India Salary Calculator – How It Works & How to Use It

A Salary Calculator India is a digital tool that helps employees estimate their net take-home salary after deductions like income tax, HRA exemptions, and standard deductions based on Indian tax regulations.

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Why Use a Salary Calculator?

• To plan your monthly budget effectively
• To understand your tax liability
• To compare offers from multiple employers
• To assess the impact of HRA or basic salary adjustments

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How to Use the Salary Calculator (Step-by-Step)

Step 1: Enter Gross Annual Salary
Enter your CTC (Cost to Company) or total annual earnings, including all allowances and bonuses.

Step 2: Enter HRA Received
If your salary includes a House Rent Allowance (HRA), enter the annual amount received.

Step 3: Select City Type
Choose whether you live in a Metro city (e.g., Mumbai, Delhi) or a Non-Metro.

Step 4: Enter Basic Salary
Fill in your Basic Salary portion of the CTC, which impacts the HRA exemption.

Step 5: Click “Calculate Net Salary.”
The calculator will instantly show:

• Taxable Income
• Estimated Tax Payable
• Net Annual and Monthly Take-Home Salary

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Key Definitions

• Gross Salary: Total earnings before deductions
• Net Salary: Actual take-home after tax
• HRA Exemption: Dedication for those who pay rent
• Basic Salary: Fixed component of your salary used in most tax calculations

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FAQ: Salary Calculator India

Q1: Does the calculator support both old and new tax regimes?
Currently, it follows the old tax regime. We can add the new regime toggle if needed.

Q2: Is this calculator accurate for freelancers or business income?
No. This calculator is meant for salaried employees only.

Q3: How is the tax computed?
Using 2024 income tax slabs for individuals under 60 years under the old regime.

Q4: Can I include 80C, 80D, or NPS deductions?
Not yet, but we can extend it to allow custom deductions.

Q5: Does it consider professional tax or PF?
Not by default, but we can enhance it for that if your company deducts these.