In-Hand Salary for 25 LPA (FY 2026-27)
A CTC of ₹25 lakh a year works out to about ₹1,64,192 a month in hand under the new tax regime, after PF, professional tax and income tax.
Monthly in-hand salary
₹1,64,192
New regime · ₹19,70,300 a year
- Old regime
- ₹1,46,986 a month
- Income tax (new)
- ₹2,87,300 a year
- Gross pay
- ₹1,98,333 a month
- Your PF
- ₹10,000 a month
Assumes basic pay of 40% of CTC, PF of 12% of basic from you and your employer inside the CTC, ₹2,400 a year of professional tax, no other income and no deductions beyond PF. For a salaried person under 60.
Breakdown for a year
| Per year | New regime | Old regime |
|---|---|---|
| CTC | ₹25,00,000 | ₹25,00,000 |
| Employer PF | −₹1,20,000 | −₹1,20,000 |
| Gross salary | ₹23,80,000 | ₹23,80,000 |
| Your PF | −₹1,20,000 | −₹1,20,000 |
| Professional tax | −₹2,400 | −₹2,400 |
| Taxable income | ₹23,05,000 | ₹22,07,600 |
| Income tax with cess | −₹2,87,300 | −₹4,93,771 |
| In hand a year | ₹19,70,300 | ₹17,63,829 |
| In hand a month | ₹1,64,192 | ₹1,46,986 |
A month's payslip at 25 LPA
Under the new tax regime, income tax (TDS) is evenly distributed throughout the year.
| Gross pay | ₹1,98,333 |
|---|---|
| Your PF | −₹10,000 |
| Professional tax | −₹200 |
| Income tax (TDS) | −₹23,942 |
| Credited to your bank | ₹1,64,192 |
Professional tax is typically ₹200 per month (₹300 in one month in certain states), with some states not charging it at all.
How the Salary Structure Affects It
The ₹25 lakh CTC can be divided in different ways. Look at your offer letter to see which one applies to you.
| Structure | Regime | In hand a month |
|---|---|---|
| Basic pay 40% of CTC, PF on full basic (the figures above) | New | ₹1,64,192 |
| Basic pay 50% of CTC | New | ₹1,59,842 |
| PF capped at ₹1,800 a month (₹15,000 wage ceiling) | New | ₹1,78,445 |
| Employer PF paid on top of the CTC | New | ₹1,71,483 |
| Gratuity (4.81% of basic) included in the CTC | New | ₹1,61,226 |
| No PF deducted | New | ₹1,81,483 |
| ₹1.5 lakh of 80C (PF included) and ₹25,000 of health insurance (80D) | Old | ₹1,48,416 |
Old or new tax regime?
The new regime is better for you unless your deductions, beyond PF and the standard deduction (80C investments, health insurance, HRA, home-loan interest), total more than around ₹6,62,000 annually. If they do, the old regime is more beneficial.