How this calculator works

FY 2025-26 rules. The Finance Act 2025 raised the new-regime 87A rebate ceiling to ₹12,00,000 taxable income and the rebate amount to ₹60,000. The new regime slabs were also restructured to seven bands (0% / 5% / 10% / 15% / 20% / 25% / 30%) with the top slab now starting at ₹24 lakh. The standard deduction for salaried employees is ₹75,000 under the new regime and ₹50,000 under the old regime.

What we exclude from take-home. The take-home figure subtracts your Employee PF contribution, state Professional Tax, and total income tax — the deductions that actually leave your bank monthly. Gratuity reserve (4.81% of basic) is part of your CTC but not paid out monthly; we exclude it from take-home and disclose it explicitly. The same goes for Employer PF. This matches the convention used by Groww and SmartAsset; some calculators include these in take-home, which leads to a confusingly high number compared to your actual payslip.

HRA exemption. If you enter monthly rent and your city is Delhi, Mumbai, Chennai, or Kolkata, the calculator applies the 50% basic HRA cap; everywhere else it uses the 40% non-metro cap. The exemption is then the minimum of (actual HRA received, rent paid minus 10% of basic, and the metro/non-metro cap). HRA exemption is only available under the old regime.

About the calculator. All tax math is verified to the rupee against the Income Tax Department's official salary calculator at eportal.incometax.gov.in. The engine runs more than 200 test cases including every slab boundary, every surcharge band, and edge cases the official portal itself handles. We don't track you or ask for your email.