1. What is In-Hand Salary?

In-hand salary is the actual amount an employee receives after all deductions like taxes, provident fund, and professional tax have been subtracted from the gross salary. For a 4.8 LPA (Lakhs Per Annum) package, the in-hand salary will be significantly less than the gross amount.

2. How is In-Hand Salary Calculated?

The calculator uses the following equation:

Where:

• Gross Salary — Total salary before any deductions (₹4,80,000 in this case)
• Income Tax — Tax deducted based on income tax slabs
• Provident Fund — Employee's contribution to EPF (typically 12% of basic salary)
• Professional Tax — State-specific tax deducted from salary

3. Components of Salary Deduction

Income Tax: Calculated based on current tax slabs. For ₹4.8 LPA, the tax would be approximately ₹5,000-₹15,000 depending on investments and deductions.

Provident Fund: Typically 12% of basic salary (part of ₹4.8 LPA). If basic is ₹20,000/month, EPF would be ₹2,400/month (₹28,800/year).

Professional Tax: Varies by state (typically ₹200-₹300/month or ₹2,400-₹3,600/year).

4. Using the Calculator

Tips: Enter your gross salary (₹4,80,000 by default) and the various deductions. The calculator will compute your estimated in-hand salary.

5. Frequently Asked Questions (FAQ)

Q1: What is the typical in-hand salary for 4.8 LPA?
A: Typically ₹35,000-₹38,000/month after all deductions, depending on tax-saving investments.

Q2: Is 4.8 LPA gross or in-hand?
A: 4.8 LPA refers to gross salary before any deductions. The actual in-hand amount will be lower.

Q3: How can I increase my in-hand salary?
A: Through tax-saving investments (Section 80C), HRA exemptions, and other deductions allowed under income tax laws.

Q4: Does this include bonuses?
A: The 4.8 LPA may or may not include bonuses - check your salary structure carefully.

Q5: How accurate is this calculator?
A: It provides a basic estimate. Actual salary may vary based on exact salary structure and tax exemptions.