CTC is not what lands in your account
Cost to Company (CTC) is the number HR quotes in your offer letter, but it includes components you never see as cash — employer PF contribution, gratuity accrual, and sometimes insurance or other benefits. The number that actually matters is your monthly in-hand salary: gross pay minus employee PF, professional tax, and income tax TDS. The in-hand salary calculator takes your annual CTC and breaks it down into basic, HRA, special allowance, employer contributions and every deduction, then shows your take-home under both the new and old tax regimes side by side for FY 2026-27.
The new regime is now the default for most employees — higher standard deduction of ₹75,000, lower slab rates, but no Section 80C, HRA exemption or most other deductions. The old regime keeps the traditional slab structure but lets you claim HRA, 80C, home loan interest and more. For many renters in metro cities, the old regime with a full HRA exemption still wins; for others with minimal deductions, the new regime's simplicity and rebate make more sense. Running both numbers takes thirty seconds and removes the guesswork from a decision that affects twelve pay cheques a year.
HRA exemption — the three-rule minimum
House Rent Allowance is one of the most commonly claimed exemptions, and one of the most misunderstood. The exempt amount is the least of three figures: actual HRA received, rent paid minus 10% of basic salary, and 50% of basic (metro) or 40% (non-metro). The HRA exemption calculator computes all three rules step by step and shows which one binds — so you know exactly how much HRA is taxable before you file.
From FY 2025-26 onward, the metro city list expanded to include Bengaluru and Hyderabad alongside Delhi, Mumbai, Chennai and Kolkata, raising the 50% cap for renters in those cities. If you claim HRA, you also need rent receipts — the rent receipt generator creates monthly PDF receipts with landlord PAN and revenue stamp format, ready for your employer or ITR filing.
Planning around your salary structure
Beyond the headline take-home number, understanding how your salary is structured helps you negotiate better. Basic salary drives both PF contributions and HRA calculations — a higher basic means more PF (which is tax-efficient up to the ₹1.5 lakh 80C cap) but also more professional tax in some states. Special allowance and other components are fully taxable with no exemption. If you're comparing offers or switching jobs mid-year, run both calculators with each company's structure before you sign — the difference between regimes can be ₹2,000–₹5,000 per month at typical metro salaries.
All calculations use FY 2026-27 tax slabs and standard deduction limits. Your inputs stay in your browser — nothing is uploaded or stored. For complex situations involving multiple employers, arrears or international assignment income, consult a chartered accountant.