Guide · Salary & insurance
Salary CTC to in-hand: what usually gets deducted
See how Indian CTC becomes monthly take-home after PF, professional tax and a simplified tax sketch.
In one sentence
CTC is the full annual cost to company. In-hand is what usually lands in your bank after monthly deductions.
When this helps
Use this when you compare two India job offers or check whether a hike improves take-home enough. Payroll rules differ by employer and tax regime, so treat the result as a sketch.
How to estimate take-home
- Enter annual CTC from the offer letter.
- Set basic pay percentage if you know it (PF is often linked to basic).
- Add professional tax if it applies in your state, then review the estimate in the salary calculator.
Compare offers with a monthly in-hand sketch.
Open salary calculatorWorked example
A ₹12,00,000 CTC offer is ₹1,00,000 gross per month before deductions. After PF and tax estimates, in-hand is lower - exactly how much depends on basic structure and exemptions.
What this does not cover
- Variable bonuses, ESOPs and gratuity timing.
- Full old vs new regime tax planning.
- Payslip components unique to your employer.
Frequently asked questions
CTC often includes employer PF and other benefits you do not receive in cash each month. Employee PF, professional tax and TDS also reduce the bank credit.
Employee PF is deducted from salary. Employer PF is part of CTC but builds your retirement corpus rather than monthly cash.
This page targets salaried CTC structures. Freelancers face different tax rules - speak to a CA for business income.
No. It is a simplified estimate for comparing offers. Confirm with HR breakup or a tax professional.
The calculation method often travels, but currencies, taxes, product names and provider rules differ. Use local figures and confirm country-specific conditions.
Update it whenever a rate, price, income figure or goal date changes. Keep the assumptions with the result so future comparisons stay fair.