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Your salary slip and take-home pay
What each line means
Meet Arjun. He works for a private company. His slip for the month shows a basic pay of ₹50,000, house rent allowance (HRA) of ₹25,000, and a special allowance of ₹45,000 — no other allowances that month. His slip also shows a provident fund (PF) deduction of ₹6,000 (a sample figure — PF varies by employer) and professional tax of ₹200 (also a sample — it depends on your State). His employer's own PF contribution, shown separately in his CTC, is ₹6,000 (again, a sample). Arjun is 30 years old and has chosen the new tax regime. Let's see what actually reaches his bank account.
Anatomy of a salary slip
Tap any line below to see what it means. Arjun's numbers are a made-up example.
EARNINGS
Basic pay₹50,000
The fixed part of your pay — usually the steadiest part of what you earn. It's always fully taxed.
House rent allowance (HRA)₹25,000
Money meant to help with your rent. Under the new regime, it is fully taxed, like the rest of your pay. Under the old regime, part of it can be tax-free if you pay rent — this site doesn't work that out yet, so treat any old-regime tax shown here as an upper estimate if you pay rent.
Special allowance₹45,000
A catch-all part of your pay with no special tax treatment of its own. It's fully taxed, the same as basic pay.
DEDUCTIONS
Provident fund (PF)− ₹6,000
Your own saving for retirement. A slice of your pay is set aside every month, but it stays your money, held in your PF account. Under the old regime, it counts towards the investments limit of ₹1,50,000* under section 123 (old law: 80C) — this is reported but not yet confirmed.
Professional tax− ₹200
A small tax some States (or local bodies in them) charge on people who work. The law caps it at ₹2,500* a year (Constitution of India, Art. 276(2)); some States charge none at all. It reduces your taxable salary only under the old regime — this is reported but not yet confirmed.
Income tax (TDS)− ₹7,345*
TDS means "tax deducted at source". Your employer estimates your income tax for the whole year and deducts a slice of it every month, then pays that to the government on your behalf — so you don't have to pay it all at once.
Where your salary goes
Out of Arjun's ₹1,20,000 gross pay, here is what actually reaches his bank, and what doesn't.
Your CTC is bigger than your gross
CTC (cost to company) is everything your employer spends on you — including what it pays towards your PF and pension on top of your gross pay (part of the employer's contribution normally goes to the pension scheme, EPS, not all of it into your PF account). You never see that extra part in your bank each month.
Gross ₹1,20,000 + employer's PF and pension ₹6,000 (sample) = a simple CTC of ₹1,26,000 a month. Real CTCs often also include gratuity, insurance and variable pay, which this page doesn't add in.
From slip to bank, in 4 steps
- 1Add up earnings — ₹50,000 + ₹25,000+ ₹45,000 = gross pay ₹1,20,000.
- 2Take off PF — ₹1,20,000 − ₹6,000= ₹1,14,000.
- 3Take off professional tax — ₹1,14,000 − ₹200 = ₹1,13,800.
- 4Take off income tax (TDS) — ₹1,13,800 − ₹7,345* = in-hand ₹1,06,455*.
Try it with your own slip
Copy the monthly amounts from your own slip below. Nothing you type leaves your phone or computer — there's no sign-up, no saving, and no sending of your numbers anywhere.
YOUR ESTIMATED IN-HAND PAY, EACH MONTH
₹1,06,455*
Gross ₹1,20,000 − PF ₹6,000 − professional tax ₹200 − income tax ₹7,345*
How the income tax was worked out
- Salary for the year
- ₹14,40,000
- Standard deduction
- − ₹75,000*
- Total income for the year
- ₹13,65,000*
- Tax on slabs
- ₹84,750*
- Rebate
- ₹0*
- Health and education cess
- ₹3,390*
- Tax for the year
- ₹88,140*
That works out to about ₹7,345* a month — the year's tax divided by 12, rounded to the nearest rupee. Twelve times this monthly figure may not exactly equal the year's tax above; it can differ by a few rupees either way.
What this doesn't cover
- HRA exemption. This page treats all of your HRA as taxed. If you pay rent, the old regime may let you exclude part of it — this site doesn't work that out yet, so any old-regime tax shown here can be higher than your real bill.
- Leave travel allowance, bonus and arrears aren't handled specially. The "other allowances" field above is monthly, so if you want a rough sense of a yearly bonus or arrears, divide the yearly amount by 12 first — entering the full yearly figure there would overcount it twelve times over.
- Employer PF above a yearly limit can itself become taxable. This page doesn't work that out, so don't rely on it for very large employer PF contributions.
- Other old-regime deductions. This page only counts your own PF towards the investments limit. Things like life insurance, PPF or ELSS aren't included — use the full calculator for those.
- Your employer may deduct a different amount some months. TDS is recalculated during the year — for a raise, a bonus, or updated proof of your savings — so your real monthly deduction can differ from simply dividing the year's tax by 12.
- Professional tax isn't always equal every month. Some States charge more in one particular month rather than the same amount each month, so multiplying your monthly figure by 12 is only an approximation of the year's total.
- Salary is treated as your only income. Interest, rent and capital gains aren't included here — use the full calculator for those.
- The same slip is assumed for all 12 months. This page doesn't handle joining partway through the year, a job change, or pay or deductions from an earlier employer in the same year.
- Employer NPS contributions aren't counted. Your employer's own contribution to the National Pension System can lower your tax — even under the new regime — but this page doesn't add it in.
- ESI and other slip deductions aren't included — things like a labour welfare fund contribution, a loan recovery, or meal coupons.
- Tax-free allowances, reimbursements and perks (like a meal allowance or a reimbursed bill) aren't handled — this page treats every earning shown as fully taxable pay.
This page covers tax year 2026-27 (1 April 2026 to 31 March 2027). For the official rules, see incometax.gov.in.