1. What is Take Home Salary?

Take home salary (or in-hand salary) is the amount an employee receives after all deductions like income tax, provident fund, professional tax, etc. It represents the actual amount deposited in your bank account each month.

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 (₹)
• Provident Fund — Employee's contribution to EPF (₹)
• Professional Tax — State-imposed professional tax (₹)

Explanation: This calculation gives you the net amount you receive after mandatory deductions.

3. Importance of Salary Calculation

Details: Understanding your take-home salary helps in financial planning, budgeting, and comparing job offers. It's essential to know how much you'll actually receive after all deductions.

4. Using the Calculator

Tips: Enter all amounts in Indian Rupees (₹). For annual figures, divide by 12 to get monthly amounts. Ensure all values are positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between gross and net salary?
A: Gross salary is your total earnings before deductions, while net salary (take-home) is what you 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 is income tax calculated?
A: Income tax depends on your salary and applicable tax slabs. For precise calculation, use an income tax calculator.

Q4: What is the standard PF deduction?
A: Typically 12% of basic salary goes to EPF, but this may vary. Check your salary slip for exact amounts.

Q5: Does professional tax vary by state?
A: Yes, professional tax rates differ across Indian states, typically ranging from ₹0 to ₹2,500 per year.