CTC Calculator - Calculate In-Hand Salary from CTC

Decompose your Cost to Company (CTC) package into gross salary, deductions, and monthly in-hand take-home pay.

Reviewed for Budget 2025 • Last updated 22 June 2026 • by Sandesh D.

CTC Breakup Inputs

Annual CTC (Cost to Company)₹12,00,000
Basic Salary (% of CTC)40%
Typically 35% - 50% of your CTC package
Tax Regime

CTC Breakup Result

Monthly In-Hand Salary₹94,276
Annual In-Hand (Net)₹11,31,312
Employer Side Components (Deducted from CTC)
Basic Salary₹4,80,000
Allowances & HRA (Gross minus Basic)₹6,75,312
Employer EPF Contribution₹21,600
Gratuity Accrual₹23,088
Employee Side Deductions (Deducted from Gross)
Employee EPF Contribution₹21,600
Professional Tax₹2,400
Income Tax (TDS)₹0
Note: Gross salary (excluding employer benefits) is ₹11,55,312. Direct take-home comparisons can be made using our Take-Home Salary Calculator.
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Calculation Methodology & Rules

The CTC to In-Hand Calculator helps you break down your salary package to find your real monthly take-home income.

Salary Decomposition Workflow

  1. Employer Component Removal: We subtract Employer EPF and Gratuity from your CTC to determine your Gross Salary.
  2. Employee Deductions: We deduct Employee EPF (12% of basic) and Professional Tax (~₹2,400/yr).
  3. Income Tax Computation: We compute income tax on your Gross Salary based on your chosen regime (reusing Ganakam's verified tax engines).
  4. In-Hand Calculation: Your monthly in-hand is the remaining amount divided by 12.

Already know your gross salary (excluding employer benefits)? You can directly use our Take-Home Salary Calculator.

For detailed rules, formulas, references, and official guidelines, see the complete Ganakam Calculation Methodology.

Frequently Asked Questions

CTC (Cost to Company) is the total amount an employer spends on an employee per year, including employer contributions like EPF and gratuity. In-Hand salary is the actual net cash you receive in your bank account monthly after subtracting these employer contributions, tax deductions (TDS), Employee PF, and professional tax.

Gratuity is a statutory benefit paid to an employee after completing 5 or more years of continuous service. Since it is a future liability paid by the employer, companies include the accrued annual value (about 4.81% of basic salary) in the CTC package even though it is not part of your monthly payout.

Under EPFO rules, the statutory monthly wage ceiling for EPF contributions is ₹15,000. Employers can choose to limit both employer and employee PF contributions to 12% of ₹15,000 (₹1,800/month or ₹21,600/year) rather than calculating it on the full basic salary.