Salary Calculator India
This interactive salary calculator is designed to help individuals in India calculate their take-home salary from their CTC (Cost to Company). It helps you understand the various deductions such as PF, ESI, Professional Tax, and TDS to provide an accurate breakdown of your payslip.
Calculate Your Net Salary
Results
Data Source and Methodology
All calculations are based on the current tax regulations in India, and the data is sourced from the official government tax authority. Please consult the latest financial year's tax slabs and deductions for accuracy.
The Formula Explained
Net Salary Calculation: Net Salary = CTC - (PF + ESI + Professional Tax + TDS)
Glossary of Terms
- CTC: The total cost to the company, including all benefits.
- PF: Provident Fund, a retirement benefit scheme.
- ESI: Employee State Insurance, a social security scheme.
- Professional Tax: A tax levied by state governments in India.
- TDS: Tax Deducted at Source, a means of collecting income tax.
Practical Example: Step-by-Step
Consider a scenario where your CTC is ₹500,000. With PF at 12%, ESI at 0.75%, Professional Tax at ₹200 per month, and TDS at 10%, your net salary calculation would be as follows:
Net Salary = ₹500,000 - (₹60,000 + ₹3,750 + ₹2,400 + ₹50,000) = ₹383,850
Frequently Asked Questions (FAQ)
What is CTC?
CTC stands for Cost to Company and includes your salary and additional benefits.
How is PF calculated?
PF is typically calculated as 12% of your basic salary.
What is ESI?
ESI is a self-financing social security and health insurance scheme for Indian workers.
Is Professional Tax mandatory?
Yes, it is mandatory in states where it is applicable and is deducted monthly.
How is TDS applied?
TDS is deducted based on your income tax slab and is applicable to your taxable income.