1. What is In-Hand Salary?

In-Hand Salary is the actual amount an employee receives after all deductions like taxes, provident fund, professional tax, etc. It's the net amount credited to your bank account.

2. How is In-Hand Salary Calculated?

The calculator uses the following equation:

Where:

• Gross Salary — Total salary before any deductions
• Income Tax — Tax deducted as per income tax slabs
• PF — Employee's contribution to Provident Fund
• Professional Tax — State-level tax on employment

3. Components of Salary Deduction

Income Tax: Calculated based on your income tax slab rates.
Provident Fund (PF): Typically 12% of basic salary.
Professional Tax: Varies by state, usually up to ₹2,500/year.

4. Using the Calculator

Tips: Enter all amounts in INR. Make sure to include all applicable deductions for accurate calculation.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between CTC and in-hand salary?
A: CTC (Cost to Company) includes all benefits (even those not received as cash), while in-hand salary is what you actually receive.

Q2: Are there other deductions besides these?
A: Yes, some companies may deduct for insurance, loans, or other benefits.

Q3: How can I increase my in-hand salary?
A: Through tax-saving investments, HRA claims, and other deductions allowed under income tax laws.

Q4: Is professional tax applicable in all states?
A: No, some states like Delhi don't have professional tax.

Q5: How often is PF deducted?
A: PF is deducted monthly from your salary.