1. What is In-Hand Salary?

In-Hand Salary is the actual amount an employee takes home after all deductions like income tax, provident fund (PF), professional tax, and other statutory deductions.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Gross Salary — Total salary before any deductions
• Income Tax — Tax as per 2025-26 income tax slabs
• PF — Employee's contribution to Provident Fund (typically 12% of basic salary)
• Professional Tax — State-specific tax deducted from salary

3. Importance of Salary Calculation

Details: Understanding your in-hand salary helps in financial planning, budgeting, and comparing job offers. It's crucial to know your take-home pay rather than just the gross salary.

4. Using the Calculator

Tips: Enter your gross annual salary, estimated income tax (based on 2025-26 slabs), PF contribution, and professional tax. The calculator will show your annual in-hand salary.

5. Frequently Asked Questions (FAQ)

Q1: What's included in gross salary?
A: Gross salary includes basic salary, HRA, allowances, bonuses, and other benefits before any deductions.

Q2: How is income tax calculated?
A: Income tax is calculated based on 2025-26 tax slabs after considering applicable deductions under sections like 80C, 80D, etc.

Q3: Is PF always 12% of basic salary?
A: Typically yes, but some organizations may have different contribution structures.

Q4: Does professional tax vary by state?
A: Yes, professional tax rates and slabs differ across Indian states.

Q5: Are there other deductions not included here?
A: This calculator covers major deductions, but some organizations may have additional deductions like insurance premiums, loan repayments, etc.