How ₹10 LPA becomes ₹73,522 a month
- Start with an annual CTC of ₹10,00,000.
- Remove employer PF (₹48,000) and gratuity (₹19,240), which are not paid as cash: gross salary is ₹9,32,760.
- Subtract your own PF (₹48,000) and professional tax (₹2,500).
- Subtract income tax: ₹0 under the new regime.
- What is left, ₹8,82,260 a year, is about ₹73,522 a month.
These figures assume 40% basic salary, PF on the full basic, gratuity inside CTC, Karnataka professional tax (₹2,500 a year; other states differ), a metro city and no other deductions. Your payslip can differ if your employer structures pay differently.
What a raise would mean
- From ₹9 LPA to ₹10 LPA adds about ₹7,373 a month in-hand.
- From ₹10 LPA to ₹11 LPA adds about ₹7,373 a month in-hand.
Frequently asked questions
What is the in-hand salary for ₹10 LPA?
On a ₹10 lakh CTC, your monthly in-hand salary is about ₹73,522 under the new regime (₹73,522 new vs ₹66,679 old with no deductions claimed), assuming 40% basic, PF on full basic, and Karnataka professional tax (₹2,500 a year).
How much income tax is payable on ₹10 LPA?
Nothing under the new regime: taxable income of ₹8,57,760 is within the ₹12 lakh rebate limit. Under the old regime with no deductions, tax would be ₹82,110.
Which tax regime is better at ₹10 LPA?
The new regime is better unless you can claim about ₹3,82,760 or more in old-regime deductions (HRA, 80C, 80D, home-loan interest and similar) on top of the standard deduction.