1. What is In-Hand Salary?

In-Hand Salary refers to the actual amount an employee receives after all deductions like income tax, provident fund (PF), professional tax, etc. It's the net salary credited to your bank account.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Gross Salary — Total salary before any deductions (₹)
• Income Tax — Tax deducted as per income tax slabs (₹)
• PF — Provident Fund contribution (₹)
• Professional Tax — State-level professional tax (₹)

Explanation: This calculation provides the net amount an Indian government employee receives after mandatory deductions.

3. Importance of Salary Calculation

Details: Understanding your in-hand salary helps in financial planning, loan applications, and budgeting. For government employees, these deductions follow standardized rules.

4. Using the Calculator

Tips: Enter all amounts in Indian Rupees (₹). Ensure you have accurate figures for all deductions from your salary slip.

5. Frequently Asked Questions (FAQ)

Q1: What's included in gross salary?
A: Basic pay, DA, HRA, transport allowance, and other allowances before any deductions.

Q2: How is income tax calculated?
A: Based on government's income tax slabs. New vs old tax regime may affect the amount.

Q3: Is PF mandatory for government employees?
A: Yes, government employees contribute to the General Provident Fund (GPF).

Q4: Does professional tax vary by state?
A: Yes, professional tax rates differ across Indian states with maximum of ₹2,500/year.

Q5: Are there other deductions possible?
A: Yes, some employees may have NPS contributions, insurance premiums, or other voluntary deductions.