How to use the IT Salary Calculator India
- 1. Enter the CTCAnnual CTC, variable pay share and basic as a percentage.
- 2. Add your detailsCity, HRA, rent, PF basis, gratuity, professional tax and old-regime deductions.
- 3. Build the structureSee monthly and yearly components, in-hand pay and which regime saves more. Download it as CSV.
How an IT salary structure works
Most IT offers in India quote a CTC, the total the company spends on you. The calculator splits it the way many payroll teams do. Basic is a set share of CTC; the labour codes in force since November 2025 expect wages to be at least half of pay, so 50% is the default. HRA is a share of basic, employer PF is 12% of basic (or of the ₹15,000 wage ceiling), gratuity is 4.81% of basic if your employer includes it, and variable pay is paid only as per policy. Whatever is left becomes the special allowance. From the monthly gross, employee PF, professional tax and income tax are deducted to give in-hand pay.
HRA matters only in the old regime. The exemption is the least of the HRA received, 50% of basic in a metro (40% elsewhere) and rent paid minus 10% of basic. The Income-tax Rules 2026 extend the 50% rate to Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad. The tax rules are those for tax year 2026-27 (April 2026 to March 2027), the first year of the Income-tax Act, 2025. Budget 2026 kept the new-regime slabs: nil up to ₹4 lakh, then 5%, 10%, 15%, 20% and 25% in ₹4 lakh steps and 30% above ₹24 lakh, with a ₹75,000 standard deduction and no tax up to ₹12 lakh of taxable income. The old regime keeps its ₹50,000 standard deduction and 5%, 20% and 30% slabs. Cess is 4%. We checked these on 10 November 2026; confirm them on the Income Tax Department's website before relying on the result.
Worked example
A ₹12 lakh CTC with 10% variable pay, 50% basic, HRA at 50% of basic, employer PF at 12% of basic and gratuity included gives basic of ₹50,000 a month, HRA of ₹25,000 and a special allowance of ₹6,595, so the monthly gross is ₹81,595. After ₹6,000 employee PF and ₹208 professional tax, the in-hand pay is ₹75,387 a month. In the new regime, taxable income is ₹10,24,140 and the tax is nil. In the old regime, even with the ₹2,40,000 HRA exemption for ₹25,000 rent in a metro and ₹1,22,000 of 80C deductions, the tax would be ₹51,405, so the new regime saves ₹51,405 a year.
Reading your own offer
- Ask HR for the exact breakup: the same CTC can give quite different in-hand pay.
- Variable pay may be paid quarterly or yearly and often below 100%; don't count on it for monthly bills.
- A higher basic lowers in-hand pay today but raises PF and gratuity, which are your savings.
Frequently asked questions
How is this different from the CTC to in-hand calculator?
This one builds the whole salary structure, including HRA and special allowance, and compares both regimes using your rent and deductions. For a quick in-hand number, the CTC to in-hand calculator is faster.
Is the variable pay taxed?
Yes, when it's paid. The calculator includes it in yearly tax, and spreads the tax on fixed pay across the monthly in-hand figure.
Is the IT salary calculator free?
Yes. You can open the IT salary calculator and fill in everything without signing up. When you build a salary structure for the first time, we ask once for your name and WhatsApp number; after that it, and every other Uncodemy tool, opens straight away.