1. What is In-Hand Salary?

In-Hand Salary is the actual amount an employee receives after all deductions like Income Tax, Provident Fund (PF), Professional Tax, etc. For a 6.7 LPA (₹6,70,000 per annum) package, the in-hand salary will be less than the gross amount due to these deductions.

2. How is In-Hand Salary Calculated?

The calculator uses the following formula:

Where:

• Annual Salary — ₹6,70,000 (6.7 LPA)
• Income Tax — As per your tax slab
• PF — Employee's Provident Fund contribution (typically 12% of basic salary)
• Professional Tax — Varies by state (typically ₹200-₹250 per month)

3. Components of Salary Deduction

Income Tax: Calculated based on your tax slab under the old or new tax regime.
Provident Fund (PF): 12% of basic salary contributed by employee (with matching employer contribution).
Professional Tax: State-level tax deducted from salary (maximum ₹2,500 annually in most states).

4. Using the Calculator

Tips: Enter your expected annual Income Tax, PF contributions, and Professional Tax to calculate your exact in-hand salary from a 6.7 LPA package.

5. Frequently Asked Questions (FAQ)

Q1: What is the typical in-hand salary for 6.7 LPA?
A: Typically ₹50,000-₹55,000 per month depending on deductions, but can vary based on salary structure.

Q2: How much PF is deducted from salary?
A: Typically 12% of basic salary. For 6.7 LPA, if basic is 50%, PF would be ₹40,200 annually (₹3,350 monthly).

Q3: Is professional tax same across India?
A: No, it varies by state. Some states like Karnataka deduct ₹200/month, while Maharashtra deducts ₹2,500 annually.

Q4: Can I reduce my tax liability?
A: Yes, through tax-saving investments (80C), HRA exemption, LTA, and other deductions under various sections.

Q5: Is 6.7 LPA a good salary in India?
A: It's above average and provides comfortable living in most Indian cities, depending on lifestyle and expenses.