How to use the Software Engineer Salary Calculator India
- 1. Enter the cash partFixed CTC, basic share, target variable and its expected payout.
- 2. Add one-time and stock payJoining bonus with its clawback period, stock grant value and vesting schedule.
- 3. CalculateSee each year's total, tax and after-tax value, plus the monthly in-hand from fixed pay.
Why a headline CTC misleads
Product companies often quote a 'total compensation' that adds fixed pay, a target bonus, a one-time joining bonus and a whole stock grant. Spread over the years you'll actually receive it, the picture is different. The joining bonus comes once and is usually repayable if you leave early. Stock vests over three or four years, often with a one-year cliff, and is taxed as salary when it vests, at its value on that day. Variable pay depends on ratings and company results. This calculator lays out each year separately so you can compare offers fairly.
Tax is worked out with the new regime for each year's fixed pay (minus employer PF), variable payout, joining bonus and vested stock. Employer and employee PF are counted as yours, since both go into your EPF account. Stock is valued at the grant value; if the share price moves, so does that number. 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
An offer of ₹24 lakh fixed (50% basic), a ₹2.4 lakh target bonus paid at 100%, a ₹2 lakh joining bonus and ₹20 lakh of RSUs vesting over four years with a one-year cliff is worth ₹1.28 crore over four years. Year 1 totals ₹33.4 lakh with ₹5,36,952 of tax; years 2 to 4 total ₹31.4 lakh each with ₹4,74,552 of tax. After tax, the four years come to ₹1.08 crore, and the monthly in-hand from fixed pay alone is about ₹1,54,537.
Questions to ask the recruiter
- What did the bonus pay out last year, as a percentage of target?
- When do the first shares vest, and how often after that?
- Is the joining bonus paid on joining or after a few months, and when is it clawed back?
Frequently asked questions
Should I compare offers on year 1 or the 4-year total?
Both. Year 1 shows cash you can count on; the 4-year view shows stock and raises. If you might leave within two years, weight year 1 more.
Are ESOPs the same as RSUs?
No. With ESOPs you pay an exercise price to buy the shares, and they're taxed on the gain when exercised. Enter the expected gain as the grant value for a rough view.
Is the software engineer salary calculator free?
Yes. You can open the software engineer salary calculator and fill in everything without signing up. When you calculate an offer for the first time, we ask once for your name and WhatsApp number; after that it, and every other Uncodemy tool, opens straight away.