (Est. TDS) | -₹7,344 | -₹88,128 |
| Performance Bonus (Excluded from monthly net) | -₹12,500 | -₹1,50,000 |
| Net Take-Home Salary (Monthly Fixed In-Hand) | ₹98,350 | ₹11,80,197 |
| Total Annual Take-Home (Including Bonus) | ₹1,10,850 | ₹13,30,197 |
CTC vs Gross vs Net Salary
CTC Share breakdown
Understanding CTC vs In-Hand Salary
When reviewing a job offer, the most prominent figure displayed is the **Cost to Company (CTC)**. However, many professionals are surprised to find that their actual monthly bank credit is significantly lower than the CTC divided by twelve. CTC represents the total cumulative amount a company spends on an employee annually. It encompasses basic pay, housing allowances, insurance, retirement retirals, and even variable bonuses.
The **In-Hand Salary**, or net monthly take-home pay, is the liquid cash credited to your account after subtracting company-level provisions (like Employer EPF and Gratuity) and mandatory employee deductions (Employee EPF, Professional Tax, and Income Tax TDS). By using a CTC to in-hand salary calculator, you can simulate these adjustments to audit your payroll ledger and align your monthly budgeting.
The Mathematical Conversion Formula
To convert annual CTC to monthly net take-home salary, the calculation runs in two key stages:
Stage 1: Calculate Annual Gross Salary
* Gratuity is typically calculated at 4.81% of Basic Salary. Employer EPF is 12% of Basic Salary (subject to the ₹15,000 threshold cap if selected).
Stage 2: Calculate Monthly In-Hand Salary
Under the **New Tax Regime for FY 2025-26**, standard deductions are set at **₹75,000**. Tax rebate u/s 87A is raised to ₹12 Lakhs, meaning individuals with a net taxable income of up to ₹12 Lakhs pay zero income tax. This makes the New Regime highly advantageous for entry-level and mid-tier salary bands.
Detailed In-Hand Breakdowns for Common LPA Packages
3 LPA In-Hand Salary Breakdown
A CTC of **3 Lakhs Per Annum (LPA)** maps to a monthly cost package of ₹25,000. Basic salary is usually structured at 50% (₹12,500/month).
- **Employer EPF (12% of Basic):** ₹1,500/month (₹18,000/year).
- **Gratuity Provision (4.81% of Basic):** ₹601/month (₹7,215/year).
- **Monthly Gross Salary:** ₹22,899.
- **Employee EPF (12% of Basic):** ₹1,500/month.
- **Professional Tax:** ₹200/month.
- **Income Tax (TDS):** ₹0 (Fully exempt under New Regime rebate u/s 87A).
- **Estimated Take-Home In-Hand:** **₹21,199 / month**. (If variable bonus is included, this baseline fixed cash component adjusts accordingly).
3.7 LPA In-Hand Salary Breakdown
A CTC of **3.7 LPA** represents a monthly gross layout of ₹30,833. Basic salary is structured at ₹15,417/month.
- **Retirals (Employer EPF + Gratuity):** ₹1,850 + ₹742 = ₹2,592/month.
- **Monthly Gross Salary:** ₹28,241.
- **Employee EPF Deduction:** ₹1,850/month.
- **Professional Tax:** ₹200/month.
- **Income Tax (TDS):** ₹0 (Below taxable limit under New Regime rebate rules).
- **Estimated Take-Home In-Hand:** **₹26,191 / month**.
4 LPA In-Hand Salary Breakdown
A CTC of **4 LPA** corresponds to a monthly cost package of ₹33,333. Basic salary is ₹16,667/month.
- **Retirals (Employer EPF + Gratuity):** ₹2,000 + ₹802 = ₹2,802/month.
- **Monthly Gross Salary:** ₹30,531.
- **Employee EPF Deduction:** ₹2,000/month.
- **Professional Tax:** ₹200/month.
- **Income Tax (TDS):** ₹0.
- **Estimated Take-Home In-Hand:** **₹28,331 / month** (excluding optional variable bonuses).
5 LPA In-Hand Salary Breakdown
For a package of **5 LPA**, the monthly cost structure is ₹41,667. Basic monthly pay stands at ₹20,833.
- **Employer EPF (capped option or flat 12%):** If capped at the statutory limit of ₹15,000 basic, the EPF is ₹1,800/month. Gratuity provision is ₹1,002/month.
- **Monthly Gross Salary:** ₹38,865.
- **Employee EPF Deduction:** ₹1,800/month.
- **Professional Tax:** ₹200/month.
- **Income Tax (TDS):** ₹0.
- **Estimated Take-Home In-Hand:** **₹36,865 / month**.
7 LPA In-Hand Salary Breakdown
A CTC of **7 LPA** translates to ₹58,333/month cost. Basic salary is ₹29,167/month.
- **Retirals (Employer EPF at statutory cap + Gratuity):** ₹1,800 + ₹1,403 = ₹3,203/month.
- **Monthly Gross Salary:** ₹55,130.
- **Deductions:** Employee EPF (₹1,800) + Professional Tax (₹200).
- **Income Tax (TDS):** ₹0 (Total annual gross is below the ₹12L New Regime tax threshold).
- **Estimated Take-Home In-Hand:** **₹53,130 / month**.
10 LPA In-Hand Salary Breakdown
For a package of **10 LPA**, the monthly cost is ₹83,333. Basic salary is set at ₹41,667/month.
- **Employer EPF (capped) + Gratuity:** ₹1,800 + ₹2,004 = ₹3,804/month.
- **Monthly Gross Salary:** ₹79,529.
- **Employee EPF Deduction:** ₹1,800/month.
- **Professional Tax:** ₹200/month.
- **Income Tax (TDS):** Zero tax under New Regime (Annual Gross of ₹9.54 Lakhs is fully covered by the Section 87A rebate of ₹12 Lakhs).
- **Estimated Take-Home In-Hand:** **₹77,529 / month**.
12 LPA In-Hand Salary Breakdown
A CTC of **12 LPA** corresponds to a monthly cost of ₹1,00,000. Basic monthly pay stands at ₹50,000.
- **Retirals (Employer EPF + Gratuity):** ₹1,800 + ₹2,405 = ₹4,205/month.
- **Monthly Gross Salary:** ₹95,795 (Annual Gross: ₹11,49,540).
- **Income Tax (TDS):** Under the New Tax Regime, since the annual gross is below ₹12 Lakhs, the tax liability is **₹0** due to Section 87A rebate.
- **Employee EPF + PT Deductions:** ₹1,800 + ₹200 = ₹2,000/month.
- **Estimated Take-Home In-Hand:** **₹93,795 / month**. (If variable components are active, the fixed in-hand cash ranges around ₹88,000 to ₹91,000).
15 LPA In-Hand Salary Breakdown
For a senior package of **15 LPA**, the monthly cost layout is ₹1,25,000. Basic salary is ₹62,500/month.
- **Employer EPF (capped) + Gratuity:** ₹1,800 + ₹3,006 = ₹4,806/month.
- **Monthly Gross Salary:** ₹1,20,194. (Annual Gross: ₹14,42,328).
- **Income Tax (TDS - New Regime):** Annual Tax = (Gross ₹14,42,328 - ₹75,000 Standard Deduction) = ₹13,67,328 taxable. Tax is computed slab-wise: 5% on 4L + 10% on 4L + 15% on ₹1,67,328 + 4% Cess = ₹88,502/year (₹7,375/month). (Note: Tax is not exempt because taxable income exceeds the ₹12L rebate limit).
- **Other Deductions:** Employee EPF (₹1,800) + PT (₹200).
- **Estimated Take-Home In-Hand:** **₹1,10,819 / month**. (If 10% annual variable bonus is present, the monthly fixed cash component is around **₹99,800 / month**).
LPA Compensation Comparison Matrix (New Regime)
The following reference table outlines how different annual CTC packages convert to monthly gross pay and estimated net take-home cash under the New Tax Regime (assuming standard capped EPF and no variable components):
| Annual CTC | Monthly Gross | EPF + PT Deductions | Income Tax (Monthly) | Est. Monthly In-Hand |
|---|---|---|---|---|
| 3.0 LPA | ₹22,899 | ₹1,700 | ₹0 | ₹21,199 |
| 3.7 LPA | ₹28,241 | ₹2,050 | ₹0 | ₹26,191 |
| 4.0 LPA | ₹30,531 | ₹2,200 | ₹0 | ₹28,331 |
| 5.0 LPA | ₹38,865 | ₹2,000 | ₹0 | ₹36,865 |
| 7.0 LPA | ₹55,130 | ₹2,000 | ₹0 | ₹53,130 |
| 10.0 LPA | ₹79,529 | ₹2,000 | ₹0 | ₹77,529 |
| 12.0 LPA | ₹95,795 | ₹2,000 | ₹0 | ₹93,795 |
| 15.0 LPA | ₹1,20,194 | ₹2,000 | ₹7,375 | ₹1,10,819 |
Frequently Asked Questions (FAQs)
Q.How much salary will I get in hand for 15 LPA?
For a **15 LPA CTC**, your monthly net in-hand salary ranges around **₹1,10,819** under the New Tax Regime, assuming standard capped EPF deductions and no variable bonus. If a 10% variable component is present, the fixed monthly take-home will be approximately **₹99,800**, with the bonus paid periodically.
Q.How much is 10 lakh CTC in hand salary?
For a **10 LPA CTC**, the monthly take-home salary is approximately **₹77,529** under the New Tax Regime. No income tax is deducted because your annual gross salary (approx. ₹9.54 Lakhs) remains below the ₹12 Lakhs tax rebate limit.
Q.What is the salary of 3.00 LPA in hand?
A **3.00 LPA CTC** yields an estimated monthly take-home of **₹21,199**. Deductions consist of ₹1,500 for Employee EPF (12% of ₹12,500 basic) and ₹200 for Professional Tax. No income tax is applicable.
Q.How much is 4 LPA in hand salary?
For a **4 LPA CTC**, your monthly in-hand salary stands at approximately **₹28,331** after mandatory Employee EPF (₹2,000) and Professional Tax (₹200) reductions.
Q.What is the take-home monthly salary for a 3.7 LPA package?
A **3.7 LPA CTC** translates to roughly **₹26,191 / month** take-home cash after subtracting Employee EPF (₹1,850) and Professional Tax (₹200).
Q.How much is 5 LPA in-hand salary per month?
For a **5 LPA CTC**, you will receive approximately **₹36,865 / month** net in-hand, assuming standard statutory EPF capping and no variable bonus component.
Q.What is the take-home monthly salary for a 7 LPA package?
A **7 LPA CTC** yields approximately **₹53,130 / month** take-home cash. Deductions include Employee EPF (₹1,800/month) and Professional Tax (₹200/month). Income tax is zero under the New Regime.
Q.Which tax regime is better for a 12 LPA CTC?
For a **12 LPA CTC** (with annual gross ~₹11.5 Lakhs), the **New Tax Regime** is highly recommended. It results in **₹0 tax** due to the Section 87A rebate, giving you a monthly take-home of **₹93,795**. Under the Old Regime, you would need substantial tax investments (exceeding ₹3.5 Lakhs in HRA, 80C, etc.) to achieve a similar tax-free result.
Rohit Kushwaha
Software Engineer & Creator of mysalarycalculator.in
I'm Rohit Kushwaha, a Software Engineer with 3+ years of experience in developing web applications and digital solutions. By combining technology with practical financial tools, I built mysalarycalculator.in to help Indian professionals easily understand their salary, taxes, EPF, gratuity, and take-home income.
Comments & Discussion (0)
Join the Conversation
No comments yet. Be the first to start the discussion!