The Union Budget 2025–26 introduced major tax relief for salaried employees under the new tax regime. With zero tax liability up to ₹12.75L and simplified slabs, your in-hand salary sees a solid bump. But how much do you actually get monthly after tax and PF?
Let's decode the in-hand salary for various CTC levels.
| CTC (LPA) | Basic (₹) | HRA (₹) | DA (₹) | PF (₹) | Prof. Tax (₹) | Gross In-Hand (₹/mo) | In-Hand After TDS (₹/mo) |
| 700,000 | 3,50,000 | 1,75,000 | 1,75,000 | 42,000 | 3,600 | ₹57,950 | ₹57,950 (No TDS, eligible for rebate) |
| 1,000,000 | 5,00,000 | 2,50,000 | 2,50,000 | 60,000 | 3,600 | ₹76,029 | ₹76,029 (No TDS, eligible for rebate) |
| 1,300,000 | 6,50,000 | 3,25,000 | 3,25,000 | 78,000 | 3,600 | ₹98,438 | ₹95,900 |
| 1,700,000 | 8,50,000 | 4,25,000 | 4,25,000 | 1,02,000 | 3,600 | ₹1,27,238 | ₹1,20,000 |
| 2,000,000 | 1,000,000 | 500,000 | 500,000 | 120,000 | 3,600 | ₹1,48,029 | ₹1,35,000 |
Note: The actual in-hand salary may vary slightly depending on factors such as your city of residence, as HRA and DA components often differ based on metro vs non-metro classification, company policy, and cost of living adjustments. This table is based on standard assumptions and serves as a general guide.
| Income Range (₹) | Tax Rate |
| 0 – 4,00,000 | Nil |
| 4,00,001 – 8,00,000 | 5% |
| 8,00,001 – 12,00,000 | 10% |
| 12,00,001 – 16,00,000 | 15% |
| 16,00,001 – 20,00,000 | 20% |
| 20,00,001 – 24,00,000 | 25% |
| Above 24,00,000 | 30% |
Note: FY 2025-26, if an individual's total taxable income is up to ₹12 lakh, they will be eligible for rebate up to ₹60,000.
Standard Deduction: ₹75,000
Cess: 4% on tax amount
Read More: ITR Filing FY 2025–26: How Much Money Can You Gift to a Family Member Tax-Free in India?
Understanding the difference between your CTC and in-hand salary is essential for better financial planning, especially with the revised tax slabs under the FY 2025–26 new regime. While the new structure offers more relief and simplicity for many salaried individuals, the actual take-home pay can vary based on components like HRA, city of residence, and employer-specific structuring.
Use this CTC to in-hand guide as a starting point to estimate your post-tax income, but always consult a tax advisor or use a detailed salary calculator for precise results tailored to your unique situation.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: Jul 18, 2025, 3:57 PM IST
Neha Dubey
Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.
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