Free Salary / CTC Calculator

CTC (Cost to Company) is the total cost an employer incurs for an employee, including salary + employer's PF contribution + gratuity + health insurance + other benefits. In-hand salary is the actual amount credited to your bank account after deducting employee PF, professional tax, income tax (TDS), and other deductions. In-hand is typically 65–75% of CTC for most employees.

Basic salary is typically 40–50% of CTC. If CTC is ₹12 lakh, basic would be ₹4.8–6 lakh annually. However, each company may structure this differently. A higher basic salary means higher PF contributions and gratuity but also higher taxable income.

EPF (Employee Provident Fund) is mandatory for organizations with 20+ employees, and for employees with basic salary ≤ ₹15,000/month. Both employee and employer contribute 12% of basic salary. Employees earning above ₹15,000 basic can opt out at time of joining, but many choose to continue for the tax-free retirement corpus.

HRA exemption is the minimum of: (1) Actual HRA received, (2) Rent paid minus 10% of basic salary, (3) 50% of basic for metro cities / 40% for non-metro. You must actually pay rent and live in a rented accommodation to claim HRA exemption.

Professional Tax is a state-level tax deducted by employers. It varies by state and salary. Maharashtra: ₹200/month (₹2,400/year) for salary above ₹10,000. Karnataka, Tamil Nadu, West Bengal, Gujarat also levy professional tax. Some states like Delhi, Rajasthan, UP do not have professional tax.

Yes! Many companies allow salary restructuring to maximize take-home pay. You can request a higher component of meal allowances, LTA, NPS employer contribution, or reimbursement-based components — all of which can reduce your TDS significantly while keeping your CTC the same.