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Read privacy policyConvert salary to annual, weekly, daily, and hourly rates.
Our free salary calculator helps you quickly convert your monthly salary into annual, weekly, daily, and hourly equivalents. Simply enter your monthly gross salary in the input field, specify the number of working days per month (typically 22 for a 5-day work week), and the number of hours you work each day. The calculator instantly computes your earnings across all time periods.
This tool is especially useful for freelancers comparing project rates, employees negotiating salary packages, or anyone who wants to understand the true hourly value of their work. Whether you are evaluating a job offer, comparing full-time vs contract roles, or planning your finances, this calculator provides instant clarity on your earning potential across different time frames. No sign-up required — results are calculated entirely in your browser for privacy.
CTC (Cost to Company) represents the total expenditure a company incurs on an employee in a financial year. It includes your basic salary, all allowances (HRA, DA, special allowance, conveyance), employer's contribution to PF and ESI, gratuity, medical insurance premiums, and any other perquisites or benefits. When a company offers you a package of ₹10 LPA, this is the CTC figure — not what you will receive in your bank account each month.
In-Hand Salary (Take-Home Pay) is the actual amount credited to your bank account every month after all mandatory deductions. These deductions include your share of Provident Fund (12% of basic), Professional Tax (varies by state, typically ₹200/month), and Tax Deducted at Source (TDS) based on your income tax liability.
The gap between CTC and in-hand salary can be significant. For a ₹10 LPA CTC, your in-hand salary might be ₹55,000-₹65,000 per month depending on your salary structure and tax regime. Understanding this difference is crucial when evaluating job offers — always ask for a detailed salary breakup to know exactly what you will receive. Companies with a higher basic pay percentage generally offer better PF benefits but higher tax liability, while those with more allowances may reduce tax but lower your retirement corpus.
A typical Indian salary slip consists of several components. Understanding each part helps you negotiate better packages and plan your taxes efficiently.
Basic pay is the foundation of your salary structure. It typically constitutes 40-50% of CTC and directly affects PF contributions, HRA calculations, and gratuity. A higher basic pay means more PF savings and better retirement benefits but also higher taxable income. Most companies keep basic pay at 40% to balance tax efficiency and statutory compliance.
HRA is usually 50% of basic salary for metro cities (Delhi, Mumbai, Kolkata, Chennai) and 40% for non-metro cities. Under the old tax regime, you can claim HRA exemption if you pay rent and do not own a house at your work location. This is one of the most significant tax-saving components for salaried employees living in rented accommodation.
Dearness Allowance compensates employees for the impact of inflation. It is primarily applicable to government and public sector employees and is revised biannually. In the private sector, DA is less common and often merged into the basic pay or special allowance component.
Special allowance is the balancing figure in your salary structure — after allocating basic, HRA, and other fixed components, the remaining amount is categorized as special allowance. It is fully taxable and does not have any specific exemption benefit, but companies use it to provide flexibility in salary structuring.
Both you and your employer contribute 12% of basic salary to PF. Your 12% is deducted from gross salary (reducing in-hand), while employer's 12% is part of CTC. Out of the employer's contribution, 8.33% goes to Employee Pension Scheme (EPS) and 3.67% to Employee Provident Fund (EPF). PF earns interest at around 8.15% annually and builds a substantial retirement corpus over your career.
Professional tax is a state-level tax capped at ₹2,500 per year. Most states charge ₹200 per month (₹2,400/year) for employees earning above a threshold. Maharashtra charges ₹2,500 for 12 months. It is deductible under Section 16(iii) of the Income Tax Act.
Gratuity is calculated as (Basic × 15) / 26 per year of service and is payable after 5 years of continuous employment. For CTC purposes, employers include the annual gratuity provision (approximately 4.81% of basic salary) as part of your total package.
Understanding the calculation flow from CTC to in-hand salary involves two key formulas:
Gross Salary = CTC − Employer PF − Gratuity
In-Hand Salary = Gross Salary − Employee PF − Professional Tax − TDS
For example, if your CTC is ₹12,00,000 and basic is 40% (₹4,80,000), employer PF is ₹57,600 and gratuity is ₹23,077. Gross salary = ₹12,00,000 − ₹57,600 − ₹23,077 = ₹11,19,323. Monthly gross = ₹93,277. After deducting employee PF (₹4,800), professional tax (₹200), and estimated TDS (₹8,500), your monthly in-hand salary is approximately ₹79,777.
Note that these figures vary based on your company's salary structure. Some companies keep PF contribution at the statutory limit of ₹1,800/month (on ₹15,000 basic cap), which increases your in-hand salary but reduces retirement savings.
The table below shows an approximate salary breakup for common CTC packages in India, assuming a standard structure with 40% basic, 20% HRA, and PF on actual basic salary under the new tax regime:
| Component | ₹5 LPA | ₹8 LPA | ₹12 LPA | ₹20 LPA |
|---|---|---|---|---|
| Annual CTC | ₹5,00,000 | ₹8,00,000 | ₹12,00,000 | ₹20,00,000 |
| Basic Pay (40%) | ₹2,00,000 | ₹3,20,000 | ₹4,80,000 | ₹8,00,000 |
| HRA (50% of Basic) | ₹1,00,000 | ₹1,60,000 | ₹2,40,000 | ₹4,00,000 |
| Employer PF (12%) | ₹24,000 | ₹21,600 | ₹21,600 | ₹21,600 |
| Employee PF (12%) | ₹24,000 | ₹21,600 | ₹21,600 | ₹21,600 |
| Professional Tax | ₹2,400 | ₹2,400 | ₹2,400 | ₹2,400 |
| Estimated TDS (Annual) | ₹0 | ₹20,800 | ₹72,800 | ₹1,95,000 |
| Monthly In-Hand (Approx.) | ₹37,400 | ₹55,700 | ₹79,800 | ₹1,28,400 |
*PF capped at ₹1,800/month (₹21,600/year) for basic above ₹15,000/month. TDS estimated under new tax regime FY 2025-26 with ₹75,000 standard deduction.
India offers two income tax regimes for salaried individuals. Choosing the right one can save you significant money each year. Here is a comparison of the tax slabs and when each regime works better:
Standard deduction: ₹75,000. Rebate u/s 87A up to ₹7L taxable income.
Allows 80C (₹1.5L), 80D (₹25-50K), HRA exemption, LTA, NPS (80CCD), home loan interest (₹2L), and more.
Which regime to choose? If your total eligible deductions and exemptions exceed ₹3.75 lakh per year, the old regime typically saves more tax. For income up to ₹7.5 LPA, the new regime is almost always better due to the rebate. Between ₹7.5-15 LPA, it depends on your actual deductions. Above ₹15 LPA, if you can claim HRA exemption, home loan interest, and max out 80C/80D, the old regime may still win. Use both calculations to compare and choose the regime that results in lower tax liability.
If you opt for the old tax regime, here are the most effective ways to reduce your taxable income and increase your in-hand salary:
Plan your investments early in the financial year to spread the deductions evenly across months, preventing a large TDS cut in March. Declare your investment proofs to your employer by January to benefit from reduced TDS in the remaining months.
CTC (Cost to Company) is the total amount a company spends on an employee per year, including basic pay, allowances, employer PF, gratuity, and insurance. In-hand salary is the actual amount you receive in your bank account after deducting employee PF, professional tax, and income tax (TDS). Typically, in-hand salary is 60-75% of your CTC depending on the salary structure and your tax obligations.
Step 1: Subtract employer PF (12% of basic) and gratuity (4.81% of basic) from CTC to get gross salary. Step 2: Subtract employee PF (12% of basic), professional tax (₹200/month), and TDS (income tax based on your slab) from gross salary. The result is your monthly in-hand or take-home salary.
Common deductions include Employee Provident Fund (12% of basic), Professional Tax (₹150-₹200/month), Tax Deducted at Source (TDS based on income slab), ESI (0.75% if gross < ₹21,000/month), and any voluntary deductions like VPF or NPS contributions chosen by the employee.
Both employee and employer contribute 12% of basic salary to PF. The employee's 12% goes entirely to EPF. From the employer's 12%, 8.33% goes to EPS (Pension Scheme) and 3.67% to EPF. PF contribution is capped on basic salary of ₹15,000/month (₹1,800/month) unless opted otherwise.
HRA (House Rent Allowance) is typically 40-50% of basic salary. Under the old tax regime, HRA exemption is the minimum of: actual HRA received, rent paid minus 10% of basic, or 50% of basic (metro) / 40% (non-metro). The new tax regime does not offer HRA exemption.
Tax depends on your income slab. Under the new regime (FY 2025-26): no tax up to ₹4L, 5% for ₹4-8L, 10% for ₹8-12L, 15% for ₹12-16L, 20% for ₹16-20L, 25% for ₹20-24L, and 30% above ₹24L. A standard deduction of ₹75,000 and rebate under 87A (up to ₹7L taxable income) also apply.
The new tax regime has lower slab rates but removes most exemptions and deductions. The old regime keeps higher rates but lets you claim 80C (₹1.5L), 80D (health insurance), HRA exemption, LTA, and more. Choose old regime if your total deductions exceed ₹3-4 lakh; otherwise the new regime is usually better.
For CTC of ₹3-5 LPA, expect 75-80% in-hand. For ₹8-15 LPA, around 65-72%. For ₹20 LPA and above, 60-68%. The exact ratio depends on your company's salary structure, PF policy, chosen tax regime, and how much you invest in tax-saving instruments.
Guide
Salary Calculator helps you calculate a result from values, formulas, or measurements without installing extra software. It is designed for students, creators, developers, and everyday users who need a quick, browser-based result with clear input and output.
Salary Calculator helps you calculate a result from values, formulas, or measurements without installing extra software. It is designed for students, creators, developers, and everyday users who need a quick, browser-based result with clear input and output.
Using Salary Calculator is simple: (1) Open the tool page, (2) Enter your values, text, or upload your file as prompted, (3) Click the action button or see instant results, (4) Copy, download, or use the output. No technical knowledge required.
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Salary Calculator uses standard mathematical formulas to deliver reliable results. While suitable for everyday calculations, assignments, and quick estimates, always verify critical financial or academic results with official sources or a qualified professional.
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