In-Hand Salary for 20 LPA (FY 2026-27)
A CTC of ₹20 lakh a year works out to about ₹1,36,097 a month in hand under the new tax regime, after PF, professional tax and income tax.
Monthly in-hand salary
₹1,36,097
New regime · ₹16,33,168 a year
- Old regime
- ₹1,21,071 a month
- Income tax (new)
- ₹1,72,432 a year
- Gross pay
- ₹1,58,667 a month
- Your PF
- ₹8,000 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 | ₹20,00,000 | ₹20,00,000 |
| Employer PF | −₹96,000 | −₹96,000 |
| Gross salary | ₹19,04,000 | ₹19,04,000 |
| Your PF | −₹96,000 | −₹96,000 |
| Professional tax | −₹2,400 | −₹2,400 |
| Taxable income | ₹18,29,000 | ₹17,55,600 |
| Income tax with cess | −₹1,72,432 | −₹3,52,747 |
| In hand a year | ₹16,33,168 | ₹14,52,853 |
| In hand a month | ₹1,36,097 | ₹1,21,071 |
A month's payslip at 20 LPA
With the new tax regime, income tax (TDS) is spread evenly throughout the year.
| Gross pay | ₹1,58,667 |
|---|---|
| Your PF | −₹8,000 |
| Professional tax | −₹200 |
| Income tax (TDS) | −₹14,369 |
| Credited to your bank | ₹1,36,097 |
Professional tax is usually ₹200 monthly, but it can be ₹300 for one month in some states, and others charge nothing.
How changes in salary structure affect it
The same ₹20 lakh CTC can be divided in different ways. Check 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 | ₹1,36,097 |
| Basic pay 50% of CTC | New | ₹1,32,513 |
| PF capped at ₹1,800 a month (₹15,000 wage ceiling) | New | ₹1,47,208 |
| Employer PF paid on top of the CTC | New | ₹1,42,433 |
| Gratuity (4.81% of basic) included in the CTC | New | ₹1,33,558 |
| No PF deducted | New | ₹1,50,433 |
| ₹1.5 lakh of 80C (PF included) and ₹25,000 of health insurance (80D) | Old | ₹1,23,125 |
Old or new tax regime?
The new regime leaves you with more pay unless you have deductions beyond PF and the standard deduction (like 80C investments, health insurance, HRA, or home-loan interest) that total more than about ₹5,78,000 yearly. Above that amount, the old regime could leave you with more.