The Calculator Hubs

What is CTC vs In-Hand Salary?

CTC (Cost to Company) includes all components an employer spends on you — basic salary, HRA, EPF contributions, insurance, bonuses, and other perks. Your in-hand (take-home) salary is what you receive after all deductions, and is typically 65%–75% of CTC for most salary ranges.

CTC Components Explained

• Basic Salary: The core fixed component, usually 40%–50% of CTC. Higher basic means higher EPF and gratuity but also higher tax.
• HRA (House Rent Allowance): Usually 40%–50% of basic. Partially tax-exempt if you pay rent.
• Employer EPF: Company contributes 12% of basic to your EPF account. Often included within CTC.
• Special Allowance: Balancing component that makes up the rest of gross salary. Fully taxable.

Common Deductions from Salary

Employee EPF (12% of basic), Professional Tax (varies by state, max ₹2,500/year), and Income Tax (TDS as per applicable slab) are deducted before you receive your in-hand salary. This calculator shows EPF and PT deductions — use our Income Tax Calculator for detailed tax computation.