Rohit joined his first job in Bangalore with a ₹8 LPA offer letter. Three months later, he still could not explain why his bank account showed ₹52,000 when his CTC implied ₹66,000 per month. Like most Indian employees, he was confused by PF, professional tax, TDS, and the old vs new tax regime. This guide covers everything from CTC breakdown to SIP planning — with free calculators for every step.
Understanding Your CTC and In-Hand Salary
CTC (Cost to Company) includes basic salary, HRA, special allowance, PF employer contribution, gratuity, and insurance — not all of which lands in your bank account. Use the CTC Calculator and read How to calculate in-hand salary from CTC and How to read salary slip.
Old vs New Tax Regime — Which Is Better
The 2025–26 budget made the new regime default for most employees. Compare both side by side with the Old vs New Tax Regime Comparison or use the Income Tax Calculator for single-regime detail. Full comparison: Old vs New tax regime 2026 and Old vs New tax regime 2025.
New Labour Code 2026 — Salary Restructuring
The 50% basic salary rule under the New Labour Code affects take-home, PF, and gratuity for most employees. Preview your impact with the Labour Code Salary Calculator. Guide: New Labour Code 2026 salary impact.
Freelancer Tax — Section 44ADA
Freelancers in specified professions can use presumptive taxation under Section 44ADA — pay tax on 50% of gross receipts without maintaining books. Calculate with the 44ADA Freelancer Tax Calculator. Guide: Section 44ADA tax guide for freelancers.
PPF — Tax-Free Long-Term Savings
Public Provident Fund offers EEE tax status with 7.1% returns and a 15-year lock-in. Project maturity with the PPF Calculator. Guide: PPF calculator guide for India.
Capital Gains Tax — STCG & LTCG
Selling shares, property, or gold triggers capital gains tax — STCG or LTCG depending on holding period. Budget 2024 raised equity STCG to 20% and LTCG to 12.5% with a ₹1.25 lakh exemption. Estimate tax with the Capital Gains Tax Calculator. Guide: Capital gains tax calculator India guide.
Recurring Deposits — Monthly Savings
RD accounts enforce disciplined monthly saving with guaranteed returns and quarterly compounding. Calculate maturity with the RD Calculator. Guide: RD calculator guide for India.
NPS — Market-Linked Retirement
National Pension System offers market-linked returns with Section 80CCD tax benefits and mandatory annuity at retirement. Project corpus and pension with the NPS Calculator. Guide: NPS calculator guide. Compare with PPF and EPF.
CAGR — Compare Investment Returns
CAGR annualises investment returns for fair comparison across different time periods. Calculate with the CAGR Calculator. Guide: CAGR calculator guide. Related: SIP Calculator, Compound Interest Calculator.
SSY — Girl Child Savings
Sukanya Samriddhi Yojana offers 8.2% interest with EEE tax status for girl children below 10. Project maturity with the SSY Calculator. Guide: SSY calculator guide. Compare with PPF Calculator.
Advance Tax — Quarterly Instalments
If net tax exceeds ₹10,000 after TDS, pay advance tax in four instalments (June, September, December, March). Calculate with the Advance Tax Calculator. Guide: Advance tax guide FY 2026-27. Related: Income Tax Calculator, Freelancer Tax Calculator.
Professional Tax — State-wise Deduction
Professional Tax is a state-level salary deduction in 18 Indian states, capped at ₹2,500/year. Calculate with the Professional Tax Calculator. Guide: Professional tax guide India. Related: CTC Calculator, ESI Calculator.
Statutory Bonus — Payment of Bonus Act
Employees earning ≤ ₹21,000/month are eligible for statutory bonus (8.33% minimum, 20% maximum on ₹7,000 wage ceiling). Calculate with the Bonus Calculator India. Guide: Bonus calculator guide.
ESI — Employee State Insurance
ESI applies to gross wages ≤ ₹21,000/month — employee 0.75%, employer 3.25%. Calculate contributions with the ESI Calculator. Guide: ESI calculator guide. Related: EPF Calculator.
SWP — Systematic Withdrawal Plan
SWP provides regular income from mutual fund corpus in retirement. See how long your corpus lasts or how much you need with the SWP Calculator. Guide: SWP calculator guide. Related: SIP Calculator, FD Calculator.
Dividend Yield & Income from Stocks
Dividend investors track current yield and yield on cost to measure income returns from Indian stocks. Calculate annual dividend income, TDS above ₹5,000, and compare with FD returns using the Dividend Yield Calculator. Guide: Dividend yield calculator guide.
GST Registration for Freelancers
IT freelancers and contractors must check if they've crossed the ₹20 lakh services threshold — or if inter-state supply makes registration mandatory regardless. Use the GST Threshold Checker. Guide: Freelancer GST registration guide. Related: Freelancer Tax Calculator.
Leave Encashment at Resignation
Unused earned leave can be encashed at exit — fully taxable during service, partially exempt at retirement (up to ₹25 lakhs since Budget 2023). Calculate with the Leave Encashment Calculator. Guide: Leave encashment guide.
How to Save Income Tax Legally
Section 80C (₹1.5 lakh), 80D health insurance, HRA exemption, and home loan interest can significantly reduce tax under the old regime. Guide: How to save income tax legally. Generate rent receipts with our Rent Receipt Generator for HRA claims.
SIP vs FD — Where to Invest
FDs offer guaranteed returns; SIPs in mutual funds build wealth over time with market-linked returns. Model both with SIP Calculator and FD Calculator. Read How to start SIP in India and FD vs SIP comparison.
Home Loan EMI Planning
Before buying property, ensure EMI stays under 40% of take-home salary. Calculate with EMI Calculator. Full guide: Home loan EMI guide.
GST for Freelancers
GST registration is mandatory when turnover exceeds ₹20 lakh (₹10 lakh in special category states). Calculate GST on invoices with GST Calculator. Guide: GST for freelancers.
Salary Hike Negotiation
Appraisal season in India means negotiating with HR or switching jobs. Calculate expected hike with Salary Hike Calculator. Read Salary hike negotiation guide and Notice period buyout guide. Plan exit dates with Notice Period Calculator.
EPF and Retirement Corpus
Your monthly PF deduction compounds over decades into a significant retirement corpus — but only part of your employer's contribution lands in EPF (the rest goes to EPS). Project your maturity with the EPF Calculator. Full guide: EPF calculator guide for India.
Gratuity When You Leave
After 5+ years of service, you're entitled to gratuity under the Payment of Gratuity Act — calculated as (Basic + DA) × 15 × years ÷ 26. Calculate yours with the Gratuity Calculator. Read Gratuity calculation formula in India.
LTA Tax Exemption
Leave Travel Allowance can reduce taxable salary — but only for actual domestic travel fares, within block-year limits and salary-structure caps. Split exempt vs taxable amounts with the LTA Calculator. Rules explained: LTA exemption rules in India.
Inflation and Real Returns
₹1 lakh today won't buy the same in 20 years. When planning SIP, FD, or retirement goals, adjust targets for inflation — not just nominal returns. Model purchasing power with the Inflation Calculator. Guide: What will your money be worth in 10, 20, or 30 years?.
Frequently Asked Questions
How much in-hand salary for 6 LPA CTC?
For ₹6 LPA CTC, in-hand salary is typically ₹45,000–₹52,000 per month depending on company structure, PF contribution, and tax regime. Use our CTC Calculator for exact breakdown.
Which tax regime is better in 2026?
New regime suits most salaried employees without heavy 80C investments. Old regime benefits those with home loans, HRA, and significant deductions. Compare both with our Income Tax Calculator.
How much SIP for 1 crore in 10 years?
At 12% annual returns, you need roughly ₹43,000/month SIP to reach ₹1 crore in 10 years. Use our SIP Calculator to model different amounts and return rates.
What is notice period buyout in India?
Notice period buyout lets you leave a job early by paying salary for remaining notice days instead of serving them. Amount depends on gross salary and days remaining.
How to calculate EMI for home loan?
EMI depends on loan amount, interest rate, and tenure. For ₹50 lakh at 8.5% for 20 years, EMI is approximately ₹43,400. Use our EMI Calculator for exact figures.