Break down your Annual CTC into individual salary components and estimate your exact monthly take-home salary after all statutory deductions including PF, Gratuity, Professional Tax and Income Tax.
CTC (Cost to Company) is the total annual expenditure a company makes on an employee, including basic salary, allowances, employer PF, gratuity, and all other benefits.
Take-home salary (Net Salary) is the amount an employee actually receives after all deductions like Employee PF, Professional Tax, and Income Tax are subtracted from the gross salary.
The Old Regime allows various exemptions (HRA, 80C, etc.) while the New Regime offers lower slab rates without most exemptions. Choosing the right regime can significantly impact your tax outgo.
Enter your annual CTC and the calculator automatically estimates your salary structure using common payroll assumptions used in Indian companies. It calculates components like Basic Salary, HRA, Special Allowance, Employer PF and Gratuity, then subtracts statutory deductions to show your estimated monthly take-home salary.
Most companies structure salaries with Basic Salary forming 35–45% of the total CTC. HRA is usually around 40–50% of Basic, while employer contributions such as Provident Fund and gratuity are included as part of the overall cost to company. The remaining portion is paid as special allowance or other benefits.
CTC includes several components that are not paid directly as cash. Employer PF contributions, gratuity provisions and statutory deductions like Professional Tax reduce the amount you actually receive as monthly take-home salary.
Disclaimer: This calculator provides estimated salary breakdowns based on standard Indian payroll assumptions. Actual figures may vary depending on your employer's policy and applicable tax rules.
Targo Tool
Result Summary
SALARY STRUCTURE
DEDUCTIONS
Need payroll assistance? Get HR & Payroll help with Targolegal →
Ensure accurate salary structuring, PF filings, and tax compliance for your employees. Our experts help businesses set up efficient payroll processes that are fully compliant with Indian labour laws. Reach us at info@targolegal.com.
Reach out to us →Payroll Guide
CTC (Cost to Company) includes your basic salary, allowances, employer's PF contribution, gratuity provisions, and all other perquisites the company spends on you annually.
Indian salaries typically include Basic, HRA, Special Allowance, and other components. The structure affects your tax liability and take-home pay significantly.
The New Regime (default from FY 2023-24) has lower slab rates but removes most exemptions. The Old Regime allows HRA exemption, 80C deductions, and more — choose wisely based on your investments.
Share your business stage and we will help you understand the registration, GST, license, accounting, payroll, and compliance requirements.