Calculate Hand Salary New Regime

In-Hand Salary Formula:

\[ \text{In-Hand Salary} = \text{Gross Salary} - \text{Income Tax (New Regime)} - \text{PF} - \text{Professional Tax} \]

Gross Salary (INR/year):

₹

Income Tax (New Regime):

₹

Provident Fund (PF):

₹

Professional Tax:

₹

In-Hand Salary:

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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. It represents the net disposable income.

2. How is In-Hand Salary Calculated?

The calculator uses the following formula:

\[ \text{In-Hand Salary} = \text{Gross Salary} - \text{Income Tax} - \text{PF} - \text{Professional Tax} \]

Where:

Gross Salary — Total salary before any deductions
Income Tax — Tax as per new regime tax slabs
PF — Employee's contribution to Provident Fund (typically 12% of basic salary)
Professional Tax — State-specific tax (typically ₹200-₹300/month)

3. Components of Salary Calculation

Details: The new tax regime offers lower tax rates but removes most deductions. Professional tax varies by state, while PF is 12% of basic salary.

4. Using the Calculator

Tips: Enter all values in INR. For accurate results, use your actual tax liability from payslip or tax calculator.

5. Frequently Asked Questions (FAQ)

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

Q2: Should I choose old or new tax regime?
A: New regime benefits those with few investments/deductions. Compare both to decide.

Q3: Is PF contribution mandatory?
A: For organizations with 20+ employees, PF is mandatory for those earning below ₹15,000/month.

Q4: How often is professional tax deducted?
A: Typically monthly, though some states have half-yearly payments.

Q5: Are there other deductions not included here?
A: This calculator covers major deductions, but some companies may have others like insurance.