Updated July 2026

Salary & Tax

Your salary structure determines your net take-home pay. Key decisions involve choosing between the old and new tax regimes, maximizing HRA exemptions, and understanding standard deductions and gratuity rules.

Recommended Journey

  1. 1

    Analyze your CTC breakup

    Use the salary calculator to see your take-home pay and understand the split between basic, allowances, EPF, and tax.

  2. 2

    Optimize your HRA exemption

    If you pay rent, use the HRA calculator to see your tax-exempt HRA share and decide if restructuring your rent helps.

  3. 3

    Compare tax regimes

    Use the income tax calculator to compare old vs new regimes based on your actual exemptions to choose the lowest tax route.

Frequently Asked Questions

How does standard deduction affect my taxable income?
Standard deduction is a flat reduction from your gross salary income before tax is calculated. For FY 2026-27, standard deduction is ₹75,000 under the new regime and ₹50,000 under the old regime.
Is employer EPF contribution included in my CTC?
Yes, most companies include the 12% employer EPF contribution in your CTC. While this is part of your cost to the company, it goes directly to your EPF account and does not reach your monthly take-home salary.