About Salary / CTC Calculator
CTC (Cost to Company) is the total annual cost an employer spends on an employee. Your actual take-home salary (in-hand salary) is less than CTC after deductions like PF (Provident Fund), ESI, Professional Tax and Income Tax. This calculator breaks down all components.
Typical CTC structure in India: Basic (40-50%) + HRA (40-50% of Basic) + Special Allowance (remaining) + PF (employer contribution 12% of Basic). Employee deductions: PF (12% of Basic, capped at ₹1800/month), ESI (0.75% if salary < ₹21,000/month) and income tax as per declared regime.
Frequently Asked Questions
What is CTC vs In-Hand salary?+
CTC (Cost to Company) is the total amount the employer spends including employer PF contribution, ESI, gratuity provision etc. In-hand or take-home salary is what you actually receive after all employee deductions.
What is the PF deduction limit?+
Employee PF is 12% of Basic salary. However if Basic exceeds ₹15,000/month, PF is calculated only on ₹15,000 (capped at ₹1,800/month employee contribution). Employer contributes an equal 12%.
Who is eligible for ESI?+
ESI (Employee State Insurance) applies if gross monthly salary is below ₹21,000. Employee contribution is 0.75% of gross salary, employer contributes 3.25%.
What is Professional Tax?+
Professional Tax is a state-level tax deducted from salary. Maximum is ₹2,500 per year. Not all states charge it — Maharashtra, Karnataka, West Bengal, Andhra Pradesh, Telangana are major states that do.