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. It's the net amount credited to your bank account.

2. How Does the Calculator Work?

The calculator uses the simple formula:

Where:

• Gross Salary — Total salary before any deductions
• Income Tax — Tax deducted as per income tax slabs
• PF — Employee's contribution to Provident Fund (typically 12% of basic salary)
• Professional Tax — State-specific tax deducted from salary

Explanation: This calculation gives you the net take-home salary after all mandatory deductions.

3. Importance of Salary Calculation

Details: Understanding your in-hand salary helps in financial planning, loan applications, and comparing job offers. It's crucial to know how much you'll actually receive after all deductions.

4. Using the Calculator

Tips: Enter your gross annual salary and all applicable deductions in INR. The calculator will show your estimated in-hand salary. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between gross and in-hand salary?
A: Gross salary is your total salary before deductions, while in-hand salary is what you actually receive after all deductions.

Q2: Are there other deductions not included here?
A: Yes, some companies may deduct for health insurance, meal coupons, or other benefits. This calculator covers the major mandatory deductions.

Q3: How accurate is this calculator?
A: It provides a basic estimate. For exact figures, consult your HR/payroll department as deductions vary by company policies and state laws.

Q4: Is professional tax the same across India?
A: No, professional tax varies by state with different slabs and maximum limits.

Q5: How can I increase my in-hand salary?
A: Through tax-saving investments (under Section 80C), HRA exemptions, and other tax benefits that reduce your taxable income.