Calculate your precise in-hand salary with our next-generation calculator. Optimized for the FY 2025-26 New Tax Regime in India.
* Fully rebated up to ₹12 Lakhs via Section 87A
| Income Slab | Taxable Amount | Tax Applied |
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CTC (Cost to Company) is the total amount an employer spends on you in a year. It includes your gross salary, employer provident fund (EPF) contributions, gratuity, and sometimes insurance. In-Hand Salary is the actual amount that hits your bank account every month after deductions like Income Tax (TDS), Employee PF, and Professional Tax.
It depends on your investments. The New Tax Regime offers lower tax rates and a higher rebate limit (no tax up to ₹12 Lakhs for FY 25-26), but you cannot claim major deductions. The Old Tax Regime has higher rates but allows you to reduce your taxable income using Section 80C (up to ₹1.5L), 80D (Health Insurance), and HRA. You can use the toggle in our calculator to see which saves you more money!
The standard deduction is a flat deduction applied to your gross salary before calculating tax, requiring no proof of investment. For FY 2025-26, it is ₹75,000 under the New Regime and ₹50,000 under the Old Regime. All salaried employees and pensioners are eligible for this deduction.
Yes, most companies include the employer's share of the Provident Fund (usually 12% of your Basic Salary) as part of your CTC. However, you do not receive this money in your monthly take-home pay; it goes directly into your EPF account for retirement.
Professional Tax is a state-level tax imposed on income earned by salaried employees and professionals. It varies from state to state (e.g., Maharashtra, Karnataka, Telangana charge it, while Delhi does not). The maximum limit is typically ₹2,500 per year (about ₹200/month).
Yes, bonuses, performance incentives, and variable pay are fully taxable. They are added to your gross income and taxed according to your applicable income tax slab.
Yes, if you are a salaried individual with no income from business or profession, you can choose between the Old and New regimes every year when filing your ITR (Income Tax Return).
Absolutely. Our calculator automatically applies the Section 87A tax rebate. For FY 2025-26 under the New Regime, if your taxable income is ₹12 Lakhs or less, your tax liability becomes zero. Under the Old Regime, the rebate applies up to ₹5 Lakhs.
A typical salary slip has two sides:
- Earnings: Basic Salary, House Rent Allowance (HRA), Leave Travel Allowance (LTA), and Special Allowances.
- Deductions: Employee PF, Professional Tax (PT), and TDS (Income Tax).
The Health and Education Cess is an additional 4% tax levied by the government on the total income tax amount payable. It is mandatory for all taxpayers, and our calculator automatically adds it to your final tax liability.