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Salary / CTC Breakup Calculator

Convert your annual CTC to monthly in-hand salary with full breakdown of earnings and deductions.

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Salary / CTC Breakup Calculator

CTC Details

Annual CTC
₹12.00 L
12,00,000
₹3.0L₹1.0Cr
City Type
Opt Out of PF
Higher in-hand, no PF deduction

Monthly Summary

Gross Monthly₹88,450
Employee PF₹1,800
Professional Tax₹200
Income Tax (TDS)₹0
In-Hand Monthly₹86,450
Monthly In-Hand Salary
₹86,450
Annual: ₹10.37 L
Annual CTC
₹12.00 L
Annual In-Hand
₹10.37 L
Employer PF
₹21,600
Annual
Gratuity
₹23,088
Annual

Salary Components (Monthly)

ComponentMonthlyAnnualTaxable
Basic Salary
₹40,000₹4.80 LTaxable
HRA
₹20,000₹2.40 LExempt
Special Allowance
₹20,000₹2.40 LTaxable
LTA
₹5,000₹60,000Exempt
Medical Allowance
₹1,250₹15,000Exempt
Food Coupon
₹2,200₹26,400Exempt
Gross Salary₹88,450₹10.61 L
Deductions
Employee PF
₹1,800
Professional Tax
₹200
Net In-Hand (Monthly)₹86,450

Visual Breakup

Monthly salary component breakdown

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Your CTC (Cost to Company) and in-hand salary can differ significantly due to various deductions. Understanding the breakup helps you negotiate better offers and plan your taxes. Components like basic pay, HRA, PF, gratuity, and professional tax all affect what you actually take home each month. Estimate your income tax liability or check TDS deductions based on your salary structure.

CTC Breakdown Comparison for Different Salary Levels

Annual CTCBasic (40%)HRA (50% of Basic)Employer PFGratuitySpecial AllowanceMonthly In-Hand*
₹6,00,000₹2,40,000₹1,20,000₹28,800₹11,544₹1,99,656~₹42,000
₹10,00,000₹4,00,000₹2,00,000₹48,000₹19,240₹3,32,760~₹70,000
₹15,00,000₹6,00,000₹3,00,000₹72,000₹28,860₹4,99,140~₹1,02,000
₹25,00,000₹10,00,000₹5,00,000₹1,20,000₹48,100₹8,31,900~₹1,62,000
₹50,00,000₹20,00,000₹10,00,000₹2,40,000₹96,200₹16,63,800~₹2,95,000

*In-hand estimates assume no additional tax-saving investments. Actual in-hand varies based on tax regime chosen and declared deductions.

Key Salary Components Explained

Basic Salary

Usually 35-50% of CTC. This is fully taxable and forms the basis for PF, gratuity, and HRA calculations.

HRA (House Rent Allowance)

Typically 40-50% of basic. Partially tax-exempt if you live in rented accommodation.

Special Allowance

The balancing figure after all other components. Fully taxable.

Employer PF

12% of basic salary contributed to EPF. Part of CTC but not paid to you — credited to your PF account.

Gratuity

4.81% of basic (15/26 of monthly basic). Paid on exit after 5+ years of service.

Professional Tax

₹200-300/month depending on state. Deducted from salary before in-hand payment.

How to Calculate In-Hand Salary from CTC

In plain words

CTC (Cost to Company) is the total amount your employer spends on you annually. Your in-hand salary is lower because of statutory deductions (PF, professional tax), tax deductions (income tax), and employer-side contributions (employer PF, gratuity) that are part of CTC but not paid directly to you.

How the calculation works
In-Hand Monthly = (CTC - Employer PF - Gratuity - Employee PF - Professional Tax - Income Tax) / 12 Standard CTC Breakdown: Basic = 40% of CTC HRA = 50% of Basic Employer PF = 12% of Basic Gratuity = 4.81% of Basic Special Allowance = CTC - Basic - HRA - Employer PF - Gratuity

A quick example

Let us break down a typical salary package:

Annual CTC:₹12,00,000
Basic Salary (40%):₹4,80,000
HRA (50% of basic):₹2,40,000
Employer PF (12% of basic):₹57,600

Step by step

  1. 1.Annual CTC: ₹12,00,000
  2. 2.Employer PF contribution: ₹57,600 (12% of basic)
  3. 3.Gratuity: ₹23,076 (4.81% of basic)
  4. 4.Special Allowance: ₹3,99,324 (balancing figure)
  5. 5.Employee PF: ₹57,600 (12% of basic)
  6. 6.Professional Tax: ₹2,400 per year
  7. 7.Estimated Income Tax: ~₹60,000 (simplified)

So the answer is: Monthly In-Hand ≈ ₹83,000 - ₹88,000 | Annual Deductions ≈ ₹2,20,000 | Tax as % of CTC: ~5-7%

Frequently Asked Questions

What is CTC?
CTC (Cost to Company) is the total amount a company spends on an employee annually, including salary, benefits, bonuses, and employer PF contributions.
Why is in-hand salary less than CTC?
Deductions like PF (12% of basic), professional tax, and income tax reduce the take-home amount. Also, employer PF and gratuity are part of CTC but not paid to you directly.
What is the standard CTC breakdown?
A typical CTC breakdown is: Basic (40-50%), HRA (40-50% of basic), Special Allowance, Employer PF (12% of basic), Gratuity (4.81% of basic), and other perks.
How is professional tax calculated?
Professional tax varies by state. In most states, it is ₹200-300 per month (₹2,400-3,600 annually). It is deducted by the employer.