Introduction
Net salary (take-home pay) is what lands in your bank account after all deductions from your gross salary — EPF, professional tax, and income tax (TDS). In India, the gap between CTC and net salary can be 20-35% depending on your tax bracket.
Numverto Net Salary Calculator breaks down your CTC into gross, deductions, and net monthly/annual figures. Compare with our Income Tax Calculator for detailed tax computation.
Net Salary Calculation
Net = Gross - EPF Employee (12% of Basic, max ₹1,800/month) - Professional Tax (₹200/month typical) - TDS (monthly income tax). Gross = CTC - Employer EPF - Gratuity provisions.
Step-by-Step Examples
₹6 LPA CTC
Basic: ₹2.4L, HRA: ₹1.2L, EPF: ₹3,600/month deduction. Net take-home ≈ ₹41,000-43,000/month.
₹12 LPA CTC
Basic: ₹4.8L, HRA: ₹2.4L, EPF: ₹5,760/month. After TDS, net ≈ ₹78,000-82,000/month.
Real-Life Applications
- Understanding job offer salary breakup before accepting
- Budgeting monthly expenses based on actual take-home
- Comparing offers from different companies
- Planning EMI affordability based on net salary
- Tax planning — choosing between old and new regime
Advantages of Using This Net Salary Calculator
- Complete salary breakup table (monthly + annual)
- EPF calculation with ₹1,800/month cap option
- Professional tax included
- Indian rupee formatting with lakh/crore commas
- Works for any CTC level
Common Mistakes to Avoid
- Confusing CTC with in-hand salary (CTC includes employer contributions)
- Not accounting for employer EPF contribution in CTC
- Forgetting professional tax varies by state
- Assuming HRA is always 50% (depends on metro vs non-metro)
- Not updating TDS after submitting investment declarations