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🇮🇳 India / Salary
Convert India CTC to in-hand salary. Calculate PF deduction, HRA exemption, gratuity, professional tax, and TDS for FY 2024-25 under old and new regime.
7 calculators
Calculate your statutory and performance bonus as an Indian employee. See the bonus amount based on basic salary, DA, and your employer's policy under the Payment of Bonus Act.
Break down your CTC (Cost to Company) into gross salary, PF contributions, professional tax, TDS, and net in-hand pay. Understand exactly what you take home from your CTC.
Calculate the exact gratuity amount payable to an employee on resignation, retirement, or termination. Uses the Payment of Gratuity Act formula based on last salary and service.
Calculate the House Rent Allowance exemption from income tax. Find the minimum of actual HRA, 50%/40% of basic salary, and excess rent paid to determine your HRA deduction.
Calculate leave encashment amount and tax liability at resignation or retirement. See how many days of earned leave can be encashed and the tax-exempt portion under the Income Tax Act.
Calculate overtime wages for Indian employees under the Factories Act and applicable state labour laws. See your overtime rate and total earnings for any extra hours worked.
Calculate your monthly take-home (in-hand) salary after all deductions. Enter gross salary to see PF, ESIC, professional tax, TDS, and other deductions with net pay.
The difference between CTC (Cost to Company) and in-hand salary is one of the most common financial pain points for Indian employees. CTC is the total annual cost an employer incurs to employ a person: it includes basic salary, HRA, employer's PF contribution, gratuity provision, medical allowances, and other perquisites. The actual take-home pay (in-hand salary) is consistently 20–30% lower than CTC, a gap that often surprises new employees.
The basic salary typically constitutes 40–50% of CTC and forms the foundation of multiple other components. HRA (House Rent Allowance) is calculated as a percentage of basic: 50% of basic for metro cities (Mumbai, Delhi, Kolkata, Chennai) and 40% for other cities, and is tax-exempt to the extent the employee actually pays rent and claims the exemption. The Provident Fund deduction is 12% of the basic salary from both the employee and employer, with the employee's share going directly to the EPF account and a portion of the employer's share to EPS (Employee Pension Scheme).
Gratuity is a retirement benefit payable after completing five years of continuous service, calculated as (15/26) × last drawn basic salary × years of service. Many employers include a notional gratuity provision in the CTC structure. Professional tax is a state-level tax with a maximum of ₹2,400 per year, deducted by the employer and remitted to the respective state government. Income tax is deducted at source (TDS) by the employer based on the employee's estimated annual taxable income and chosen regime.
Not all CTC components are equally liquid. Gratuity is only received after five years of service, and the employer PF contribution is locked until retirement or resignation with specific conditions. When evaluating a job offer, compare the fixed take-home salary rather than the CTC headline figure. Metro city HRA exemptions are substantially larger, making city of posting a material variable in the net salary calculation.